Professional Documents
Culture Documents
On
At
Greater Noida
By
RASHMI JHA
PGDM 2013-15
I hereby declare that the Project work entitled POSITIONING OF KARA IN MINDS OF
UPPER CLASS CONSUMER OF ADITYA BIRLA GRASIM INDUSTRIES LIMITED submitted
by me for the Summer Internship during the Post Graduate Program to IILM Graduate
School of Management, Greater Noida is my original work and has not been submitted earlier
either to IILM or to any other Institution for the fulfillment of the requirements for any other
course of study. I also declare that no chapter of this manuscript, either in whole or in part, is
copied from any other document.
Designation:
Date: Date:
I have taken efforts in this project. However, it would not have been possible without the kind
support and help of many individuals and organizations. I would like to extend my sincere thanks
to all of them.
I am highly indebted to MR TAJOOR YAZDANI, my industry mentor for his guidance and
constant supervision as well as for providing necessary information regarding the project & also
for his support in completing the project.
I would like to express my gratitude towards my parents & my college mentor PROF. AMIT
KUMAR AND DR. TARUNA GAUTAM for their kind co-operation and encouragement which
help me in completion of this project.
I would like to express my special gratitude and thanks to managers of STORE99 at V3S mall,
Nirman vihar and The Great India Palace, Noida for making the environment comfortable to work.
My thanks and appreciations also go to my colleague in developing the project and people who
have willingly helped me out with their abilities.
1. Declaration 01
2. Acknowledgement 02
3. Contents 03
4. Executive Summary 04 - 05
5. Objective 06
6. Company’s Profile 07 - 20
7. Working methodology 21
10. Recommendations 40 - 44
11. Limitations 45
12. Learning 46 – 47
13. Achievements 48
14. Bibliography 49
Aditya Birla group is an Indian multinational conglomerate named after Aditya Vikram Birla
headquartered in Mumbai. The group has diversified business interests and is dominant player in
all sectors in which it operates such as viscose staple fibre, metals, cement, viscose filament yarn,
Branded apparel, carbon black, chemicals, fertilizers, insulators, telecom, BPO&IT services.
The company has entered the FMCG business with the launch of personal and home care brands
through Birla Cellulose, its umbrella brand of viscose fibre. The concept of wet wipes have been
very successful in foreign countries and now emerging trends shows that in India also its demand
is growing in fast pace, Grasim industries limited has launched wet wipes named “KARA” in 2007
made up of Birla cellulose which is 100% natural.
In the past 6 years Kara as a brand has grown and become market leader in this category but with
competitors growing and still an untapped market present, this study will help in positioning and
checking awareness among consumers for Kara. Through this market research we can take
measures to keep our product ahead of competitors like Johnson& Johnson, Uni make up removal
wipes, Himalayas, Zuci, Freshia, and last but not the least cheap Chinese wipes product.
For positioning of Kara in minds of upper class consumer and to know their interest towards the
product, I have prepared a questionnaire and have been sent to different channels of STORE99 to
directly interact with the customers and promote the product.
In the later stage I have been assigned a different work i.e. placing of a new product in market.
These are also wet wipes named “KLENOX” which is manufactured by Grasim industries but
marketed by Nayanam Marketing private limited. They came with new fragrance of Neem & Tulsi
but their price is less than that of Kara. During this period I directly interact with the retailers who
are already retailers of Kara, took orders and report it to my industry mentor. By doing this
company want to know that if they will come up with new fragrance of Neem& Tulsi in Kara, will
Without statistical data collection and its analysis any project is incomplete, thus I surveyed 100
people through questionnaire to analyze the position of Kara wipes in minds of consumer, their
awareness and how they want it to improve. Analysis part has been done through interviews and
survey with the people visiting STORE99.
Result showed that the concept of using facial wet wipes is not as new as it was a couple of years
ago in the Indian market and now people are partially aware of it. Middle class people can also be
targeted and educated about this new concept through extensive promotional activities. One of the
finding was that still people consider wet wipes as extravagant article rather than an essential
product.
Primary objective
Secondary objective
o To understand what factors people look for while purchasing Kara wipes.
o To analyze people preference of hand sanitizing wipes over traditional hand washes,
sanitizers and handkerchiefs.
COMPANY’S PROFILE:
A US $40 billion corporation, the Aditya Birla Group is in the league of fortune 500. It
is anchored by an extraordinary force of over 136,000 employees belonging to 42
different nationalities .The Group has been ranked number 4 in the global “Top
Companies For Leaders” survey and ranked number 1 in Asia Pacific for 2011.
A flagship company of Aditya Birla Group, ranks among India’s largest private sector
companies, with consolidated net revenue of Rs.279 billion and a consolidated net
profit of Rs.27 billion (FY2013). Starting as a textiles manufacturer in 1948, today
Grasim’s businesses comprise viscose staple fibre, cement, chemicals and textiles. Its
core businesses are VSF and cement, which contribute to over 90 percent of its
revenue and operating profits. The Aditya Birla Group is the world’s largest producer
of VSF, commanding a 21 percent global market share. Grasim’s viscose staple fibre is
a man-made, biodegradable fibre with characteristics similar to cotton. As an
extremely versatile and easily blend able fibre, VSF is widely used in apparels, home
textiles and dress material.
Vision
Mission
We aim to create superior & sustainable value for all our stakeholders, maintaining the
largest market share in the Man-made cellulosic fibre industry globally through:
Values
o Integrity
o Commitment
o Passion
o Seamlessness
o Speed
Before CSR was placed in corporate lexicon, it was already textured in Aditya Birla
Group. They are investing part of their profits beyond business for the larger good of
society.
Strategy of company:
“ Give a hungry man fish for a day, he will eat it and the next day, he would be hungry
again. Instead, if you taught him how to fish, he would be able to feed himself and his
family for a lifetime.
Rural development is the main focus area of the company and project called Model
Villages for complete transformation of a number of villages in proximity to their
Rural development activities span five key areas and single-minded goal is to help
build model villages that can stand on their own feet.
o Education
o Healthcare
o Sustainable livelihood
o Infrastructure
o Espousing social causes
Education:
Healthcare:
Pulse polio programme, Mobile Clinics- Doctors visits, General and Multispeciality
medical camps, cleft lips, Reproductive and child Health care, supplementary
nutrition, Mid-day meal projects, Safe drinking water, sanitation-household toilets,
community hospitals, HIV/AIDS, cancer, TB awareness and prevention camps, Blood
donation, Responsible parenting.
Sustainable Livelihood:
Social causes:
They use viscose staple fibre that is 100% percent natural and bio degradable. All the products of
Birla cellulose are pollution free and environment friendly.
In light of the intense competition facing the Skincare industry, manufacturers are constantly
engaged in creation of new products and introducing new varieties that will hopefully win
consumers’ acceptance. One such product is wet wipes. Grasim industries have started its
Consumer Product Division with various FMCG products which include home care and personal
care dry and wet wipe products. The main product for our concern for research is Kara Skincare
wipes.
KARA
Kara wet wipes are made from “Birla Cellulose”, a fiber that is 100% natural and
biodegradable. It is soft and has high moisture absorber capacity. All wipes are
hygienic, skin friendly and do not leave lint on the skin. Kara skin care wipes is a new
product to hit the Indian market it can be called as India’s first branded skin wipe
product. Although Indian consumers are familiar with the products which are
imported, it’s the first that an Indian company enters this segment.
Kara has a good potential to create an own a new category. The brand already has the
first mover advantage. But the category doesn’t have much entry barriers. It can face
stiff competition from cheap imports but Kara has the financial backing of Birla group
and the investment in building this brand will pave the way for another successful
marketing story. Kara is readily available pan India at superstores, cosmetics and
chemist outlets and modern retail.
Skin care wipes comprises of make-up removal, sunscreen, toning and deep
pore cleansing wipes.
Ingredients- Aqua ,Silicon emulsion, Methyl lactate ,cucumber extract, Aloe Vera gel,
chelating agent ,preservatives and fragrance.
Price category-
10 pieces – Rs 40/-
20 pieces- Rs 65/
Ingredients- Aqua, Silicon emulsion, Methyl lactate, mint, Aloe Vera gel, chelating
agent, preservatives and fragrance.
Price category-
10 pieces – Rs 40/-
20 pieces- Rs 65/
Ingredients-Aqua ,Silicon emulsion, Methyl lactate ,cucumber extract , mint oil ,Aloe
Vera gel, chelating agent ,preservatives and fragrance.
Price category
30 pieces- Rs 90/-
These wipes are used for refreshing the face with the cooling and soothing properties
of its ingredients.
Price category-
10 pieces – Rs 70/-
25 pieces- Rs 130/-
These wipes are an effective way to remove all make up from the face. It is enriched
with lavender extract which cleanses relaxes the skin while the seaweed extract
revitalize nourish the skin.
Ingredients- Aqua, PEG-40 hydrogenated castor oil, sodium lactate, vitamin A, Aloe
Vera gel, rose water, thyme extract, chelating agent and preservatives.
Price category-
10 pieces- Rs 70/-
25 pieces- Rs 130/-
These wipes clean the skin an tighten it and maintain the normal PH balance.
Rose leaves a certain glow on skin and keeps it refreshingly fragrant.
Price category-
10 pieces – Rs 80/-
The wipe enriched with rich Aloe Vera and plum extract nourishes the skin with
vitamin E and antioxidants make our skin soft and supple.
Price category-
10 pieces- Rs 70/-
These wipe perform a gentle, effective and convenient way of cleansing skin off dirt,
grime and excess oil.
Baby care wipes has five cleansing action of cleaning, nourishing, hydrating,
disinfecting and deodorizing. It consists of chamomile which has antiseptic and anti-
inflammatory capabilities.
A research methodology defines the purpose of the research, how it proceed, how to
measure progress and what constitute success with respect to the objective determine
for carrying of research study.
OBJECTIVE
Positioning of Kara in the minds of upper class consumer.
RESEARCH DESIGN
The research design adopted in this market research project is a mix of both
exploratory and descriptive research design. The exploratory research was conducted
by use of exploratory techniques like brain storming to generate a number of possible
issues and factors that affect consumer attitude and buying behavior for skin care
products. Since it was impractical to test all of these factors, descriptive research was
adopted to describe the characteristics like attitude, perception, awareness level and
buying behavior of relevant group in the sample. Other issues that were studied under
descriptive research design include determining the perception of Kara wipes in the
minds of people in this modern trend. It consists of 10 questions, having multiple
choice and open ended questions pertaining to the study. The questionnaire was made
in discussions with industry guide and is full support and consent about the construct
content, formal appearance and writing model.
RESEARCH INSTRUMENT
SAMPLE
In this research project I have basically interacted with consumer coming to Store99 at
GIP Noida to be part of mine questionnaire survey. In my project sample size is of 80
respondents.
Data is interpreted by analyzing the given set of questionnaire made under guidance of
my industry mentor with his full concern given below. It literally implies the
description of data that how many respondents have answered a particular question.
Male
Female
1. Are you aware of wet wipes? If yes, are you aware of Kara wet wipes?
Yes
No
2. How often do you use Kara wet wipes?
Once a day
Twice a day
When required
6. Are you aware of fact that Kara wipes are alcohol-free and biodegradable?
Yes
No
7. Do Kara wipes fulfill promises made to customer?
Yes
No
8. What are the other brands of wet wipes you prefer?
Johnson & Johnson
Himalaya
L’oreal
Nivea
Others if any please specify _______________
9. Do you prefer using traditional hand sanitizers and face wash over wet wipes?
Yes
Sometimes
No
1) Are you aware of wet wipes? If yes, are you aware of Kara wet wipes?
No
Yes
99%
Analysis:
From the above table and pie chart, we can analyze that wet wipes are not in nascent
phase in India as it was before. About 99% of the sample size is aware of Kara wipes,
so awareness level for Kara is very high. During interaction with the customers, they
said that when wet wipes came into our mind, Kara is the first product that strikes our
mind.
18%
never
once a day
twice a day
21%
60%
when required
Analysis:
From the above table and pie-chart we can analyze that people use wet wipes more
often when they require it, as said by 60% of respondents. While 18% used it once a
day and 21% used twice a day and 1% is unaware about Kara wipes. Consumers who
have fixed frequency of using Kara are people who are employed. While large
population of sample has no fixed frequency of using it.
Grand Total 80
14% 17%
general store
hypermarket
medical store
none
68%
Analysis:
From the above table and pie-chart, we can analyze that Kara are mainly sold by
hypermarket as 68% of sample said they purchase Kara most often from super or
Hypermarkets. The reason behind this is the display of the product in these type of
market that inspires consumer to purchase it. While people purchasing from medicos
and general store are almost same, as 14% purchase from medical store and 17%
purchase from general store.
16%
33% advertisement
retailer
social networking site
word of mouth
7% 44%
Analysis:
From the above table and pie-chart we can analyze that retailers are the main
promoters of Kara followed by word of mouth as 44% of respondent said they hear
about Kara from retailers and 33% said they hear by word of mouth. The reason
behind this may be good performance of Kara that has satisfied both the retailers and
the consumers. While on the part of advertising and social networking they have to
work on.
6%
Analysis:
From the above data and pie-chart we can analyze that face refreshing wipes and skin
care wipes are profit making wipes for Kara. 51% of respondent uses face refreshing
wipes and 42% use hand care wipes. While 6% use Hand care wipes and 1% use Baby
care wipe. These are non-profit making wipes of Kara, because there are lots of
competitions in this area from hand sanitizers and traditional hand wash.
6) Are you aware of the fact that Kara wipes are alcohol-free and biodegradable?
34%
no
yes
66%
Analysis:
From the above table and pie-chart we can analyze that consumers are aware of the
fact that Kara is alcohol-free and biodegradable, but company has to work to make
more people aware of this fact. 66% respondents know this fact while 34% of Kara
users are unaware of this fact.
yes 77
Grand Total 80
4%
no
yes
96%
Analysis:
From the above table and pie-chart we can analyze that customer satisfaction level of
Kara is very high as 96% of respondents are satisfied with product and only 4% are
not satisfied.
Count of Other
Row Labels brands
Himalaya
38
Johnson &
Johnson 18
Nivea
5
L’oreal 9
Any other 8
Grand Total 78
6% 10%
12%
any other
himalaya
23%
johnson &johnson
49%
loreal
nivea
Analysis:
From the above table and pie-chart we try to analyze the competitors of Kara wipes.
There are so many international players in this market like Johnson& Johnson,
L’Oreal, Nivea and cheap Chinese wipes but the threat of rivalry is mainly from an
Indian brand Himalayas that always promote natural things and made an image in
minds of customer that their product are natural. 49% of respondents prefer to use
Himalayas while 23% are in favour of Johnson&Johnson as this brand is an old name
in wipe industry. 12% respondents prefer L’Oreal, 6% use Nivea while 10%
respondents use any wipe without any preference. But there are 2 respondents who are
the loyal customers of Kara as they don’t prefer using any other wipes.
9) Do you prefer using traditional sanitizers and face wash over wet wipes?
6%
no
45%
sometimes
49% yes
Analysis:
From the above table and pie-chart we can analyze that wet wipes are still not
preferred over face wash and sanitizers. Even though wet wipes are not in nascent
phase but mindset of people will take time to adapt the new change. 49% respondents
said that they sometimes prefer traditional ones while 45% said they prefer using hand
wash and face wash over wet wipes and 6% don’t think so.
Count of Improvement
Row Labels Factors
fragrance 9
hygiene 3
price 42
promotions 25
Grand Total 79
11% 4%
32% fragrance
hygiene
price
promotions
53%
Analysis:
From the above table and pie-chart we can analyze that even though Kara become famous as a
brand but customers want the product to improve on many factors like price and promotions.
53% of respondents said price of product is very high as compared to other competitors. On the
promotion part, 32% of respondents said Kara has to improve a lot on promotion to make people
aware of their product & its quality. 11% of respondents said that Kara can come up with some
new fragrances. While 4% of respondents said Kara can be more hygienic.
To actually know the consumer perception about the product or to understand which
age group are the potential buyers and which gender is really accepting the wet wipes
concept, we have two more questions.
Grand Total 80
From the table and pie-chart we can easily analyze which gender are the potential
buyers of wet wipes. Only 30% of sample is male and 70% are female. During
interaction with the customers, most of the male thought that it is a product only used
by female. This is the main pitfall for any wet wipe and to wipe out this very thought
from people’s mind is a tough task.
26% 16-25
25-40
Above 40
67% Below 16
Analysis:
From the above table and pie-chart we can analyze that people belonging to age group
of 16-25 are the profit making customers of Kara. 67% of respondents belongs to age
group of 16-25, 26% of respondents belongs to age group of 25-40, 4% of respondents
are below 16 and 3% are above 40.
o Kara is frequently used by the age group of 16-25, followed by age group of
25-40 while people above the age of 40 are rare customers of Kara. The reason
is people still considered traditional hand wash and face wash as main product
and wipes as a substitute.
o Face refreshing wipes and Skin care wipes are the two categories which are
often in demand while people are even unaware of its Hand care wipes and
Baby wipes. 40 respondents out of 80 uses Face refreshing wipes, 33 uses Skin
care wipes, 5 uses Hand care wipes and only 1 use Baby care wipe.
o Some consumers think that Kara can come up with new fragrance to increase
range of products.
o Among the variants of Kara wipes, refreshing wipes with AloeVera & Mint has
most popularity followed by make-up removal and toning wipes of Skin care
category.
Two packets of wipes, one with fragrance of aloe vera & cucumber and another
with fragrance of Neem & Tulsi were given to us in group of two. We have to
sell it to the retailers who are already the retailers of Kara. The strategy behind
this is company want to know that if they will come with new fragrance like
Neem& Tulsi will it make sense or not. We are asked to collect orders from
different retail shop, note down the order and mail it to our mentor in excel
sheet. We have collected orders from different areas of Delhi like Laxmi nagar,
Pandav nagar, Mandawali, Mayur vihar phase-1 extension, Mayur vihar phase-
1, Patparganj village. Distributor of Klenox is also SKA enterprises, and they
are losing their reputation in the market because they are not taking order on
time and delivery is also not proper. So we have faced many problems when
retailers use to know that distributor of Klenox is same as that of Kara. They
refuse to get us order saying our distribution is not ok. One more strategy
formed by company is that on Kara products retailers got 20% margin on MRP
while this wipe is offering 25% margin on MRP. They have another scheme of
(12+1) i.e. if the retailer ordered for 12 packets of wipes he will get an extra
packet of his own choice. Due to non-delivery of stock on time for the order
that we collect from different market, company has decided to stop us from
collecting orders. Generally if the stock is not delivered within 15 days from
the date on which order is generated either it get cancelled. As there is problem
within their marketing strategy they have again given us survey work. But the
good thing about this project is that we are able to interact directly with
retailers and to make someone ready to try a new product is really a tough task.
But the result of our hard work is in front of us, Klenox has came into retail
outlets, medicos and hypermarket. I have attached excel worksheet of order
taken by us with the report.
o Kara can be introduced in hotels and restaurants replacing hand washes and
Luke warm water bowl with slices of lemon because Handys has features like
ease of availability, ease of accessibility and refreshing in nature.
o Kara is only famous among females and awareness level in male is very poor, they
consider it as a product that can be used only by females, I would like to
recommend company to change the hoarding of Kara that displayed women on it
and come with some concept that describes Kara as a natural product.
i. Retailers are getting very high margin from Chinese wipes and
other brands so the company should take care of its retailer’s
expectations.
k. Company should appoint some people who visit the retail outlets in
hyper market at fixed interval to see the display of their product.
Because during my journey of internship I have felt that proper
display is very much necessary to attract the consumers. In
STORE99 at Nirman vihar Kara are placed in shelf along with zuci
wipes that has some special offers with it. This distracts the minds
of customers because every customer wants to gain something for
which they are not required to pay.
o It was very interesting to interact with the customers and know from them what
they actually expect from Kara.
o Display of the product is very much necessary, normally in the retail store we
see some products are very well placed on the front shelves with posters and
display lights .company is paying a fixed amount to retail outlets and buy a
shelf for its product.
o Retailers only kept focusing on margin they get on MRP, rather than on quality
of product company is offering.
o The company has given us a chance to learn about placing a new product in
market. During placing direct interaction with the retailers and introducing a
new product, its characteristics and convincing them to order was an awesome
experience.
o Due to market research project I have got an opportunity to see the trends of
retail outlets like Store99. Apart from company’s work of positioning Kara, I
have learnt about how stock comes in retail outlets, how to manage inventory,
how to sell products who are near to expiry by giving some offer on it. Change
is very important because managers of Store99 kept on changing display of
every section within a week and it really promotes sales.
One of the project which was assigned to us “placing of new product Klenox” in
market has been successful. The Klenox wipes has came into retail outlets, medicos
and hyper markets.
http://www.adityabirla.com
http://www.adityabirla.com/products/index.htm
http://www.adityabirla.com/our_companies/indian_companies/grasim_overview.htm
http://www.birlacellulose.com/
http://www.birlacellulose.com/applications/applications_non-wovens.htm
http://www.grasim.com/
www.wikipedia.com.