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CONSUMER BEHAVIOR ON AMWAY PRODUCTS IN INDIA
BY:T.KAMALA LAKSHMI
MBA 1ST YEAR
WHO IS A CONSUMER?A Consumer is a person or group of people that are the final users of products and or services generated within a socialsystem. A consumer may be a person or group, such as a household. The concept of a consumer may vary significantly by context.
What is a consumer behavior?Consumer Behaviour is a branch which deals with the various stages a consumer goes through before purchasing products or services for his end use.
Why do you think an individual buys a product ? Why do you think an individual does not buy a product ? When do you think consumers purchase products ?
What is an Amway?•The word Amway is an abbreviation for American Way and it was coined in 1959 by the company founder Jay Van Andel and Richard Devos.
•For easy remembrance the name of the company was made short it into Amway and it has been registered as a corporate name and also as their trademark.
•Amway is a direct selling company that uses Network Marketing to sell a variety of products.
•Mostly, the products are based on Health, Beauty and Home care products.
Introduction : Amway India, a wholly owned subsidiary of Amway
Corporation, was established in August 1995 after approval by India's Foreign Investment Promotion Board (FIPB). Amway India commenced commercial operations on May 5, 1998 and is now the largest Direct Selling FMCG Company. The Company is headquartered at the National Capital Region of India - New Delhi.
Amway has invested in excess of US $ 35 million (Rs. 151
cr) in India of this; US $ 6 million (Rs. 26 cr) is in the form of direct foreign investment. Amway India has 400 full time employees and has generated indirect employment for 1,650 persons at all the contract manufacturer locations.
Contd.. Amway India provides free and unlimited training to all its distributors to help them grow their business. Amway India conducted over 34,000 training sessions during in the past 12-months with an attendance of over 1.5 million Amway Business Owners and prospects.
Amway India is a member of the Indian Direct Selling Association (IDSA). The IDSA is an industry regulatory body, with several reputed international and Indian Direct Selling companies as members. A Mumbai-based consumer rights activist, Asha Kidnani, is IDSA’s Ombudsman & Code Administrator. Amway India is also a member of the Confederation of Indian Industries (CII) and Federation of Indian Chambers of Commerce (FICCI).
objectivesNew products are often successful if they provide better
solutions to the consumers problems and needs.
To optimize consumer convenience and value through enhanced product differentiation.
To study the Consumer’s Behavior towards the Amway products
SCOPE
The scope of the project is limited only to the Amway Products (such as Soap and Shampoo).
It would continue with the consumer’s behavior regarding these products.
Research MethodologyResearch problems : To study the
Consumer Behavior on Amway Products.
Data Source : Primary data and Secondary data
Research Approach :Survey approach
Research instrument : Questionnaire
ANALYSIS AND INTERPRETATION
1. Gender:
a. Female
b. Male
75%
25%
Gender
female male
2. Occupation
a. Studentb. Employeec. Businessd. None of them
stud
ent
employ
ee
busin
ess
none
of t
hem
0
10
20
30
40
50
60
Option
percentage
3. Which brand comes to mind, when you think of health along with beauty care products?
a. Amwayb. Lakmec. Yardley
75%
13%
13%
OPTIONS
amway lakme yardley
4. Have you heard of Amway products?
a. Yes
b. No
yes no0
10
20
30
40
50
60
70
Option
percentage
5. Did you use Amway Products?
a. Yesb. No
yes no0
10
20
30
40
50
60
70
80
Options
percentage
6. What things you want your soap to be included with..?
a. Good Cleanserb. Good Moisturizerc. Good Deodorizerd. All the above
g.cle
anse
r
g.m
oist
urizer
g.de
odriz
er
all t
he abo
ve0
10
20
30
40
50
60
Opinion
percentage
7. What do you use after washing your hair with Shampoo?
a. Conditioner
b. Oil
c. None of them
74%
10%
16%
OPTIONS
conditioner oil none of them
8. Have you used Persona Soap?
a. Yes
b. No
yes no0
10
20
30
40
50
60
70
80
Option
percentage
9. Did you find any difference after using the Soap?
a. There is a change
b. No change
c. Not observed
68%
18%
15%
Opinion
change no change not observed
10. Have you used Satinique Shampoo?
a. Yesb. No
yes no0
10
20
30
40
50
60
70
80
Options
percentage
11. How is the quality of the Persona Soap and Satinique shampoo?
a. Good
b. Medium
c. Satisfactory
54%
16%
30%
Opinion for soap
good medium stisfactory
65%19%
16%
Opinion for shampoo
good medium stisfactory
12. What is the level of satisfaction towards the purchase of Amway Products?
a. Goodb. Averagec. Satisfactory
61%10%
29%
Opinion
good medium stisfactory
13. What is the reason for choosing the Amway Products?
a. Qualityb. Pricec. Others
69%6%
25%
percentage
quality price others
14. Would you like to suggest others, to buy the Amway Products?
a. Yes
b. No
yes no0
10
20
30
40
50
60
70
80
Opinion
percentage
15.What are the important factors that influenced you to buy the Amway Products?
a. Personal choice
b. Friends
c. Advertisement
d. Internet
personal ch. friends advt. internet0
5
10
15
20
25
30
35
40
respondents
respondents
Conclusion/suggestions The project was aimed to understand the Consumer Behavior
on Amway products in India.
Launch of new advertisement campaign with the brand ambassador.
By making the price of the products to be reasonable , it can attract many customers and also can retain its present consumers also.
LIMITATIONS•This project deals with only the Soap and Shampoo of the Amway company.
I.e., Persona (Soap) Satinique (Shampoo)
•It is limited to only these products of Amway and specially in INDIA
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