A PROJECT REPORT ON

EFFECTIVNESS OF SALES PROMOTION AND FECTIVNESS CONSUMER SATISFACTION TOWARDS P&G P&G

UNDER GUIDANCE OF: FACULTY: CORPORATE GUIDE:

MR. MUKESH MISHRA MARKETING (RCM) MR. MR. BIMAL MOHAN KANUNGO BE, P&G (OM ASSOCIATE) ,

SUBMITTED BY:

AJITAV KUMAR KUMAR REG. NO-0806247002, BATCH-2008-10 NOBATCH-2008-

Of Regional College Of Management, Bhubaneswar Towards The Partial Fulfillment Of Requirement For The Award Of The Degree Of Master Of Business Administration.

Regional College of Management of Bhubaneswar

Declaration

I Ajitav Kumar, hereby declare that, the project entitled Effectiveness of Sales promotion on P&G Product is submitted by me to P&G is based completely on my own work, experience in the past one and half months in your organization.

Place: Bhubaneswar Date:

Signature

Acknowledgment
As I am giving finishing touch to the present piece of work and look back to catalogue my felling toward all those who have help me in endeavour, I first begin the acknowledgment with a prayer to God, as we must all God, say almighty be praised for he saw us through every crucial task. ay I am expressing my deep gratitude to P&G for giving an opportunity to do a project on effect of sales promotion and study under them.... I would like to thank Mr. Bimal Mohan Kanungo (BE, P&G) for (BE, assisting & guiding me throughout the training programme. I am also extremely grateful to my project guide Mr. Mukesh Mishra (Faculty Marketing, RCM) for assisting and guiding me throughout the project. I am very grateful to RCM for providing me the opportunity of taking up such a practical project which gave me a firsthand useful experience. Last but not the least; I also like to thanks all the respondents & my ving friends for giving me their precious time, relevant information and experience without which the project would have been a different story. ut

Ajitav Kumar

Corporate Guide Certificate

This is to certify that the work entitled A Study on Effectiveness of A Product Sales Promotion on P&G Product is the piece of team project done by Ajitav Kumar student of MBA (Second Year) under the guidance and supervision for partial fulfilment of MBA curricul of Regional College curriculum of Management, Bhubaneswar.

To the best of my knowledge and belief the term project report: 1. Embodies the work of candidate them self. 2. Has been duly completed. 3. Is up to the standard both in respect to the content and language for being referred to the examiner.

(Bimal Mohan Kanungo Bimal Kanungo) BE, P&G ,

Faculty Guide Certificate

This is to certify that the work entitled A Study on Effectiveness of A Product Sales Promotion on P&G Product is the piece of team project done by Ajitav Kumar student of MBA (Second Year) under the guidance and supervision for partial fulfilment of MBA curriculum of Regional College of Management, Bhubaneswar.

To the best of my knowledge and belief the term project report: 1. Embodies the work of candidate them self. 2. Has been duly completed. 3. Is up to the standard both in respect to the content and language for being referred to the examiner.

(Mukesh Mishra ukesh Mishra) Faculty Marketing, RCM

ABSTRACT
As the title of the project suggests, this project is all about s tle study of the effectiveness of sales promotion to P&G product in Bhubaneswar Bhubaneswar. The population of the city growing rapidly so as the market size. Due to the technological advancement and changing preferences of the advancement consumers there is cut throat competition in the market. As the per capita income of the city is increasing, it leads to betterment city in the living standard of the people it provide ample opportunity for people, FMCG companies to increase their market penetration. Since every company wants to enjoy the major market share, so it beca the became indispensible for all the existing companies to make strategic and tactical moves frequently. The major competitors for P&G are HUL, l Dabur, Marico, calvincare Godrej, Himani, Colgatecalvincare, -Palmolive, Nestl, Reckitt Benckiser etc. As this project is all about the detail study of FMCG product in Bhubaneswar market, a lot of survey throughout Bhubaneswar is conducted, by which all the primary information about the products were collected. In this process several wholesaler, retailer and the customers were surveyed. All the required secondary informations were required gathered from the company as well as from the internet, books & company journals. In order to find out the Brand & their price preferences and the service level they want from a company, a questionnaire has been prepared. The questionnaire for the existing retailers and customer will help to interpret the satisfaction level of the brand they currently have. lp At last the required data were extracted from the questionnaire and by adopting different suitable charts the conclusion about the effectiveness of sales promotion of P&G and their market P&G potential as comparison to other brands drawn.

Sl.No.

Chapters
DECLARATION ACKNOWLEDGMENT CERTIFICATES ABSTRACT

Page No.

01. 02.

Introduction Executive Summary 2.1 Product 2.2 Company Profile Literature Review Research Objective Research Methodology Data Analysis & Interpretation Findings & Suggestion Conclusion Bibliography Annexure QUESTIONNAIRE

03. 04. 05. 06. 07. 08. 09. 10.

CHAPTERCHAPTER 1

INTRODUCTION. INTRODUCTION

Introduction:
In todays fast running world, FMCG products become the basic need of human beings g world, life. One cant even think to lead a life without the use of them. These product make them. products their live a little better, everyday. India has 113,000-crore FMCG market. This figure in itself shows the potential and size crore of the FMCG market India have. Now question arise What is FMCGs FMCGs? WE regularly talk about things like butter, potato chips, toothpastes, razors, household care products, packaged food and beverages, etc. They are called FMCGs. FMCG is an acronym for Fast Moving Consumer Goods, which refer to things that Fast Goods, we buy from local markets on daily basis, the things that have high turnover and are relatively cheaper.

FMCG Products and Categories

Personal Care, Oral Care Hair Care, Skin Care, Personal Wash (soaps) Care, (soaps); Cosmetics and toiletries deodorants, perfumes, feminine hygiene paper toiletries, hygiene, products; Household care fabric wash including laundry soaps and synthetic detergents;

Sector Outlook
FMCG is the fourth largest sector in the Indian Economy with a total market size of Rs. 60,000 crores. FMCG sector generates 5% of total factory employment in the country and is creating employment for three million people, especially in small towns and rural ent India.

Analysis of FMCG Sector:

Strengths: 1. Low operational costs 2. Presence of established distribution networks in both urban and rural areas 3. Presence of well-known brands in FMCG sector known

Weaknesses: 1. Lower scope of investing in technology and achieving economies of scale, especially in small sectors 2. Low exports levels 3. "Me-too" products, which illegally mimic the labels of the established brands. These too" products narrow the scope of FMCG products in rural and semi urban market. cope semi-urban Opportunities: 1. Untapped rural market 2. Rising income levels, i.e. increase in purchasing power of consumers 3. Large domestic market - a population of over one billion. 4. Export potential 5. High consumer goods spending Threats: 1. Removal of import restrictions resulting in replacing of domestic brands domestic 2. Slowdown in market demand due to economic recession. 3. Tax and regulatory structure imposed by the govt.

Indian FMCG Market:

The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of US$ 13.1 billion. It has a strong MNC presence and is characterised by a well established distribution network, intense competition between the organised and unorganised segments and low operational cost. Availability of key cost. raw materials, cheaper labour costs and presence across the entire value chain gives India a competitive advantage. The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories well like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer 'upgrading' in the matured product categories. With 200 million people expected to shift to processed and packaged food

10

by 2010, India needs around US$ 28 billion of investment in the food 0, food-processing industry.

FMCG industry set for 20-30% growth on increased rural demand:

The FMCG industry is set to grow 20 20-30 per cent in 2009-10, up from 10 10, 10-20 per cent in 2008-09. The growth would be driven by the launch of new products and increasing rural consumption, according to industry experts The beverage industry in India is being estimated to grow at 17% this year, according to experts. Food and beverages segment has not suffered despite the slowdown in the despite economy. Coca Cola India Ltd, for instance, continued to report growth for an eleventh straight quarter. E.g. Coca-Cola in India reported solid first quarter 2009 results despite -Cola a challenging economic environment, with unit case volume increasing 31 per cent with eight quarters out of the 11 quarters delivering double double-digit growth. There has not been any drop in demand for consumer products at popular price points. However, there may have been some narrowing in demand at th top-end of the the market; in the mass market, demand continues to be strong, both from rural and urban markets. Company is looking at penetrating deeper into rural and semi urban markets. New semi-urban launches and geographical extensions of various brands will add impetus to growth.

Top 10 FMCG Companies

1. Hindustan Unilever ltd. 2. ITC (Indian Tobacco Company Company) 3. Nestl India 4. GCMMF (AMUL) 5. Dabur India 6. Asian Paints (India) 7. Cadbury India 8. Britannia Industries Industries. 9. Procter & Gamble Hygiene and Health Care 10. Marico Industries

11

Scope Of The Sector:

The Indian FMCG sector with a market size of US$13.1 billion is the fourth largest sector in the economy. A well well-established distribution network, intense competition k, between the organized and unorganized segment characterize the sector. FMCG sector is expected to grow by over 60% by 2010. That will translate into an annual growth of 10% over a 5-year period. It has been estimated that the FMCG sector will rise from . around Rs 56,500 crores in 2005 to Rs 92,100 crores in 2010. Hair care, household care, male grooming, female hygiene and the chocolates and confectionary categories are estimated to the fastest growing segments, according to HSBC report.

Growth prospects
With the presence of 12.2% of the world population in the villages of India, the Indian rural FMCG market is something no one can overlook. Increased focus on farm sector will boost rural incomes, hence providing better growth prospects to the F FMCG companies. Because of the low per capita consumption for almost all the products in the country, FMCG companies have immense possibilities for growth. And if the companies are able to change the mindset of the consumers, i.e. if they are able to take the consumers to branded products and offer new generation products, they would be he able to generate higher growth in the near future. However, the demand in urban areas would be the key growth driver over the long term. Also, increase in the urban population, along with increase in income levels population, and the availability of new categories, would help the urban areas maintain their position in terms of consumption. At present, urban India accounts for 66% of total FMCG consumption, with rural India accounting for the remaining 34%.

Indian Competitiveness and Comparison with the World Markets: s:

The following factors make India a competitive player in FMCG sector: Availability of raw materials Presence across value chain - For example, Amul supplies milk as well as dairy products like cheese, butter, etc.

12

Labour cost comparison - India's labour cost is amongst the lowest in the world, after China & Indonesia. Low labour costs give the advantage of low cost of production.

Indian Consumer Class:

India has a population of over 1 billion and 4 climatic zones, several religious and personal beliefs, 15 official languages, different social customs and foods habits languages, characterize Indian consumer class. Besides, India is also different in culture as compared to the other countries. Therefore, India has high distinctiveness in demand ther and the companies in India can get a lot of market opportunities for the various classes of consumers. Consumer goods marketer experience that dealing India is like dealing with many small markets at the same time. Indian consumer goods markets is expected to reach $400 billion by the 2010. India has the youngest population, there are lots of young people with different income category. Consumer goods marketers are often faced with a dilemma regarding the choice of dilemma appropriate market segment. But in India they do not have to face this dilemma largely t in because rapid urbanization, increase in demand, presence of large number of young population, any number of opportunities is available The bottom line is that Indian available. ttom 13

market is changing rapidly and is showing unprecedented consumer business unprecedented opportunity. Indian consumer class can be classified according to the following criteria: 1. Income 2. Socio-Economic status. 3. Age demographics 4. Geographical dispersion

Conclusion:
With the liberalization and growth of the Indian economy since the early 1990s, the Indian customer witnessed an increasing exposure to new domestic and foreign products through different media, such as television and the Internet. Apart from this, social changes such as increase in the number of nuclear families and the growing number of working couples resulting in increased spending power also contributed to the increase in the Indian consumers' personal consumption. As a whole, these changes have the positive impact, leading to rapid growth in the retailing industry, and created a huge potential for the FMCG markets.

14

CHAPTER- 2 C

EXECUTIVE SUMMARY.
2.1 2.2 COMPANY PROFILE PROFILE. PRODUCT.

15

Company profile: ny
P&Gs billion-dollar brands are platforms for innovation. They are global dollar leaders. Consumers want them in their homes. Retailers want them in their stores. They enable us to bring innovation to consumers around the world effectively, efficiently and profitably. They make consumers lives a little better, profitably. every day. A.G. Lafley For nearly 172 years, P&G has been providing trusted brands that make every day a little better for the worlds consumers. P&G has the largest lineup of leading brands in its industry, with 23 brands with over $1 billion in annual sales, and another ry, 20 brands generating about $500 million or more in annual sales. These 43 brands have delivered a 9-year compound average sales growth rate of year approximately 10% double the growth rate of the balance of P&Gs of brand portfolio. Procter & Gamble Co. (P&G, NYSE: PG) is a Fortune 500, rocter American multinational corporation headquartered in Cincinnati, Ohio, that manufactures a wide range of consumer goods. As of 2008, P& P&G is the 8th largest corporation in the world by market capitalization and 14th largest US company by profit. It is 10th in Fortune's Most Admired Co Companies list (as of 2007). P&G is credited with many business innovations including brand management and the soap opera soap opera.

COMPANY HISTORY:
William Procter, a candle maker, and James Gamble, a soap maker maker, immigrants from England an Ireland, respectively, who met as they both married and sisters, Olivia and Elizabeth Norris, formed the company initially. Alexande Norris, their Alexander father-in law, persuaded his new sons law to become business partners. On sons-in-law October 31, 1837, as a result of the suggestion, Procter & Gamble was born. In 1859, sales reached one million dollars. By this point, approximately eighty , employees worked for P&G. During the American Civil War, the company won contracts P&G.

16

to supply the Union Army with soap and candles. That not only increased their profit but also make them popular thorough out the country.

The company's leaders began to diversify its products as well and, in 1911, diversify began producing Crisco, a shortening made of vegetable oils rather than animal fats. , As radio became more popular in the 1920s and 1930s, the company sponsored a number of radio programs. As a result, these shows often became commonly known as often "soap operas". The company moved into other countries, both in terms of manufacturing and product sales, becoming an international corporation with its 1930 acquisition of the Newcastle upon Tyne-base Thomas Hedley Co...The company introduced "Tide" based laundry detergent in 1946 and "Prell" shampoo in 1947. In 1955, Procter & Gamble , began selling the first toothpaste to contain fluoride, known as "Crest". Branching out once again in 1957, the company purchased Charmin Paper Mills and began , manufacturing toilet paper and other paper products. Once again focusing on laundry, Procter & Gamble began making "Downy" fabric softener in 1960 and "Bounce" fabric softener sheets in 1972. One of the most revolutionary products to come out on the market was the company's "Pampers first test-marketed in 1961 Prior to these "Pampers", 1961. point disposable diapers were not popular, although Johnson & Johnson had developed a product called "Chux". In January 2005 P&G announced an acquisition of Gillette, form forming the largest consumer goods company and placing Unilever into second place. This added brands such as Gillette razors, Duracell, Braun, and Oral B to their stable. In Oral-B 2008, P&G branched into the record business with its sponsorship of Tag Records, as , an endorsement for TAG Body Spray. dorsement P&G's dominance in many categories of consumer products makes its brand management decisions worthy of study. For example, P&G's corporate strategists mu the likelihood of one of their products canniba cannibalizing the sales of another. On August 24, other. 2009, the Irish-based pharmaceutical company Warner Chilcott announced they had based bought P&G's prescription-drug business for $3.1 billion. drug

17

GOLDEN EYE VISION:

Golden eye vision is nothing but it is P&G vision to achieve prosperity. It is lies on: To delivers retail performance, a standard benchmark on availability, visibility, and sustainability in all covered store. To deliver competitive advantage at the retail outlet through conceptual selling. To be the preferred suppliers for the trade. To maintain RPS Retail Performance Standard by concentrating on two basic element 1. Distribution . 2. Visibility.

COMPETITIVE ADVANTAGES:
Superiority over competitor in the area of 1. Distribution or ranging. 2. Visibility or presence over the point of sales. 3. Mercandising. 4. Preferred supplier status. 5. Winning strategy in the store.

PURPOSE, VALUE, PRINCIPLE (PVP):

P&G has firm belief that its business is built on strong foundation of PVP. This PVP is key to their long term success. PURPOSE: OUR PURPOSE: P&G will provide branded products and services of superior quality and value that improve the lives of the world's consumers. As a result, consumers will reward us with leadership sales, profit, and value creation, allowing our people, our shareholders, an and the communities in which we live and work to prosper. OUR VALUE: We build our organization from within, promoting and rewarding people without regard to any difference unrelated to performance. We act on the conviction that the men and women of Procter & Gamble will always be our most important asset. LEADERSHIP: We focus our resources to achieve leadership objectives and strategies. ocus We develop the capability to deliver our strategies and eliminate organizational barriers.

18

OWNERSHIP: We accept personal accountability to meet our business needs, improve our systems, and help others improve their effectiveness. INTEGRITY: We are honest and straightforward with each other. We uphold the values and principles of P&G in every action and decision. PASSION FOR WINNING We are determined to be the best at doing what matters most. We have a compelling desire to improve and to win in the marketplace. TRUST We respect our P&G colleagues, customers, and consumers, and treat them as we want to be treated. We have confidence in each other's capabilities and intentions. e We believe that people work best when there is a foundation of trust. PRINCIPLE: OUR PRINCIPLE: We Show Respect for All Individuals We believe that all individuals can and want to contribute to their fullest potential. We inspire and enable people to achieve high expectations, standards, and challenging goals. The Interests of the Company and the Individual Are Inseparable We believe that doing what is right for the business with integrity will lead to mutual success for both the Company and the individual. Our quest for mutual success ties us together. We Are Strategically Focused in Our Work We operate against clearly articulated and aligned objectives and strategies. articulated We only do work and only ask for work that adds value to the business. We Value Personal Mastery We believe it is the responsibility of all individuals to continually develop themselves and others. We Seek to Be the Best We benchmark our performance rigorously versus the very best internally and externally. We learn from both our successes and our failures. 19

Innovation Is the Cornerstone of Our Success We place great value on big, new consumer innovat innovations. Mutual Interdependency Is a Way of Life We take pride in results from reapplying others' ideas. We Are Externally Focused We develop superior understanding of consumers and their needs. We develop close, mutually productive relationships with our customers and our suppliers. We are good corporate citizens.

Social Responsibility:
P&G, Social Responsibility stems from our Corporate PVP (Purpose, Values, Principles). Social Projects are in keeping with P&Gs credo of Business with a Purpose. P&G has always demonstrated its commitment to the community not just . through the quality of its products and services, but also through socially responsible initiatives for the community. P&G believe in building the community in which we live nitiatives and operate by supporting its ongoing development.

Project Shiksha II: Educating Underprivileged Children : Project Shiksha: Secure Your Childs Future (2003) Rebuilding Lives In Earthquake Hit Bhuj (2001/2002) Project Poshan: Fighting Malnutrition in India (2000) Project Open Minds: Educating Indias Working Youth (1999) Project Drishti: The First ever Sight Restoration Programme in India (1999) First-ever Project Future Focus: The First-Ever Round Write-In Career Guidance Service In (1998) Project Peace: Environment Education Programme (1996)

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Breakthrough marketing strategy:

Procter & Gamble (P&G) is of the most skillful marketers of the consumer packaged goods. The company scope and accomplishments are staggering. It employs and more than 138,000 people in more than 180 countries; is a global leader in the majority of the 43 different product categories in which it competes; has $23 billion global brands; spends more than $5 million a day on R&D; and has total worldwide sales of day more than $76 billion a year. Its sustained market leadership rests on a number of different capabilities and philosophies: Customer Knowledge: P&G studies its customers- both end consumers and trade partners- through continuous marketing research and intelligence rough gathering. It also puts more emphasis on getting its marketers and researchers out in the field, where they can interact with the customers and retailers. Long-term outlook: P&G takes time to analyze each opportunity carefully and term prepare the best product, and then commits itself to make this product successful. Product innovation: P&G is an active product innovator, devoting $1.8 billion (3.5% of sales) to research and development. Part of its innovat innovation process is developing brands that offer new consumer benefits. E.g. Pantene potion Quality strategy: w hen P&G says New and improved it means it. P&G design a product of above average quality and continuously improve them. above-average Brand extension strategy: P&G produces its brands in several size and forms. &G This strategy gains more self space and prevents competitors from moving in to satisfy unmet market needs. P&G also uses its strong brand to launch new products with instants recognition and much less advertising outlays. Like Old advertising spice was successfully extended from man fragrances to deodorants. Multibrand strategy: P&G markets several brands in the same product category. Each brand meets the different consumers wants and competes against specific competitors brands. But in recent year to assemble a stronger competitors brand portfolio reduces its too many brands and its flavor, size and verities. Communication pioneer: A pioneer in using the power of television & web to create strong consumer awareness & preferences. Its also infusing stronger emotional appeals into communication to create deeper consumer connection. 21

Aggressive sales force: P&G manages a strong and well trained sales force. A nages key to its success is the close ties its sales force forms with retailer, es especially MR channel like Big Bazaar, Vishal Mega mart etc. Manufacturing efficiency and cost cutting: P&Gs reputation as great marketers is matched by its excellence as a manufacturing company. P&G spend a large sums developing and improving production and operation to keep and its costs among the lowest. Brand management system: P&G originated the brand management system, in which one executive is responsible for each brand. Recently P&G , modifies its general management system so that each brand category is now run by category managers with its volume and profits responsibility. Conclusion: its easy to see that P&Gs success is not on doing one thing well, but on successfully orchestrating the myriad factors that contributes to the market leadership.

FACTS AND FIGURES:

Type: Founded: Headquarters: Key people: Industry: Revenue: Net income: Employees: Public (NYSE: PG) 1837 Cincinnati, Ohio, USA; Toronto, Ontario, Canada Bob McDonald, President, and Chief Executive. Consumer goods US$83.503[1] billion (2008) US$12.075[1] billion (2008) 138,000

Having sales operation in more than 180 countries. Devoting $1.8 billion to R&D & employs more science PhDs than Harvard, Berkeley, and MIT combined and applies for roughly 3,000 patents each year. USA largest advertiser, spending over $5 billion a year on the advertising.

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Company Overview: Overview:

P&G organizational corporate structure is comprised of four pillars:
i. ii. Global Business Units (GBUs), Global Business Services (GBS) and ii. Global Operations, IV. Corporate Functions (CF).

Global Business Unit (GBU)

The primary responsibility of the GBUs is to develop the overall strategy for our brands. They identify common consumer needs, develop new product innovations and upgrades and build our brands through effective commercial innovations and marketing plan. The following provides detail on GBU
Billion Dollar Brands

GBU

Reportable segment

% of Net Sales*

% of Net Key Products Earnings*

Beauty

Beauty

23%

22%

Head & Cosmetics, Shoulders, Deodorants, Hair Care Olay, Pantene Blades and Razors, Face and Shave Products Oral Care, Personal Health Care Gillette, Mach3 Oral-B, Vicks

Beauty Health and WellBeing

Grooming

9%

13%

Health Care

17%

21%

Household Care

Fabric Care and Home Care

29%

26%

Batteries, Fabric Care Diapers, Napkin

Ariel, Duracell, Tide Whisper, Pampers

Household Care

Baby Care and Family Care 18%

16%

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0.35 0.3 0.25 %Sales & %Earning 0.2 Reportable segment 0.15 0.1 0.05 0 1 2 3 4 5 6 7 8 % of Net Sales* % of Net Earnings*

Reportable segment

Global Operations is comprised of our Market Development Organization (MDO), which is responsible for developing go market plans at the local level. The go-to-market
MDO includes dedicated retail customer, trade channel and country-specific teams. It is countryorganized along five geographic units: North America, Western Europe, Central & Eastern Europe/Middle East/Africa (CEEMEA), Latin America and Asia, which is comprised of Japan, Greater China and ASEAN/Australia/India/Korea (AAIK). ASEAN/Australia/India/Korea

GBS provides technology, processes and standard data tools to enable the GBUs and
the MDO to better understand the business and better serve consumers and customers. The GBS organization is responsible for providing world-class solutions at a low cost and with minimal capital investment.

CF provides the Company-level strategy and portfolio analysis, corporate accounting, -level
treasury, external relations, governance, human resources and legal, as well as other centralized functional support.

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Strategic Focus
P&G is focused on strategies that we believe are right for the long long-term health of the Company and will increase returns for our shareholders. The Companys long-term financial targets are: term

Organic sales growth of 4% to 6%. This is comprised of:

o o

3% to 4% of market growth, plus 1% to 2% of share growth 0% to 1% of mix enhancement and whitespace expansion, plus 1% of growth acceleration behind revenue synergies associated with the Gillette acquisition.

Operating margin expansion of 50 to 75 basis points. Diluted net earnings per share (EPS) growth of 10%. Free cash flow productivity of 90% or greater (defined as the ratio of operating cash flow less capital expenditures to net earnings).
o

Capital spending at or below 4% of net sales annually. nding

In order to achieve these targets, we will focus on three primary areas:

Grow our leading, global brands and core categories. Our portfolio includes 23 brands that generate over $1 billion in annual sales and 20 brands that generate approximately $500 million or more in annual sales. Combined, these 43 brands account for 85% or more of our sales and profits.

Build business with underserved and unserved consumers We are consumers. increasing our presence in developing markets, where 86% of the worlds population lives.

Continue to grow and develop faster growing, structurally attractive faster-growing, businesses with global leadership potential.

Also leverage core strengths that create competitive advantages and greatest value are critical to winning in the consumer products industry: consumer knowledge, innovation, brand brand-building, go-to-market capabilities and market scale.

Finally, strengthening the depth, breadth and quality of leadership a all at levels of the Company to make P&G a more demand driven, real demand-driven, real-time, futurefocused organization. 25

Product:
Procter & Gamble Co. (P&G) is an American company based in Cincinnati, Ohio that manufactures a wide range of consumer good In India Proctor & Gamble have two goods. subsidiaries: P&G Hygiene and Health Care Ltd. and P&G Home Products Ltd. P&G Hygiene and Health Care Limited is one of India's fastest growing Fast Moving Consumer Goods Companies with a turnover of more than Rs. 500 crores. It has in it its portfolio famous brands like Vicks & Whisper. P&G Home Products Limited deals in Fabric Care segment and Hair Care segment. It has in its kitty global brands such as Ariel and Tide in the Fabric Care segment, and Head & Shoulders, Pantene, and Rejoice in the Hair Care segment. Procter & Gamble's relationship with India started in 1951 when Vicks Product Inc. India, a branch of Vicks Product Inc. USA entered Indian market. In 1964, a Inc. public limited company, Richardson Hindustan Limited (RHL) was formed whi which obtained an Industrial License to undertake manufacture of Menthol and de mentholised peppermint oil and VICKS range of products such as Vicks VapoRub, Vicks Cough Drops and Vicks Inhaler. In May 1967, RHL introduced Clearsil then Clearsil, America's number one pimple cream in Indian market. In 1979, RHL launches Vicks Action 500 and in 1984 it set up an Ayurvedic Research Laboratory to address the common ailments of the people such as cough and cold. In October 1985, RHL became an affiliate of The Procter & Gamble Company, USA and Gamble its name was changed to Procter & Gamble India. In 1989, Procter & Gamble India launched Whisper - the breakthrough technology sanitary napkin. In 1991, P&G India launched Ariel detergent. In 1992, The Procter & Gamble Company, US incr increased its stake in Procter & Gamble India to 51% and then to 65%. In 1993, Procter & Gamble India divested the Detergents business to Procter & Gamble Home Products and started marketing Old Spice Brand of products. In 1999 Procter & Gamble India Limited changed the name of the Company to Procter & Gamble Hygiene and Health Care hanged Hygiene Limited. P&G Home Products Limited was incorporated as 100% subsidiary of The Procter & Gamble Company, USA in 1993 and it launched launches Ariel Super Soaker. In the same year Procter & Gamble India divested the Detergents business to Procter & Gamble Home Products. In 1995, Procter & Gamble Home Products entered the Hair care Category with the launch of Pantene Pro V shampoo. In 1997 Procter & Gamble Pro-V Home Products launches Head & Shoulders shampoo. In 2000, Procter & Gamble Home Products introduced Tide Detergent Powder - the largest selling detergent in the world. In 2003, Procter & Gamble Home Products Limited launched Pampers - world's number one selling diaper brand.

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Today, Proctor & Gamble is the second largest FMCG Company in India after Hindustan Lever Limited.

Problem Faced in Indian Market:

During 1988, when P&G started their business in Indian market, they find out several irregularities in the Indian market. Large number of stockist. ber Low quality of sailing effort. Always Push focus. Low consumer capabilities. Poor service level. Lots of complexities regarding govt. rules and regulation for foreign Investor.

Improvisation:
Much improved Resale Process (BCP). Distribution infrastructure. n Improved support to resale process. Enhanced organisation capabilities. P&G replenishment capabilities. Bring speed to the market. Strengthen sales force (distributer sales executive + Merchandising agent)

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P&G PRODUCT CATEGORY: GLOBALLY. RY:

Air fresheners: Febreze Air Fresheners Antiperspirants & Deodorants: Old Spice Secret Baby & Child Care: Charmin Children's Peptz Clearblue Easy Dreft Luvs Pampers Pampers Kandoo Pampers Under Jams Puffs Batteries: Duracell Body Wash & Soap: Camay Ivory Olay Old Spice Safeguard Zest Colognes: Old Spice P&G Professional Cosmetics: Cover Girl Max Factor Dish Washing Cascade Dawn Ivory Joy Feminine Care: Always Tampax
Hair & care: Aussie Head & Shoulders Herbal Essences Infusium 23 Pantene Hair Color: Clairol Health Care: Align Braun Clearblue Easy Fibersure Metamucil Pepto-Bismol Prilosec OTC Vicks Household Cleaners Cleaners: Bounty Febreze Air Fresheners Mr. Clean Mr. Clean AutoDry Carwash Swiffer Laundry & Fabric Care Care: Bounce Cheer Downy Dreft Era Febreze Air Fresheners Gain Ivory Tide Oral Care: Braun Crest Crest Glide Crest Whitestrips Fixodent Gleem Scope Oral-B

28

fP&G PRODUCT CATEGOGRY: GLOBALLY. P&G

Paper Products: Bounty Charmin Puffs Pet Nutrition: Eukanuba Iams Prescription Drugs: Actonel Asacol Didronel Enablex Macrobid Macrodantin Prestige Fragrances: : BALDESSARINI BOSS BOSS SKIN Bruno banani ESCADA Ghost

Prestige Fragrances Fragrances: Giorgio Beverly Hills HUGO LACOSTE NAOMI CAMPBELL PUMA Shaving: Braun Gillette Fusion Gillette M3Power Gillette Satin Care Gillette Venus Skin Care: Braun Gillette Complete Skincare Olay Small Appliances Appliances: Braun Snacks: Pringles

29

A Billion Dollar Brands:

Twenty-four of P&G's brands have more than a billion dollars in net annual sales and another eighteen have sales between $500 million and $1 billion billion.

Always is a brand of feminine hygiene products, including maxi pads, panty liners, and feminine wipes. , Ariel is a brand of laundry detergent/liquid available in numerous forms and scents. Actonel is a brand of the osteoporosis drug risedronate co marketed by Sanofico-marketed Aventis. Bounty is a brand of paper towel sold in the United States, Canada, and the United Kingdom. Braun is a small-appliances manufacturer specializing in electric razors, appliances manufacturer coffeemakers, toasters, and blenders. Crest is a brand of to toothpaste. Dawn is a brand of dishwashing detergent. Downy/Lenor is a bran of fabric softener. brand Duracell is a brand of batteries and flashlights. Fusion is a brand of men's wet shave razors and is the quickest P&G brand to have reached $1 billion in annual sales. Gain is a brand of laundry detergent and fabric softeners. Gillette is a safety razor manufacturer. Head & Shoulders is a brand of shampoo body wash, and deodorant. Old Spice is a brand of aftershave and shaving cream. Ivory is soap. Nice 'n Easy is a hair colouring product. Olay is a brand of women's skin care products. Oral-B is a brand of toothbrush. Pampers is a brand of disposable diaper. Pantene is a brand of hair care products (conditioners/styling aids). Prilosec OTC is a brand of heartburn medicine co marketed by AstraZeneca. co-marketed Pringles is a brand of potato chips. Puffs is a brand of facial tissue tissue. Secret is a brand of antiperspirant and deodorant. TAG is a deodorant and body spray. Tide is a brand of laundry detergent. Vicks is a brand name of over over-the-counter medicines (Formula 44, Sinex, counter NyQuil/DayQuil) Wella is a brand name of hair care products (shampoo, conditioner, styling, and hair color). Whisper is a brand of panty liners sold primarily in Asian market

30

P&G PRODUCT IN INDIAN MARKETS MARKETS:

FABRIC AND HOME CARE: TIDE ARIEL HAIR CARE: HEAD & SHOULDER PANTENE REJOICE HEALTH CARE: VICKS FEM CARE: WHISPER GILLETTE 7 OCLOCK ORAL CARE: ORAL B TOOTHBRUSH PERSONAL CARE: DEODRANT GEL COMB BATTRIES: DURACELL BABY CARE: PAMPERS BLADE & RAZOR:

31

CHAPTERCHAPTER 3

LITERATURE REVIEW.

32

MARKETING COMMUNICATION:
Modern marketing is the management of the four Ps product, price, promotion, and place or distribution channel. In a sense the entire marketing process has a large content of communication. For instance, the product communicates a distinctive image such as youthfulness, glamour or prestige. The brand name communicates physical lamour and psychological attributes of the product. The package communicates to the a manufacturer thinks of his convenience and the sense of beauty. The price communicates the quality of the product. There are communication between buyer and There seller i.e. the distribution channel. Thus each element of the marketing mix either helps or hinders communication and ultimately the sales effort effort. The marketing communication or Promotion mix consists of five major tools: 1. Advertising. 2. Sales Promotion. 3. Publicity. 4. Personal Selling. 5. Public Relation.

Integrated Marketing Communication to build Brand Equity:

Sales Promotion Brand Awareness

Advertising

Events & Experience

Marketing Communication programme

Brand Equity

Brand Image

Public Relation & Publicity

Brand Response

Personal selling

Direct Marketing

Brand Relationship

33

Sales Promotion:
Sales Promotion make the consumer take the favourable purchase decision by providing one or the other kind of the direct inducement, e.g., discount, price off, gift, coupon etc. Sales promotion is a short term approach, a direct approach and expects an immediate response in term of sales. Displays and contest are effective methods of sales promotion.

Objectives of the sales promotion:

To introduce new products To attract new customers and retain the existing ones To maintain sales of seasonal products To meet the challenge of competition

Sales Promotion Strategy:

Sales are the lifeblood of a business, without sales there would be no business in the first place; therefore it is very important that if a business wants to succeed, it should have a sales promotion strategy in mind. The primary objective of a sales promotion is objective to improve a company's sales by predicting and modifying your target customers purchasing behaviour and patterns. Sales promotion is very important as it not only helps to boost sales but it also helps a business to draw new customers while at the customers same time retaining older ones. There are a variety of sales promotional strategies that a business can use to increase their sales The importance of a sales promotion sales. strategy cannot be underestimated. This is because a sales promoti strategy is promotion important to a business boosting its sales. When developing a sales promotion strategy for business, it is important that you keep ales the following points in mind.

Consumer attitudes and buying patterns Your brand strategy Your competitive strategy rategy Your advertising strategy And other external factors that can influence your products availability and pricing.

34

Selecting Promotional Tools

A marketer must do the following while planning and sending communications to a target audience: 1. Identify the Audience, Individuals, groups, special publics or the general public. i.e. Intermediaries vs Consumer. ntermediaries vs. 2. Identify the Stage of Product Life Cycle Introductory Inform Publicity/Advertising/Sales force (interm.)/Sales promotion (free samples) Growth Persuade Differentiate from competitors offering Maturity Remind Reminder advertising, Sales promotion (coupons) Decline Cut budget 3. Product Characteristics Complexity Risk 4. Stages of Buying Decision I Adoption Process Not Aware--Advertising/Publicity Advertising/Publicity Aware--no knowledge Advertising/Publicity no Interest--how do they feel? Personal Selling/Sales Promotion/Advertising how Evaluation--should they try? sales promotion/personal selling should Trial--test drive/sales promotion test Adoption--do they purchase? Reminder/reinforceadvertising. do advertising. Communication programs goal must lead consumers to take the final step. 5. Channel Strategies -Push Vs Pull Policy Push-promotes product only to the next institutions down the marketing promotes channel. Pull-promotes directly to consumers, intention is to create a strong promotes consumer demand, primarily advertising and sales promotion.

Scope and importance of sales promotion:

companies are looking to get a competitive edge quick returns are possible for short term profits more consumers are looking for promotions before purchase channel members putting pressure on m manufacturer for promotions Advancement in tech. makes SP easier. (i.e. coupon redemption)

35

Sales Promotion Opportunities and Limitations

Opportunities:
Increase in sales by providing extra incentive to purchase. May focus on resellers (push consumers (pull) or both. push), Objectives must be consistent with promotional objectives and overall company objectives. Balance between short term sales increase and long term need for desired reputation and brand image. utation Attract customer traffic and maintain brand/company loyalty. Reminder functions calendars, T Shirts, match books etc. functions-calendars, Impulse purchases increased by displays Contests generate excitement esp. with high payoffs.

Limitations:
Consumers may just wait for the incentives nsumers May diminish image of the firm, represent decline in the product quality. Reduces profit margins, customers may stock up during the promotion. Shift focus away from the product itself to secondary factors, theref therefore no product differential advantage.

Sales Promotion Methods

Consumer Sales Promotion Techniques
Encourage/stimulate customers to patronize a specific retail store or to try a ncourage/stimulate specific product. Coupons. Demonstrations Frequent User Incentives Point of Purchase Display: Free Samples: Money Refunds/Rebates: Premium Items: Cents-off Offer: off Consumer Contests and Sweepstakes:

Trade Sales Promotion Techniques Techniques:

Trade Sales Promotion Techniques - stimulate wholesalers and retailers to carry lesalers products and to market them aggressively. o

36

Allowances and Discounts: Merchandise...reimburse for extra retail support, i.e. advertising, shelf space Case...discount on cases ordered in specific period. Finance...Paying for financial costs/losses associated with consumer sales promotions. Cooperative Advertising: Manufacturer agrees to pay a certain amount of retailers media. Training of Sales Staff

Importance of Sales Promotion:

The business world today is a world of competition. A business cannot survive if its day products dont sell in the market. Thus, all marketing activities are undertaken to increase sales. Producers may spend a lot on advertising and personal selling. Still the product may not sell. So incentives need to be offered to attract customers to l. buy the product. Thus, sales promotion is important to increase the sale of any product.

From the point of view of manufacturers

Sales promotion is important for manufacturers because 1) it helps to increase sales in a competitive market and thus, increases profits; 2) it helps to introduce new products in the market by drawing the attention of potential customers; 3) when a new product is introduced or there is a change of fashion or taste of consumers, existing stocks can be quickly disposed off; rs, 4) it stabilizes sales volume by keeping its customers with them. In the age of competition it is quite much possible that a customer may change his/her mind and try other brands. Various incentives under sales promotion es schemes help to retain the customers.

From the point of view of consumers

Sales promotion is important for consumers because 1) the consumer gets the product at a cheaper rate; 2) it gives financial benefit to the customers by way of providing priz and sending prizes them to visit different places; 3) the consumer gets all information about the quality, features and uses of different products;

37

4) certain schemes like money back offer creates confidence in the mind of customers about the quality of goods; and 5) It helps to raise the standard of living of people. By exchanging their old items t they can use latest items available in the market. Use of such goods improves their image in society.

Study of the consumer behaviour:

A marketer must understand the social and psychological determinants of the customer behaviour to enable him to plan his marketing strategy appropriately. strategy Consumer buying behaviour refers to the buying behaviour of the final consumers. All of the final consumers combined makeup the consumer m market. The study of the consumer behaviour always focuses on the decision process of individual consumer or consuming unit (family).

Importance:
The concept of the consumer behaviour is dynamic. Therefore, it is necessary to continuously study, analyze and understand this concept, so that he can make the attempts to comprehend the buying process and the factor influencing it, in order to he make the effective decision. Especially the Indian marketing condition, the role of Govt. and continuously changing marketing condition and emerging consumer movement forces marketers to understand and analyse the need, aspiration, expectations and the problem of the consumer. It will be extremely useful in exploiting the marketing opportunities and meeting the challenges that Indian market offers.

Factor affecting the consumer behaviour:

The major factors which influence the CB are delineated as four variables according to ri the Kotler; Culture Subculture Social Class Personal Factors ct Now , lets discuss these in detail:

38

Culture:
Growing up in a society, a child learns basic principle, values, perception, wants and behaviour from the family and other important institution. So marketers are always trying to spot the cultural shifts in order to imagine the new product that might be wanted.

Subculture:
It is based on value system of common life experience and situation, which includes nationalities, religions, racial group and geographic region.

Social classes:
Social classes consist of the member who shares similar values, interests and behaviours. Social classes are based on the no. of the factor such as occupation, income, wealth, education, etc. Marketer is interested in the social classes because people within the given social classes tend to exhibit similar buying behaviour.

Personal factor:
It includes personal characteristics such as age, life cycle stage, occupation, economic ct situation, life style, and personality and self concept.

Customer Psychology:
Applying the social science concept, this determinant may be categorized as: Knowledge - defined as individual own state of awareness. Due to lack of knowledge, limited experience, submissive acceptance, and critical power being not too highly developed. Attitudes and emotions describes a persons relative feeling and tendencies ot toward an object or idea. Attitudes are difficult to change, so company usually try to fit its product into the existing attitudes. Images and symbolism product image and symbol also plays a vital role. The more specific image, narrower the segment of the population to which the product appeals. Intention - refers to anticipated future action of the consumers. E.g. plan of the family to buy the car

39

Motives is an effectual desire that prompts one to definite action. Hattwick classified motives as: Primary motives are those fundamental drives with which people born. Secondary Motive are those principally learned.

Buying motives:
It refers to the feeling, thought, emotions and instincts which are used in the customer desire to purchase the goods. Factors influences are: Fear Fashion Pride of possession Sex and Romance Comfort and Convenience Desire Wealth or Physical W ell being

Distribution Channel:
As sales promotion is designed on the basis of distribution channel and their customer, so it is necessary to know about the distribution channel. Introduction of intermediaries between the consumer and the manufacturer when manufacturer, each element is passing the product down th chain to the next level, before it finally reaches the , the consumer or end-user. This process is known as the 'distribution chain' or the user. 'channel.' Each of the elements in these chains will have their own specific needs, which th the producer must take into account, along with those of the all important end all-important end-user.

Channel membership:
1. Intensive distribution - Where the majority of resellers stock the 'product' 2. Selective distribution - This is the normal pattern where 'suitable' reselle stock the resellers product. 3. Exclusive distribution - Only authorized dealers are allowed to sell the 'product'.

40

Channel motivation
The most usual is `incentive': the supplier offers a better margin, to tempt the owners in the `incentive': channel to push the product rather than its competitors; or a competition is offered to the distributors' sales personnel, so that they are tempted to push the product to product.

DISTRIBUTION NETWORK USED BY P&G:

Factory
R E T A I L T R A D E

D.C.

India ONE India 2A India 2B India 2C

Wholesaler

Modern Retailer

Institution Sub stockist Retail Trade Shoppers Shopper & Consumer

Bases of channel division: India ONE MR per week sales turn over above 0000. India ONE per week sales turn over above 8000. Wholesaler per week sales turn over above 5000. India 2A 15 days sales turn over above 4000. India 2B 15 days sales turn over above 2000. India 2C 15 days sales turn over above 1000.

41

Swot Analysis: is
P&G is a global manufacturer and marketer of consumer products. It operates in five distinct business segments: fabric and home care, beauty care, baby and family care, health care nts: and snacks and beverages. It has some of the most well known and established brands in its well-known portfolio but faces intense competition from other global consumer gia giants as well as local companies.

Strengths :
Large scale of operations Leading market position. Diversified & innovative product portfolio. Strong finances in past year. It is the global leader in all its four core categories - fabric and home care, beauty care, baby and family care, health care. The companys huge buying power (from commodities to media) is being progressively leveraged through global procurement and services. services. A large scale gives P&G significant competitive advantage against the smaller, unorganized players in local markets. ized Strong branding.

Weakness:
Quality control problem. Decreased revenue in its north eastern Asian market.

Opportunity:
Developing market. Demographic trend across the world especially in developing country. Presence of vast untapped rural market in country like India. As society is modernizing day by day living standard and economic status of people no increasing

Threat:
Presence of large no. of competitors. Rising cost of energy price. Economic slowdown across the world. New Regulation. Every day market is segmented, new product arrived in the market. Brand loyalty decreases and people become more price sensitive.

42

CHAPTERCHAPTER 4

RESEARCH OBJECTIVE.

43

Research objective
The main objective is to study the effectiveness of the sales promotion toward the achievement of the customer satisfaction and to boost the short term sales of the company. Basically these sales promotions help the company to increase . their product sales and get better market share against their competitors. To analyse the effectiveness of the sales promotion of P&G. To show, how the sales promotion in creating demand of the product. To visualize the level of increase or decrease customer and retailer satisfaction due to sales promotion. To know the Brand awareness among the people of the Bhubaneswar city. To know the acceptance of the P&G product by the different categories of people of the different age group and the classes of the people in the rent society. To know the factor influencing decision making while going for the purchasing. To find the effect of the sales promotion in the term of the value addition to the consumer and retailer. To recommend the suggestion to improve the effectiveness of the sales end promotion.

44

CHAPTERCHAPTER 6

RESEARCH METHODLOGY

45

RESEARCH METHODOLOGY:
This research study involves knowing the different sales promotion strategy adopted by the P&G. What uniqueness and special features it has got in its product which differentiated it from its competitors and also how its sales promotion effort enhances and stimulates its short term sales.

Process Of The Research:

We completed our proje with visiting different retail outlet who either the stockist or project the sub stockist of the P&Gs product in Bhubaneswar to analyse how sales promotion effort of the P&G boosts up their sales in comparison to their competitors. Here in this research project we focused our self on the effect of the company sales promotion either given to the elf retailer or the consumer to boost the short term sales of the product. So entire project was divided into three parts: 01. Conducting market research in the various part of the city in order to get the idea about the effectiveness of sales promotion effort in bringing the customer and retailer satisfaction. 02. Retailer or consumer perception, views or satisfaction level regarding the sale promotion. are 03. Identification of the factor that a responsible for the retailer or consumer response towards these sales promotion promotion; Like whether offered sales promotion add extra value to their purchase. Explored needs of the consumer. Summarized needs. Approaches toward the new product or brand. Brand loyalty.

Type of study:
Our study is an Empirical Research Empirical Research is practical or data based Research. research. Whatever we have done relies on the experience and observations. Lastly the conclusions with which we have come up are capable of being verified. verified.

Data Sources:
We have collected the data from the eight different areas in the Bhubaneswar city. Data was collected through both the primary and secondary sources Primary data was sources. collected from the market by circulating questionnaires to the respondent and the secondary data was collected from web sites and published material as listed in the bibliography.

Data Collection Method:

The data has been collected through a personal survey.

46

Sampling method: This research is based on the Non Probability Quota

Sampling Method. Since we have selected our sample retail outlet according to channel wise distribution, so it is Judgement Sample rather than random sample. Apart from that we also selected most accessible population members.

Data Collection Instrument: We have collected data using Face tion

to Face (personal interaction) for the customer views as well as for analysing the customers existing customer and Scheduling method for analysing the customers and retailers satisfaction and the effectiveness of the sales promotion. Scheduling method are those method in which a schedules containing relevant question are prepared and then enumerators fill the schedules on the basis of the reply given by respondent. Our questionnaire consists of both open ended and close ended questions.

Inferences:
During process we have found out that personals interactions reveals in depth information as customers and retailers give the detail information about the market and his perception, though it may be unintentional. Carefully listing to those gives important information like their needs, their perception for the brand etc. Scheduling method is a Structured and the directive method of the survey. It can be done at the large scale as compared to the face to face method. The disadvantage with this method is that it does not reveal in depth information may not be even reliable. After dividing the city into zones, the target audience was probed using Interviews and Questionnaires. Questionnaires was later analysed to draw the conclus the conclusive results.

Sample size:

Sample size was taken Retailer: - 102 Consumers: - 54

Sample Unit: Survey Period:

Bhubaneswar Market 05-07-2009 to 02-08-2009 2009

The Research Area comprised of the following places:

47

Sl.no
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Area Covered
GAJAPATI NAGAR MAITREE VIHAR RAIL VIHAR ADIMATA COLONY CHANDRASEKHARPUR NALCO CHHACK BDA COLONY SAILASHREE VIHAR NEELADREE VIHAR KIIT ROAD KANAN VIHAR INFOCITY ROAD UNIT-9 MADHUSUDAN NAGAR ACHARYA VIHAR BHOI NAGAR SAHEED NAGAR RASULGARH GGP PALASUNI

Sample Size 5 4 5 2 4 1 1 15 10 1 4 1 12 4 2 2 6 4 11 6

Channel wise report

India one 20

India 2A 41

India 2B 32

India 2C 08

** these are different Channel That P&G are Using for distribution. Apart from these MR and WHOLESEALER channel are also there.

SCOPE OF THE STUDY :

The Procter & Gamble Company (P&G) is the world largest consumer goods company that markets more than 300 brands in over 180 countries. The company operates in the Americas, Europe and Asia. The company recorded revenues of $83,503 million during FY2008, an increase of 9.2% over FY2007. Provides all the crucial information on Procter & Gamble Company about the sales promotion effort in Bhuban Bhubaneswar city.

48

Contains a study of the major internal and external factors affecting sales promotion and ultimately affecting company sales Support sales activities by understanding customers businesses better Qualify prospective suppliers suppliers. Keep fully up to date on your competitors business structure, strategy and prospects

Limitations of the Study:

Number of the limitation was faced by the researcher when the study was conducted: Poor media exposure, low product & brand awareness awarenessMedia penetration, wh whether electronic or non-electronic is very low in semi urban electronic and rural India. Therefore awareness regarding product, brands and Sales promotion was very low making studies virtually difficult.

Local language communication communicationConversing in the local language of the community was an important limitation.

Social taboos; difficulty in interacting with women respondent respondentInterview timingAs the many retailers are always flooded with customer so it is very difficult to ask question from them and get the answer. The study was restricted to the Bhubaneswar city only. The result of the study may not be applicable for the longer period of time as many new competitors are present and many are in the queue and also the customer needs and preferences were continuously changing with time. Many respondents were very unfamiliar with the survey so that they were either hesitating or not co-operating with the researcher. Due to lack of time, researcher could not able to touch all important aspect and area. It is difficult to prepare the questionnaire which includes all the aspect of the P&G sales promotion effort as the company have a huge product line for the different segment of the customer. Due to lack of resources and time as compared to population sample size was taken urces is very less.

49

CHAPTER- 6 CH

DATA ANALYSIS & INTERPRETATION

HYPERLINK: SIP EXCEL SH.XLSX

50

DATA ANALYSIS AND INTERPRETATION:

NOTE: Sample data presented below are collected from the 101 retail outlet of P&G in Bhubaneswar that comes under the different distribution channel and 50 consumer of P&G product at different outlets.

Bases on which the data are analyzed:

Sales promotion Customer satisfaction level Consumer buying behavior Accessibility of the distribution sources sources. Availability of the products.

Availability of P&G product in stores of 1. bi the Bhubaneswar Market.

Type Categories of the products No. Of Store

1 2 3

All (Consisting all product portfolio) FC,OC,HC&BC Others ( product portfolio according to
need)

66 11 24

Avialiblity of all products

all FC,OC,HC&BC others

24%

11% 65%

Interpretation: Out of 101 surveyed stores of the different region, 65%

stores have all the categories of the product, whereas 24% stores just keep the product according categories according to their customer and 11% having general items like Fabric care, Oral care, etc.

51

2. Distribution of the stores Channelwise.

CHANNEL 2C 2B 2A Wholesaler INDIA ONE NO. OF STORES 8 32 23 18 20

Channelwise analysis
2C 2B 2A Wholesaler INDIA ONE

20% 18% 23%

8% 31%

Interpretation: Out of 101 surveyed stores of the different region, highest

no. Of store comes under channel 2B i.e. 31%, then 23% comes under 2A, 20% under India One, 18% under wholesaler and rest 8% comes under 2C. So we can see that total 61% stores are those having sales turn over Rs4000 per week ee

3. The medium through which customer came to know about sales promotion offer of P&G. MEDIUM RESPODANTS PERCENTAGE
Television Radio Promoters News paper Friends Banners 52 10 3 16 8 12 5 18.519 5.556 29.630 14.815 22.222 9.259

Chart Title
Banners 9% Friends 22% Television 18% Radio 6%

News paper 15%

Promoters 30%

Interpretation: Out of 50 surveyed Consumers of the different region, I

have concluded that 30% of the consumer awareness is bring by the promoters like shopkeepers, sales persons, then 22% were comes to know about the sales promotion by their friends and rest by others.

4. Retailers and Customers response towards ease of access of P&G product.

Easy to Access Yes No Respondents 138 17 Percentage 89.03 10.97

Chart Title
11%

Yes No 89%

Interpretation: Out of total 151 surveyed people i.e. 101 retailers and 50
customers, 89% people said that they have easy access to the P&G products whereas remaining 11% people said that they are facing problem in accessing the P&G product. 53

Analysis of Consumer sales Promotion:

1. The problem faced by the customer during the purchase.
Problem
Lack of knowledge abt. prods Variants prods. Availability of the particular product Response of the retailer NO problem

Respondent Percentage
14 18 10 12 25.93 33.33 18.52 22.22

Chart Title
22% 26% Lack of knowledge abt prod. Varients Availablity of the particular product 33% Response of the retailer NO problem

19%

Interpretation: Out of 50 surveyed Consumers, I have concluded that

33% of the consumers have the problem relating to the availability particular product line of P&G, 26% said that they dont have knowledge about all product variant, whereas 19% are not pleased with the response of the retailer. But 22% people said
that they dont have any problem.

2. Different area where customers want a better performance of P&G wh

Need to improve Pricing Frequency of SP Availability of all product Quality More Ad of SP Respondent 20 13 10 4 7 Percentage 37.04 24.07 18.51 7.41 12.96

54

Need to improve their performance

40 35 30 25 20 15 10 5 0 Pricing Frequancy Avialiblity of of SP all product Quality More Ad of SP

Series2

Interpretation: Out of 50 surveyed Consumers, it can be said that 37% of the

customer want P&G to quote their price better, 24% consumer wants more the frequency of the sales promotion, 18% people wants availability of the product line must be improved in stores, 13% wants better communication about the SP, and nearly 8% demand in improvement in quality.

55

3. Product wise analysis of consumer satisfaction level. Ariel No of Head & Shoulders
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 9 11 15 5 0 10 Degree of satisfaction %age 18 22 30 10 0 20 Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given Consumers 7 9 13 10 2 9 %age 14 18 26 20 4 18

Customer satisfaction analysis of H&S

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

Customer satisfaction analysis of Ariel

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

0% 10%

20%

18%

4% 22%

18%

14% 18%

20% 26%

30%

Interpretation: Out of 50 surveyed Consumers, for Head & Shoulder, 40%

of consumer are satisfied, whereas 30% are neutral & 10% are dissatisfied. for Ariel, 32% of the customer are satisfied, 26% having neutral response and 24% consumer have shown dissatisfaction to some extent.

56

Vicks inhaler
No of Degree of satisfaction Consumers Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given 4 3 17 13 2 11

Pampers
%age 8 Highly satisfied 6 Satisfied 34 26 4 22 Neutral Dissatisfied Fully dissatisfied Data not given 4 6 2 0 37 8 12 4 0 74 1 2 Degree of satisfaction No of Consumers %age

Customer satisfaction analysis of Vicks Inhaler

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

Customer satisfaction analysis of Pamper

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

4%

22%

8%

2% 6% 8% 12% 4% 34% 0% 74%

26%

Interpretation: Out of 50 surveyed Consumers, for Vicks Inhaler, only 14%

of consumer are satisfied are satisfied from current sales promotion, whereas 34% are neutral & 30% are dissatisfied. for Pampers, 10% of the customer are satisfied, 12% having neutral response and 74% consumer have no idea about it as it is baby care product.

57

Oral B
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 15 5 16 5 0 9 %age 30 10 32 10 0 18

Whisper
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 7 3 6 2 0 32 %age 14 6 12 4 0 64

Analysis of Oral B
Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

Customer satisfaction analysis of Whisper

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

0% 10%

18%

30%

14%

6% 12%

10% 32%

64%

4% 0%

Interpretation: Out of 50 surveyed Consumers, for Oral B, 40%

of consumer are satisfied, whereas 32% are neutral & 10% are dissatisfied. For Whisper, 20% of the customers are satisfied, 12% having neutral response and 4% consumer have shown dissatisfaction to some extent. But 64% customer have not given any response.

58

Tide
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers %age 15 7 14 4 1 9 30 14 28 8 2 18

Mach 3 catridge
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers %age 2 7 6 6 3 26 4 14 12 12 6 52

Customer satisfaction analysis of Tide

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

Analysis of Mach 3 cartriges

Highly satisfied Neutral Fully dissatisfied Satisfied than earlier Dissatisfied some what Data not given

2% 8%

18%

4% 30% 52%

14% 12% 12% 6%

28%

14%

Interpretation: Out of 50 surveyed Consumers, for Tiide, 44% d

of consumer are satisfied, whereas 28% are neutral & 10% are dissatisfied. For Mach 3 Cartridges, 18% of the customer are satisfied, 12% having neutral response and 18% consume are dissatisfaction to some extent. 52% have not given their response

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4. Product wise analysis of Best Suggested Offer. Mach 3 cartridge

Best Suggested Offer 2+1 offer advertisement Contest Free gel or Foam Price off data not Given Number of consumers 4 2 1 7 10 26

Head & Shoulder

Best Suggested Offer Free anti dandruff Shampoo Free Conditioner More sachets offer should available on 90 ml Price off Silky black Sachets Coupons Data not given Number of consumers 5 5 8 11 9 1 1 10

Best suggested offer for Mach 3 cartridge

14% 2+1 offer advertisement 8% 52% 4% 2% Contest 20% Free gel or Foam Price off 10%

Best suggested offer for H&S

2+1Offer 1+1 Offer

6% 16% 14%

Gift coupons 2% 4% Free kids tooth brush 10% Free tooth paste Price off

18% 20%

data not Given Satisfied with the current offer

Interpretation: Out of 50 surveyed Consumers,

For Mach 3 that 20% have suggested price off as best consumer offer, whereas 14% go for free Gel or free Foam and 8% have suggested 2+1 offer as best offer. For Head & Shoulder, 20% suggested for price off as best offer, whereas 18% are satisfied with the current offer, 14% have suggested for 1+1 offer.

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Tide Whisper
Best Suggested Offer Offer on Small Packs Free gifts More discounts Offer on all variants data not given Number of consumers 6 4 2 6 32
Best Suggested Offer 450+50 offer Contest Free bar Free blue Free bucket Free gifts Lucky Coupons Price off Data not given Number of consumers 7 1 15 5 0 2 7 4 9

Best suggested offer for Whisper

Offer on Small Packs Free gifts 12% 8% 4% 12% 64% More disconts Offer on all varients data not given 8%

Best suggested offer for Tide

450+50 offer 18% 14% 2% Contest Free bar 14% 10% 4% 30% Free blue Free bucket Free gifts 0% Lucky Coupons Price off Data not given

Interpretation: Out of 50 surveyed Consumers,

For Whisper that 12% have suggested for offer on small pack, whereas 8% go for free Gift and 12% have suggested 12 offer on all variant as best offer. ff For Tide, 30% suggested for free bar, whereas 14% are satisfied with the current offer, 14% have suggested for Lucky coupons offer.

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Vicks Inhaler
Best Suggested Offer 2+1 offer 1+1 offer Free gifts (Tablates & VCD) Price off Data not given Number of consumers 5 7 16 11 11 Contest Free Bucket Cross promotion Free liquid blue Lucky coupons Scratch card Price off Data not given

Ariel
Best Suggested Offer Number of consumers 4 8 1 3 4 1 16 9

Best suggested offer for Vicks Inhaler

2+1 offer

Best suggested offer for Ariel

Cotest Free Bucket

1+1 offer 10% 20% 22% 14% Free gifts (Tablates & VCD) Price off 2% Scratch card Price off Data not given 9% 17% 2% Free liquide blue 35% 9% Lucky coupons Cross promotion

22%

32%

Data not given

6%

Interpretation: Out of 50 surveyed Consumers,

For Vicks Inhaler that 32% have suggested for free gift, whereas 14% go for 1+1 offer and 22% have suggested price off as best offer. For Ariel, 20% suggested for free bucket as best offer, whereas 35% suggested for the price off, 9% have suggested for Lucky coupons.

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Oral B Pampers
Best Suggested Offer Free kids tooth brush Free gifts More discounts Offer small pack Data not given Number of consumers 2 1 4 6 37 Best Suggested Offer 2+1Offer 1+1 Offer Gift coupons Free kids tooth brush Free tooth paste Price off Satisfied with the current offer Free User guide Data not given Number of consumers 3 7 1 2 5 10 9 5 8

Best suggested offer for Pampers

Free kids tooth brush Free gifts 4% 2%

Best suggested offer for Oral B

4% 2+1Offer 1+1 Offer Gift coupons

8% 12% More discounts 10% 18%

16%

6%

14%

Free kids tooth 2% brush Free tooth paste 10% Price off Satisfied with the current offer Free User guide Data not given

74%

Offer small pack

20%

Data not given

Interpretation: Out of 50 surveyed Consumers,

For Pampers that 12% have suggested for offer on small pack as best consumer offer, whereas 8% go for more discount and 4% have suggested for free kid toothbrush. For Head & Shoulder, 20% suggested for price off as best offer, whereas 18% are satisfied with the current offer, 14% have suggested for 1+1 offer.

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5. Age group and Type of Customers at Retail outpost. tp

Age group between 10 to 25 25 to 45 45 and above No. of consumer 12 21 17 percentage 24 42 34

Age group of customer

10 to 25 25 to 45 45 and above

Type of the customers

others 18

housewife 24% 34% bus. Man 16

24

Series1 employee 28

42%

student

14

10

20

30

Occupation student employee bus. Man housewife others

No. of consumer 7 14 8 12 9

percentage 14 28 16 24 18

Interpretation: Out of total 155 surveyed people i.e. 101 retailers and 50
customers, 42% of the customer are of age group of 25 45, maximum of them are either employee or housewife.

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Analysis of Retailers sales Promotion:

1. Analysis of Retailers degree of satisfaction toward different trade sales promotion offer on P&G product.
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 48 63 209 140 20 125 %age 7.93 10.41 34.55 23.14 3.31 20.66

Overall analyasis ofDegreeof satisfaction from retailers sales promotion

21% 3% 8% 10% Highly satisfied Satisfied than earlier Neutral 23% 35% Dissatisfied some what Fully dissatisfied Data not given

Interpretation:

Out of 101 surveyed stores of the different region, when they are asked about their satisfaction level on retailer sales promotion available on 6 om different products, 35% have given their neutral verdict, whereas 18% of the people are comes under satisfied category. Apart from this 26% retailers are fully dissatisfied or to some extent.

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2. Product wise analysis of Retailers degree of satisfaction toward different trade sales promotion offer on P&G product.
Pantene hair potion
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers % age 11 11 0 0 52 52 21 21 4 4 12 12

Tide
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 19 26 27 9 0 20 %age 18.8 25.74 26.73 8.91 0.00 19.80

Analaysis of Pantene potion

Highly satisfied Satisfied than earlier Neutral

Analaysis of Tide
Highly satisfied Satisfied than earlier Neutral 26% 26% Dissatisfied some what Fully dissatisfied Data not given

4% 21%

0% 12% 11%

0% 9%

20%

19%

52%

Dissatisfie d some what Fully dissatisfie d Data not given

Interpretation:

Out of 101 surveyed stores of the different region, For Pantene potion, 52% retailers have Neutral response about this question, whereas 21% are dissatisfied. But data suggest that more than 11% people are satisfied. For Tide, 26% retailers have Neutral response about this question, whereas 45% are satisfied and 9% people are dissatisfied.

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Gillette Presto Vicks cough Drop

Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers %age 18 17.82 31 30.69 25 24.75 0 0.00 0 0.00 27 26.73 Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 0 0 31 45 5 20 %age 0 0 30.69 44.55 4.95 19.80

Analysis of Gillete Presto

Highly satisfied Satisfied than earlier Neutral Dissatisfied some what Fully dissatisfied Data not given

44% 25%

5%

20%

31%

0% 0%

Analysis of Vicks cough drop

Highly satisfied Satisfied than earlier 25% Neutral 0% 27% 27% 30% 0% Dissatisfied some what Fully dissatisfied Data not given

18%

Interpretation:

Out of 101 surveyed stores of the different region, For Gillette presto, 31% retailers have Neutral response about this question, whereas 44% are dissatisfied. But data suggest that more than 25% people are satisfied. For Vicks cough drop, 25% retailers have Neutral response about this question, whereas 48% are satisfied and 27% people are dissatisfied. 67

Duracell Oral B
Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 0 4 46 27 0 24 %age 0 3.96 45.54 26.73 0 23.76 Degree of satisfaction Highly satisfied Satisfied Neutral Dissatisfied Fully dissatisfied Data not given No of Consumers 0 2 28 38 11 22 %age 0 1.98 27.72 37.62 10.89 21.78

analysis of Oral B
Highly satisfied Satisfied than earlier Neutral 27% 24% 24% 45% 0% 4% 0% Dissatisfied some what Fully dissatisfied Data not given

2% 0% 22% 11%

Analysis of Duracell
28% Highly satisfied Satisfied than earlier Neutral Dissatisfied some what 37% Fully dissatisfied Data not given

Interpretation:

Out of 101 surveyed stores of the different region, For Oral B, 45% retailers have Neutral response about this question, whereas 27% are dissatisfied. But data suggest that more than 24% people are satisfied. For Duracell, 28% retailers have Neutral response about this question, whereas only 4% are satisfied and 48% people are dissatisfied.

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3. Overall analysis of Retailers response about effectiveness of

SP toward increasing their sales.

Generating more sale or not Strongly agree Agree Neutral Disagree Strongly disagree Data not given No of Consumers 13 106 222 125 14 126 %age 2.145215 17.49175 36.63366 20.62706 2.310231 20.79208

Response: whether SP increases Sales or Not.

250 200 150 No of Consumers 100 50 0 Strongly agree Agree Neutral Disagree Strongly disagree Data not given %age

Interpretation:

Out of 101 surveyed stores of the different region, we have concluded that nearly 37% retailers have Neutral response about this question, whereas 20% are not agreed. But data suggest that more than 20% people are agreed that these sales promotion increases their sales.

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Product wise analysis of Retailers response about effectiveness of SP toward increasing their sales.
Pantene hair potion
Generating more sale or not Strongly agree Agree Neutral Disagree Strongly disagree Data not given No of Consumers 0 11 54 19 4 13 %age 0 10.89 53.47 18.81 3.96 12.87

Tide
Generating more sale or not Strongly agree Agree Neutral Disagree Strongly disagree Data not given No of Consumers 8 45 28 0 0 20 %age 7.92 44.55 27.72 0.00 0.00 19.80

Analysis ofPantene Potion

Strongly agree Disagree Agree Strongly disagree 0% 4% 13% 11% Neutral Data not given

Analysis of Tide
Strongly agree Disagree Agree Strongly disagree Neutral Data not given

0% 0%

20%

8%

19% 28% 53% 44%

Interpretation:

For Pantene hair potion suggest that 53% have neutral view, 19% are disagreed and 11% are satisfied. W hereas in Tide 44% are agreed.

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Vicks Cough Drop

Generating more sale or not Strongly agree Agree Neutral Disagree Strongly disagree Data not given No of Consumers 5 44 23 0 2 27 %age 4.95 43.56 22.77 0.00 1.98 26.73

Gillette Presto
Generating more No of sale or not Consumers %age Strongly agree Agree Neutral Disagree Strongly disagree Data not given 0 0 39 40 2 20 0 0 38.61 39.60 1.98 19.80

Analysis of vicks cough Drop

Strongly agree Agree Neutral 23% Disagree 0% 2% Strongly disagree Data not given

29% 43% 5%

27%

Analaysis of Gellitte Presto

Strongly agree Agree Neutral Disagree Strongly disagree Data not given 2%

39% 22% 0% 0%

20%

39%

Interpretation:

For Vicks cough drop, 48% agreed, 23% neutral and 29% not disagreed from the sales promotion. For Gillette Presto, 39% agreed, 39% neutral and gr 22% not disagreed from the sales promotion

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Oral B
Generating more sale or not Strongly agree Agree Neutral Disagree Strongly disagree Data not given No of Consumers 0 4 48 25 0 24 %age 0 3.96 47.52 24.75 0 23.76

Duracell
Generating more sale or not Strongly agree Agree Neutral Disagree Strongly disagree Data not given No of Consumers %age 0 2 30 41 6 22 0 1.98 29.70 40.59 5.94 21.78

Oral B
Strongly agree Neutral Strongly disagree Agree Disagree Data not given Strongly agree Disagree

Duracell
Agree Strongly disagree 0% 2% Neutral Data not given

0% 22% 0% 24% 4% 6% 47% 25% 40% 30%

Interpretation:

Out of 101 surveyed stores of the different region, For Oral

B, 4% agreed, 47% neutral and 25% not disagreed from the sales promotion. For Duracell, 8% agreed, 30% neutral and 40% not disagreed from the sales promotion

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4. Analysis of Retailers suggestion & Best suggested offer by

them.
Pantene hair potion
Best Suggested Offer 20% margin 6+1 Offer Consumer offer Display allowances Free gifts Free samples Free sachets More margin Price off Data not given No of Consumers 5 3 6 19 3 10 4 24 14 13

Tide
Best Suggested Offer Display allowa allowances Free gifts Frequent offer Gift coupons More margin Scheme on 135g pack Scheme on steamer Offer on small volume purchase ase more discount Price off offer on all variants Data not given No of Consumers 8 5 14 2 18 4 3 10 10 2 5 20

Best suggested offer for Pantene Potion

30 25 20 15 10 5 5 0 3 10 6 3 4 Series1 19 14 13 24 20 15 10 5 0

Best suggested offer for Tide

Display allowences

Consumer offer

Data not given

Free samples

More margin

Interpretation:

For Pantene Potion, 24% asked for more margin, 19% display allowances and 14% price off. For Tide, 18% asked for more margin, 14% frequent offer and 10% asked for price off.

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Display Free gifts Frequent offer Gift coupons More margin Scheme on 135g Scheme on Offer on small more discount Price off offer on all Data not given Series1

20% margin

6+1 Offer

Free gifts

Free sachets

Price off

Analysis of Retailers suggestion & Best suggested offer by them.

Vicks Cough Drop
Best Suggested Offer Free razor Discount Free gifts Free inhaler Free vicks action 500 Free vicks vapo rub lucky coupons More margin More Monopacks Data not given No of Consumers 3 5 18 2 11 3 2 3 27 27

Gillete Presto
Best Suggested Offer 10+2 offer 2+1 offer display allowances Free gift on bulk purchase Lucky coupons More margin Price off Data not given No of Consumers 4 36 12 5 4 15 5 20

Best suggested offer for Vicks cough drop

Free razor 3% 5% 27% 18% Free vicks action 500 Free vicks vapo rub lucky coupons More margin More Monopacks 2% 15% Discount Free gifts Free inhaler 5%

Best suggested offer for Gellitte Presto

10+2 offer 2+1 offer 4% 20% 35% display allowances Free gift on bulk purchase Lucky coupons More margin Price off Data not given

11% 26% 3% 3% 2%

5% 4%

12%

Interpretation:

For Vicks cough drop, 26% asked for more monopack, 18% free gift and 27% free inhaler. For Tide, 53% asked for 2+1 offer, 15% more margin and 12% asked for display allow.

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Analysis of Retailers suggestion & Best suggested offer by them.

Oral B
Best Suggested Offer 10+2 offer Discount on 2 dozen purchase Display allowances free gifts More margin Offer on small volume purchase price off Data not given No of Consumers 24 8 15 9 3 5 13 24

Duracell
Best Suggested Offer 4+2 offer consumer offer Discount Display allowances Free gifts Offer on Small vol purchase gift coupons More margin Data not given No of Consumers 2 21 24 6 8 7 2 8 22

Best suggested offer for Oral B

Data not given price off Offer on small More margin free gifts Display allowances Discount on 2 10+2 offer 8 3 9 15 5 13 24

Best suggested offer for Duracell

Data not given More margin gift coupons Offer on Small vol Free gifts Display allowances Discount consumer offer 21 2 6 24 2 7 8 8 22

24

4+2 offer

Interpretation:

For Oral B, 24% asked for 10+2 offer, 9% free gift and

13% price off. For Duracell, 24% asked for discount, 21% consumer offer and 8% asked for free gift.

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CHAPTERCHAPTER 7 FINDINGS & SUGGESTIONS.

76

Findings & Ovservation:

Consumer sales promotion promotion:
From the analysis of consumer satisfaction level from the sales promotion available on the various product we find that consumer are satisfied with the H&S, Ariel, Oral B, Whisper But consumer are dissatisfied with Vicks Inhaler, Mach 3 Cartridges Cartridges. According to them Best Sugg Suggested offer are Price off on H&S, Mach 3, oral B, Ariel, Tide. For Whisper and Pamper consumer demanded for more discount and offer on small pack For vicks Inhaler consumer suggested for free gifts.

Retailer sales promotion:

From the analysis of Retailer satisfaction level from the sales promotion available on the various product we find that retailers are satisfied with the Tide, Vicks cough drop, s Oral B But consumer are dissatisfied with Pantene potion, Gillette Presto, Duracell Duracell. According to them Best Suggested offer are more margin & more display allowances on Pantene potion Tide, Duracell. potion, For Vicks cough drop retailers demanded for more monopack. For Oral B suggested for 10+2 offers. Study also suggest that retailers are agreed that sales promotio increases their promotion sales on the product like Tide, Vicks cough drop while disagreed from Pantene potion, Gillette presto Oral B, Duracell. Company need to think on the problem of counterfeit & pass-off more seriously. off Because these problem not only leads to loss in revenue, but also affect the brand as they are unsafe or adulterated and could hit the customer confidence as the fake product does not give the desired results promised by the brand. Company need to increase its penetration in rural market because buying potential of especially Indian rural markets have increased in many folds. Peoples in semi-urban & rural markets facing problems to know and identify about urban new added features of P&G brand product, so company need to bring brand awareness in these customers. 77

During the study, we find that due to little more price than competitors demand for the Duracell Batteries are less as comparison to other like Nippo or Eveready. Product like Ariel has good brand perception among the consumer but it has to take iel innovative methods compete with HUL surf Excel. Although P&G is the global player, but it is not present in all segment in Indian market so there is lot of scope for the company to enter i into other segment as Indian market er is growing rapidly.

Suggestions:
1. Retailers are not satisfied with sales promotion offered Pantene Potion, Gillette
presto and Duracell so company need to bring more retailers friendly sales promotion like more margin, more display allowances.

2. Consumer who mainly purchase P&G product from retail counter they are mostly
above the 25 year and are either housewife or employee so sales promotion should be designed in according to them.

3. Consumers are not satisfied with sales promotion offered Vicks Inhaler and
Mach 3 cartridges so company need to bring more consumer friendly sales consumers promotion like price off, free gifts gifts.

4. Sales promoters should be trained and equipped well so that they can present
the right & effective informatio to the customers. information

5. The distribution channel across the country especially in rural India need to be
extended comprehensive so that there will be better reach to the target comprehensively customers.

6. Company should bring innovative product and price for their premium b brand
like Gillette, Olay considering the middle & lower income group people in rural and , semi-urban market. urban

7. Needs, preferences, and taste of the consumers should be monitored continuously

with effective feedback mechanism and according to them n necessary changes should be brought into the product for total customer satisfaction.

8. Using value-based pricing strategy Indian people always have a tendency to based strategy.
buy things which give more satisfaction in comparison to price. So we must design the product which giv more value for money. ich gives 78

9. Communication of the sales promotion has to be done aggressively to

capture attention of the prospective customers

10.

The promotional tool used must be able to communicate value addition

capabilities of the product and perceived necessities to all target customers then only the people would be able to associate themselves with the ad. Sales promotion strategy sho should be designed in that manner.

11.

Company should emphasize and target those retail outlet for the push outlets

strategy to work who are providing more credit to customers because in the fortune store availing the credit to customers influence the buying behaviour of the customers.

12. 13. 14. 15.

Media for the advertising of the sales promotion should be selected car carefully

according to local market. The frequency of the both consumer sales promotion and retailer sales

promotion should be properly monitored. There should be some mechanism to get and process the customers and

retailers compliant and suggestion. Special attention should be given to the areas which are dominated by hich

competitors like HUL, ITC, Dabur dominated by sells volume as the requirements will be more for such sectors.

16.

Right on time concept is very important in the FMCG Industry because in the

absence of it retailers purchase other company products.

79

CHAPTERCHAPTER 8

CONCLUSION.

80

CONCLUSION: CONCLUSION
After the survey and analysis of result, I hereby conclude that although P&G is having a good market share in Bhubaneswar, even though it cannot neglect presence of large number of competitors and they are all set to do anything to attract the customers and make existing customers satisfied. The main competitors of the P&G are HUL, ITC, Dabur, Marico etc as they are also providing the superior quality product having almost all the features at the best or competitive price. But P&G is maintaining its market position by providing high premium quality product, innovative technology having that will manufactured according to local market needs. When promotion comes into picture Ive perceived that that The most of the people are lacking brand awareness. Their buying behaviour or purchasing decision is influenced by the peer group. Consumers get to know about different products offers through the Advertisements shown on T.V., wall paintings, point of purchase displays, & ements radio ads. From our study we concluded that consumer shows more satisfaction or preference from the price off or providing extra quantity at same price or reduced price than offering some extra gift or coupons. Customers & Outlets have complained about the less number of schemes available to them & the frequent price variation from outlet to outlet in the same distribution. P&G has established itself as market and the brand leader in almost all categories in which they are operating in India. The company built the diverse product portfolio to meet the need of the different consumer segments, ranging from product for economic class to luxury class people, rural market to metropolitan cities. Also P&G is working to shorten their metropolitan distribution channel and increase their direct penetration to the uncovered market to increase their geographical coverage and lower the cost of the product to the products customers.

81

CHAPTER- 9 C
Bibliography
1. Websites:
a. www.pg.com b. www.wikipedia.com c. www.annualreport.pg.com d. www.Chillibiz.com e. www.dabur.com f. www.google.com g. www.scribd.com h. www.marketingreserch.com i. www.economictimes.com

2. Books & Journals:

a. b. c. d. e. Kilter, kohsey, jha, Marketing management, TMH. C.R Kothari, Research Methodology. Carvens, Hills, Woodruff marketing management. Havaladar, Cavale, Sales and Distribution Management. S.L Gupta, , Sales and Distribution Management. .

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