107110592006 Hemang Patel Sec b

7/31/2019 107110592006 Hemang Patel Sec b

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J.K.P.I.M - VADODARA - GTU 1

A SUMMER INTERNSHIP PROJECT REPORT

ON

PERCEPTION & BUYING BEHAVIOUR OF MODERN CONSUMERS

TOWARDS PERSONAL CARE PRODUCT in French Cosmetics PVT

LTD.

SUBMITTED TO

Dr. J. K. Patel Institute of Management- MBA

INSTITUTE CODE 711

IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF THE AWARD FOR

THE DEGREE OF MASTER OF BUSINESS ASMINISTRATION

Gujarat Technological University

UNDER THE GUIDANCE OF

Faculty Guide: Mr. Shantanu Chakravarthy PROF, JKPIM

Company Guide: Mr. Devang shah Manager French cosmetics

PVT. LTD

SUBMITTED BY

Hemang Patel

Enrollment No.: 107110592006

M.B.A - I , SEMESTER II


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EXECUTIVE SUMMARY

The Summer Internship Project at FRENCH COSMETICS. Vadodara was very

informative and knowledge giving.

I have done Research Study on the Perception and Buying Behaviour of

Modern Consumer towards Personal Care Product on garment. The Research

Study was confined to Vadodara City with a sample size of 275. I have

primary data through questionnaire. I have also used different retail

magazine and web-site for required information in our secondary data.

Also, the study of market conditions prevailing, is done on the basis of some

projections have been undertaken for various aspects. General overview of

the present market and its competitors, followed by its survey on the basis of

the peoples viewpoint.

At the end of the Research study I have come to the conclusion that French

group have good potentials and scope to attract customer in store but they

need to create more awareness in the FMCG market.

There were some limitations also of our Research study.

All the suggestions and findings might prove important to the French group

and helpful to find consumer preferences in their segment.


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OBJECTIVES OF THE STUDY

To know about consumers perception about cosmetic goods when

they purchased it.

To determine the actual demand of consumers.

To know about the performance of popular brands of different

companies in market.

To evaluate whether this companys strategies would be able to reach

customer satisfaction through a questionnaire survey.

To analyze the different factors for the success of the company.

To find out the problems for the company.


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COMPANY PROFILE

Morgain Enterprise, a group of industries having number of Pvt. Ltd.

Companies in manufacturing of various products viz. Personal Health Care.

French cosmetic is part of the Morgain Group, it manufactures 56

international brands and more than 200 world top class products like:

1. Perfumes

2. Body talc

3. Body soap

4. Herbal oil

5. Herbal cream

6. Shampoo

7. Baby massage oil and many more

8. Ayurvedic tooth products

9. Shaving creams

10.Various other cosmetic products used in day to day life


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French cosmetics is the part of Morgain Group and it is very important part of

the Group as it manufactures all cosmetics products

The company is basically from Paris and now trying to introduce its product

in India for increasing their customers and market share. It is producing

range of necessary as well as luxury products having variety in each product

line.

This company has a unique feature in it. They believe in backward integration

where they purchase raw material from the market and other procedure like

molding, quality check, and conversion of raw material to finished product is

done in plant only.

This company is in the development stage and for marketing its product it

has hired the Americas top rated model.


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Vision

To bring international brand in hair care, cosmetics, toiletries in

Indian Market.

To become one of the top ten companies in the hair care & cosmetics

segment in India.

The main management target of our company is to provide the best

quality in a reasonable price with prompt delivery & satisfactory

services.

Our management principle is Trust worthiness, Loyalty,

cooperativeness and harmony.

Our motto is the success of the company lies in the satisfaction of

our customer.

Our management spirit is united, creative, practical and contributing

Mission

Our mission is to help customers alccelerate growth by accelerating

innovation and delivering consistently high quality products on time and on

budget.


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PRODUCT LINE

French cosmetics Health Carerange brings for you awide selection of

Ayurvedicand natural productsthat offer complete carefor varying individual

needs. Our products are derived from the time-tested heritage ofAyurveda,and backed by the most modern scientific test & trials that ensure unfailing

quality and safetyin anything you pick.

Body lotion:

Formulated with Aloe Vera to protect, soothe skin & deliver natural moisture

A rapid penetrating body lotion

Loaded with intensely hydrating Dead Sea minerals

Contains Witch Hazel extracts to sleek, refresh & revive skin

Leave skin soft, nurtured & healthy looking

To use: Apply to clean body skin in the morning


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Herbal beauty cream & sunscreen:

A weightless, non-greasy sunscreen cream

Features a water, sand, heat & perspiration-resistant formula

Defends sun-exposed skin against drying effects of salt water

Contains light-stable, heat-resistant broad spectrum sun filters

Offers UVB, UVA & Infra-red shield

Provides hydrating, softening & reviving benefits

To use: Apply to dry skin before sun exposure. Reapply at least every 2 hours &

frequently after swimming

Lipsticks:


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A slim lipstick with creamy emolliency

Provides sheer colour for natural looking

Imparts radiant shine & moisturizing benefit of a gloss

Smooth & non-sticky for comfortable wear

Finishes include cream, sparkling pearl and metallic

The quality of this unboxed item will be as fresh & genuine as the original packing

Perfume:

A bold, luminous fragrance for confident women

Delivers a mysterious, warm, passionate scent

Top notes of jasmine, lily, lush magnolia

Heart notes of mandarin orange pulp, honey

Base notes of black pepper, sandalwood, glowing amber

The quality of this unboxed item will be as fresh & genuine as the original packing


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Nail protector:

A clear base coat

A flexible barrier between nails and nail polish

Prevents pigments in nail polish

Improves the adherence of nail polish

Makes every manicure last longer

Shampoos:


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It's an age-old learning. The less worries you have, the more beautiful you

look. And that is exactly where the French cosmetics range of Natural &

Ayurvedic shampoos helps you, because it contains active natural

ingredients, not harmful chemicals.

Choose from our varied range of Smooth & Silky, Root

Strengtheningand Black Shineshampoo to transform your hair into a

beautiful mane. Wash away dandruff and strengthen your crowning glory

with Swisscair Dandruff Controlshampoo range. Get the protection of

Ayurveda for your hair with our Total ProtectShampoo range. The best part

is you don't have to worry about hair damage. Because it is only when you

are cheerful and worry-free, that you stay beautiful forever.


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INTRODUCTION TO THE STUDY

Generally, personal care products are those products which a consumer uses

for his personal purpose. It includes different types of cosmetics and skin

care products like talc, cold cream, fairness cream, toothbrush, perfume,

deodorant, hair oil, shampoo, soap, and all type of baby care and beauty

care products. These are the core FMCG products. Any person needs these

products every day.

Personal care products are an art of FMCG industry. In some words we can

say that personal care products are the backbone of FMCG industry. As per

the time passes away, the demand of personal care products are also

increasing day per day and future of these products are also very bright and

profitable.

There was a time when consumers do not spend too much amount on the

personal care products. But in those days, they are not only eager for

spending more money on the cosmetics products, but at the same time they

are looking for a good and prestigious brand for the particular product.

Modern media and advertisement plays an important role in the increasing of

demand of personal care goods. People of metro cities are too much brand

conscious but if we look at the people of semi urban and rural areas, they are

also looking for a good brand for the particular product.

Himani Fair & Handsome - Mardon Wali Fairness Cream, Thanda Thanda Cool

Cool Navratna talc, International Lux etc. are the some of the front drive of

advertisement in the way of the success of personal care products.

Background of the Study :-

The Indian cosmetic Industry has witnessed rapid growth over the last couple

of decades. In that time the range of cosmetic and beauty products in India

has widened tremendously. Beauty products manufacturers in India mostly

cater to the great demand for cosmetics and toiletries that fall into the low or


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medium-price categories as the greatest demand in India has always been

for these economically priced products.

However, in recent years in the cosmetics market, Indian competitors have

begun to manufacture products to cater to an International need. Forinstance, herbal cosmetics from India have a great demand in the overseas

market and many cosmetic products that are manufactured in India today,

are supplied to international suppliers of branded cosmetics products like The

Body Shop for example. New facts that have been unveiled by a series of

cosmetics business market analysis India reveal that many International

companies are now outsourcing cosmetics to India and that the industry of

cosmetics products in India is growing at an average rate of almost twenty

percent annually. This increase is attributed to two main factors. The first

being the increase for the demand in Indian cost-effective products and the

second being the increased purchasing power of the average Indian.

There are also many reasons for the increased demand for cosmetic products

in particular. With the introduction of satellite T.V and a wide array of

television channels as well as the internet, the average Indian consumer is

constantly bombarded with the advertisements and information on new

cosmetic products which often translates into the desire to purchase them. A

boom in the Indian fashion industry has also been linked to the increased

awareness of Indian people about their appearances and consequently

contributed to an increase in the demand for cosmetic products.

However, even with the massive surge in the popularity of cosmetic product,

statistics have shown that the average Indian consumer spends much less on

cosmetics product then consumers from every other part of the world. This

means that the Indian cosmetics industry has an ever greater potential forthan it is presently experiencing.

In the entire range of products that fall within the territory of the Indian

cosmetics and toiletries market, the most popular items are color cosmetics,

of which nail varnish, lipsticks and lip glosses account for the most sales. In


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this area, popular local brand names include Lakme and Revlon. Skin-care

cosmetic have experienced a slower growth and products such as anti-

wrinkles creams, cleansers and toners, for instance are not as popular as

facial creams, moisturizers and fairness creams in this genre. Companies like

Ponds and Fair and Lovely rule this segment.

Few cultures valued beauty and cosmetics products in ancient times as the

Egyptians did. The history of ancient cosmetics can also be traced back to

the culture of ancient Greece and make-up was also popular in the Roman

Empire. There is sufficient evidence to suggest that people from all these

three cultures used hair dyes for instance. These people used herbal

concoctions with components like henna, sage and chamomile to darken their

hair. It was only in the renaissance period that blonde hair became

fashionable.

Although cosmetics products have undergone many changes in modern

times, the basic concept of using cosmetics to enhance the features of good

health has not changed. For instance, blush-on is used to conceal pale

present a picture of rosy cheeks as oozed to pale skin and nail polish can be

used to conceal brittle or dry nails. The history of make-up cosmetics

however is tarnished by the ill-effects that were often experienced after

applying many ancient make-up products. This was because many such

products were created using dangerous components and also because

cleansing lotions are not anywhere to be found in the early history of

cosmetics.

History of cosmetics products in India

The history of the cosmetics industry includes very dark chapters in European

and Western countries from about six centuries back. Moistures and pastes

were then used to whiten the face, a practice which remained popular till

over four hundred years later. The early mixtures that were used in Europe

for this purpose were so potent that they often led to analysis, strokes of


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death. In that eras, another method that was employed to make the skin

appear fairer was to bleed oneself using leeches.

Up to the late nineteenth century, women in Western countries may have

secretly worn make-up made from moistures of household product, as make-up was then deemed the domain of film stars. Cosmetics were only openly

put up for the early art of the twentieth century for the first time. Tanned or

darker skin tones became popular only as late as the early twentieth century.

It was in this era that tanning the skin became a popular fad.

The history of cosmetics in the 1930s and 1940s shows how the fashion or

trend with respect to lipstick colors was changed annually, getting darker and

closer to red every passing year.

Cosmetic products were once the sole domain of film personalities and stage

actors. The use of cosmetics in those eras was restricted to the purpose of

creating a dramatic effect.

However, with the passage of time, women started using cosmetics to

highlight their facial features as well. In India beet root was used to redden

the cheeks, while in Western countries, certain chemicals were used to

darken the hair. Finally, because of the world-wide demand for make-up for

the average person, cosmetics finally became available for sale to the

common man. Some common cosmetics include lipsticks, blush-on or rouge

as it is sometimes known, eyeliners, mascaras, foundation and eye shadows.

Lipsticks are made using color pigments, oils, waxes and often fragrances as

well. Different cosmetic companies also add various other substances to

create other effects with lipstick. The oldest use of lipstick can be traced back

to almost five thousand years age, when women of the Mesopotamian cultureand of the Indus valley civilization are believed to have crushed semi-

precious stones and mixed them into a paste to apply to the lips for added

color. Through the centuries, lipstick remained popular with women of

different cultures and while some ancient lipstick-manufacturing techniques

employed the use of potent and toxic chemicals, others used vegetable or


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animal extracts. Today, a wide range of lipsticks are available in the cosmetic

market to cater to the various needs of the consumer. There are organic and

natural lipsticks as well as lip-gloss and lip pencils which come in a wide

variety of colors to suit a huge spectrum of skin tones. Worldwide, lipsticks

are the most popular cosmetic in the cosmetic market today.

Perfume is another popular cosmetic product. It is fragrant moisture made

using various oils and aromatic compounds. Usually every perfume

manufacturer keeps the exact combination of ingredients a secret, especially

in the case of perfumes that are manufactured by large brand names. Today,

the perfume manufacturing business is so huge that many celebrities

participate in the industry by endorsing certain perfumes. Celebrities even

take advantage of their own popularity by releasing perfumes christened with

their own names.

Tough or blush-on is a cosmetic which is used to redden the cheeks. In

ancient times, women reported to inching their cheeks, or using the extracts

of mulberries, beetroot or other such extracts to color their cheeks and

acquire a healthy look. Typically women use this product to highlight

cheekbones but newer make-up technique involves using rouge to add color

to the pale of ones cheeks. Rouge is available as pressed powder or as a

cream-based paste.

Eye liner is used to emphasize the shape of the eyes. Today there are many

kinds of eyeliners like liquid eyeliners, or kohl and kajal, all of which can be

used to create different effects and looks, smoky eyes and the gothic look

are in vogue nowadays and these looks can be created using kohl over and

under the eye with metallic gold or silver eye shadow.

Scope of the study

The Indian cosmetic industry has witnessed rapid growth in the last couple of

years, growing at a CAGR of around 7.5% between 2006 and 2008. With

improving purchasing power and increasing fashion consciousness, the


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industry is expected to maintain the growth momentum. It is projected to

have wide scope and growth prospects in this industry.

Increase in the demand of beauty products---- from the last

few years the demand of beauty products in India has beenincreased in a good speed. Not only women but men are also very

conscious towards their face and other personal care. Many

companies are engaged in producing products according to them.

So, the market is seeking to be very bright.

A Large Rural Urban Penetration--- The penetration ratio in

rural market is very challenging and prospective. So, there is a

good scope in these areas.

Opportunity in Semi-Urban Market--- There is a good

opportunity of cosmetics products in the semi urban market. The

people Are looking towards a good brand name and quality within

them.

An Untapped Rural Market--- There is an untapped market

available for cosmetics product in the rural area in India. It is an

awesome opportunity for these companies.

Need of the Study

The study is done for getting a deep knowledge and idea about Indian

cosmetic personal care sector. The need or objective of the study is to know

that how much consumers give references to the brand of cosmetic good

whether the customers are satisfied with the cosmetics product of the

company and how far the company is able to satisfy the customer in terms of

quality and cost factors since in todays modern era customers are the focus

for any company, any organization that without satisfying them no companycan survive in this global competitive age. Non satisfaction of the potential

customers can lead them to switch over to another one. Now the policy in

every company or organization is to provide satisfaction as there exists a lot

of competition for them. Hence it becomes necessary to conduct a

comprehensive research in terms of customer satisfaction so that is able to


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know how far it stands before others. This also helps to judge whether if

there is any lag in the policy and could take immediate action to rectify it.

The need of this project also arose because an extensive survey can help the

company whether the work done by the company in the area of new productsis able to satisfy the customers or not. The major focus of the research

conducted therefore is to discover the factor that people are aware about the

upcoming new products and attribute of the product which attracted them for

a trial. The study was restricted to only around 50-60 percent of our target

audience, because the respondents included in the study are people who are

regular user of cosmetic goods.

MAJOR COMPANIES OF PERSONAL CARE SECTOR

In India, there is a complete range of cosmetic companies. It includes

regional companies, national and MNCs. Hindustan Unilever leads the

companies which are followed by Godrej consumer care, Procter & Gamble,

Emami, Dabur and Calvin Care. A broad list of these companies has been

given below

1. HUL(Hindustan Unilever Ltd.)

2. GODREJ CONSUMER CARE

3. Emami

4. ITC

5. DABUR

6. PROCTER & GAMBLE

7. CALVIN CARE

8. HANKEL INDIA LTD

9. MARICO

10.RECKITT BENCKISER (INDIA) LED

11.COLGATE PALMOLIVE PVT. LTD.

12.CHOLYIL PVT. LTD.


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13.J.K HELEN COUTIES LTD

14.J L MORISON INDIA LTD

15.MODI RAVLON LTD

1, HUL(Hindustan Unilever Ltd.)

Hindustan Unilever Ltd. has takes first position in the cosmetic productselling in India. Every one out of two peoples uses the product of HUL. There

is a wide range of varity of products of HUL in India.

Product Line (cosmetics):

Lux, Lifeboy, Hamam, Liril, Breeze, Dove, Pears, Rexona, Fair & Lovely,

Ponds, Vasaline, Avience, Sunsilk, Clinic, Axe, Ayush, Lakme, Surf exel, Rin,Sunlight, Wheel, Close up, Pepsodent


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2, GODREJ CONSUMER PRODUCTS LTD.

Godrej Consumer Care is one of the biggest company in the field of FMCG

business. Every one out of three Indian uses the product of Godrej. It also

has wide verity of cosmetic product.

Product Line (Cosmetic):

Cinthol, Fair glow, Evita, No. 1, Vigil, Shikakai, Colour soft, Nuur(mehandi),

No.1, power hair die, Renew (hair colour), Cinthol (shampoo, deo, talc,

Saving gel, Ezee)

3, Emami

Product Line (Cosmetics):

Boro Plus, Fair & Handsome, Fast Relief, Hair Life, Malai kesar Cold Cream,

Navratna Oil(Oil, Lite, Extra Thanda, Cool talc) Baby massage oil.


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4, ITC


Essenja De Wills, Inizio, Femme, Fima(5 varities), Vivel, Sueria


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5, DABUR:-


Amla hairoil, Amla light oil, Vatika, Anmol sarson Amla, Gulabary, Crme,

Lotion.

6, P&G


Pantene, Head & Shoulders, Gillette, Safeguard, Zest, Old Si Olay,

Aussie(shampoo)


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7, Marico

Product Line (cosmetic):

Parachute, Medikar, Hair & Care, Santi Amla, Nihar Cemelia, Kaya Lite, Kaya

Skin Care, Aromatic.

8, CALVIN CARE

Product Line (cosmetic):

Chick, Nyle, Indica, meera badam shampoo, Karthika, Fairever, Sinz(talk &

deo.), nyle cold cream.


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OTHER COMPANIES

There are other companies engaged in the business of cosmetics products.

Including them some are the multinational companies like- Loreal, RECKIT

BENCKISER(INDIA)LTD etc. and as well as some local giants which are

performing much better job in the cosmetic sector like-Hankel, Nirma, etc.


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COMPETITION AMONG MAJOR COMPANIES

There is a huge competition among the companies working in the personal

care segment of FMCG industry. HUL is leading the market in many segments

from last couple of decade. But right now it is facing a good competition fromthe other existing companies like P&G, Marico, Godrej Consumer Care Ltd,

Dabur etc. A full data of these company and there market share is giving in

the following table

COMPANIES SHAMPOO

(%)

SOAP

(%)

DETERGENT

(%)

SKINCARE

(%)

TOOTH-

PASTE

(%)

HUL 44.7 47.5 36.8 47.2 28

P&G 24.3 - 14.2 4.4 -

DABUR 6.1 - - 5.3 10

ITC 6.0 10.2 9.0 3.0 -

GCPL 5.5 10.3 - 2.1 -

EMAMI - - - 15.4 -

CALVINCARE

5.2 5 - 12.7 -

MARICO 3.9 4.7 - 9.9 -

COLGATE - 6 - - 50.1

OTHERS 4.3 16.3 40 - 11.9


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PIE CHART SHOWING SECTORAL PERFOMANCE-COMPANY WISE

The countrys largest market of home and personal care products, HUL, has

lost market share by value over the five quarters ended 31 March 2010, the

erosion cutting across key categories such as soaps, shampoos, toothpastesand skin creams, even as the broader market expanded significantly.

HUL lost considerable market share in soaps, detergents and shampoos that

contribute three-quarter of its sale, securities house DSP Merrill Lynch Ltd

said in a recent report, citing data from market research firm AC Nielesen.

Market share for soaps, detergents and shampoos declined to 47%, 36.8%,

and 44.7% in the three months ended March, from 53.4%, 38.9% and

46.3% respectively, in the January-March quarter of 2009. In some

categories such as tea and coffee, HUL expanded its market share

marginally. In tea, for instance, its share rose to 23% from 22.6%.

In soaps, the companys market share dropped in each of the five quarters

even as the overall soaps market, according to ACNielsen, grew 18% in the


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year to Rs7,967 crore. HULs soaps portfolio includes popular brands such as

Dove, Lux, Hamam and Breeze.

Discount brands such as Godrej No.1 and Santoor have been gaining share

from HULs Breeze and Lux, said Indian Infolines Nagwekar.

Godrej No.1 is a product Godrej Consumer Products Ltd (GCPL) and Santoor

is made by Wipro Consumer Care and Lighting, a unit of Wipro Ltd.

HULs market share in the laundry segment grew to around 37.8% in the

quarter ended June from 35.5% in the same period last year, according to

the market research firm ACNielsen. However, this time, the increase was

not at the expense of price war with its multinational rival Procter & Gamble

Co. P&G also gained 0.5 percentage points, up to a 7.6% share. Nirma Ltd,

the Ahmedabad-based manufacturer, however, saw its market share decline

by 1.7% point to 13.5%. Wheel, a value brand that, according to Vats

contributes around 50% of HULs laundry segment revenues, increased its

market share by 2% points in the same period, with a total share of about

18%. Laundry has been an attractive segment in the past and is likely to

keep growing in the near future. The recent price war between companies led

to erosion in their profitability but now, the industry is stabilizing.

According to Vats, the laundry business is witnessing a surge in demand from

cities and HUL is focusing on Tier I and II cities to tap that demand.


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RESEARCH METHODOLOGY

Research problem: To study Perception and buying behavior of modern

consumer for personal care products.

Data source: Survey approach.

Research methodology: Descriptive and Analytical approach.

ResearchInstruments: Questionnaire.

SAMPLING PLAN

Sample:- Malls, Super Market, General area.

Sample size:- 275.

Primary data:- Questionnaire and Interview.

SAMPLE

While deciding about the sample of research, it is required from the

researchers point to pay attention to these under mentioned points:

a) Sample Units: A decision has to be taken concerning a sampling unit

before selecting a sample, sampling unit may be a geographical one such as

state, district, village Etc. Here it is Malls, Super Market, General area.

b) Sampling size: This refers to the no. of items to be selected from the

universe to constitute a sample. This is a major problem before the

researcher. The size of sample should neither be excessively large not too

small, it should be optimum. This size of population must be kept in view for


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this also limits the sample size. Questionnaire was distributed to 300

respondents out of which 280 were received, and 5 were incomplete which

are not considered in this analysis. So Sample size in this research is 275

customers.

c) Sampling procedure: Finally the researcher must decide the type of

sample. That is he must be deciding about the technique to be used in

selecting items for the sample. In fact, this technique or procedure stands for

the sample design itself. In this we used the random sampling on the basis of

first survey results, which is from 275 respondents.

INSTRUMENTS USED

I collected primary data through sample survey from the selected elements

in malls, super markets and general area. So for this purpose we have used

the most popular tool of primary data collection through direct

communication with respondents. The tools we used are questionnaires.

Source of data: Data required for the study was collected through primary

sources i.e. Market Survey.

METHOD OF DATA COLLECTION

Actually data is of two kinds so researchers should keep in mind both types

of data.

a) Primary Data: Primary data are those, which are collected afresh and

for the first time and this happen to be original in character.

b) Secondary Data: Secondary data are those data which have already

been collected by someone else and which have already been used as per

required.


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There are basically two sources to collect secondary data

a) Internally: Provided by the company/organization

b) Externally: Various publication center, state and local Government, books,

magazines, newspaper, Internet.

After only keeping in mind one can think about what type of data has to be

collected during research as our research is concerned we have to gather

primary data for Customer behavior

QUESTIONNAIRE

This method is more popular. The questionnaire is sent to the person

concerned to answer the question formatted and return back.

A Questionnaire consists of a number of questions printed or typed in definite

order on a form or set of forms. The Questionnaire is sent to the

respondents. In order to achieve the research objective it is necessary to

collect accurate and relevant data, secondary data are already published data

collected for purpose other than the specific research needs at hand.

Primary data that are collected specifically for the research situation at hand,

were collected by surveys, using respondents surveys is one of the ways of

collecting primary data namely observations, experiments and surveys.


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DATA ANALYSIS

TABLE 1:- Income of Respondents

Criteria No. of Respondents Percentage (%)

Below 100000 p.a 49 18

Rs.100000 to 200000 p.a 81 29

Rs. 250000 to 500000 p.a 90 33

Above Rs. 500000 p.a 55 20

Total 275 100

Interpretation:-

The above data shows the different Income levels of respondents. Majority of

respondents have the income between Rs. 100000 to Rs. 500000.

0

5

10

15

20

25

30

35

Below

100000 p.a

Rs.100000 to

200000 p.a

Rs. 250000 to

500000 p.a

Above Rs.

500000 p.a

18

29

33

20

Income of Respondents

Percentage


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TABLE-2 SHOPPING HABIT OF CONSUMERS FOR PLACE

Criteria No. of Customers Percentage

Super market 58 21

Mall 132 48

Traditional shop 69 25

e-shopping 16 6

Total 275 100

Interpretation:-

The above data shows the different habits of consumers during they are on a way to

purchase the products. There was a time when consumers use to go only to the one

or two store available in a area. They purchase only those things which the retailer

gives them. At the time, the consumers had very limited choice due to unavailabilityof more retail stores in a area. But now a days there is a bunch of availability of

super market, malls, and different ways to shopping. At the present time, 21% of

people go to a super market,48% of persons go to malls, 25% goes to same old

traditional stores, Remaining 6% peoples deals with e-shopping.

0

10

20

30

40

50

Super market Mall Traditional

shop

e-shopping

21

48

25

6

SHOPPING HABIT OF CONSUMERS

Percentage


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TABLE-3 DURATION BETWEEN SHOPPING


Weekends 30 11

15-20 days 135 49

Monthly 96 35

Rarely 14 5

Total 275 100

INTERPRETATION:-

The above table shows the shopping durations of people for purchase of

cosmetic products. Basically shopping duration depends upon the size and

weight of the product. But generally, majority of people purchase these

goods on the duration of 15 to 20 days. At the present time 49% of thepeople goes to purchase the products at duration of 15 to 20 days. At the

same time 35% of the consumers goes to purchase the cosmetic products at

a duration of a month, these people contains the common general people.

11% people goes to purchase a cosmetic product at a duration of a week.

0

10

20

30

40

50

Weekends 15-20 days Monthly Rarely

DURATION BETWEEN SHOPPING

Percentage


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These are very beauty conscious peoples. At last remaining 5% people rarely

purchase these cosmetics product.

TABLE 4: AMOUNT SPEND ON COSMETIC PRODUCTS PER MONTH


Rs 1000- Rs. 2000 69 25

Rs 2000- Rs 4000 135 49

Rs 4000- Rs 6000 44 16

Rs 6000 and more 27 10

Total 275 100

INTERPRETATION:-

The above table shows the amount for shopping used by customers. Majority

of customers are using Rs. 2000 to Rs 4000 per month for shopping of

personal care products

0

10

20

30

40

50

Rs 1000- Rs.

2000

Rs 2000- Rs

4000

Rs 4000- Rs

6000

Rs 6000 and

more

Amount Spend on Cosmetics

Percentage


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TABLE 5: BRAND CONCIOUSNESS OF PEOPLE


Yes 132 48

No 124 45

For Some Products 19 7

Total 275 100

Interpretation:

The above table shows the brand consciousness of the common consumers.

On the basis of above table, at the present time there are 48% people are

brand conscious 45% consumers are not brand conscious and remaining 7 %

people are bran conscious for only few brands.

0

10

20

30

40

50

Yes No For Some

Products

4845

7

Brand conciousness

Percentage


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TABLE 6:- SATISFACTION WITH THE BRAND AVAILABILITY


Yes 179 65

No 96 35

Total 275 100

INTERPRETATION:

The above table shows the brand satisfaction of customers. 65% ofcustomers are satisfied with the brands while 35% of customers are not

satisfied.

0

20

40

60

80

Yes No

65

35

Brand satisfaction

Percentage


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TABLE 7:- PREFERENCE OF DIFFERENT BRANDS (COUNTRY WISE)


National brand 151 55

International brand 93 34

Local 31 11

Total 275 100

Interpretation:-

The above data table shows the reference of consumers towards different

brands of cosmetic products on the basis of country. 55% of consumers refer

the brands of different national companies. The main reason is less price and

relatively good quality. 34% consumers refers the brands international

companies or imported products. These consumers contains models,

relatively price people, professional etc. last 11% consumers refers local

goods.

0

10

20

30

40

50

60

National brand Internationalbrand

Local

55

34

11

Preferences of brand

Percentage


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TABLE 8:- BASIS OF PURCHASE


Price 50 18

Quality of Product 104 38

Availability of Product 38 14

Brand name of Company 55 20

Advertisements 28 10

Total 275 100

Interpretation:-

The above table shows the basis of purchase of cosmetic products by

consumers. 38% of consumers looking for a good quality, 18% consumers

are price conscious. Generally they are looking for a discount. 14%

consumers purchase those goods which are easy available in the nearest

market.20% consumers are purchase the goods on the basis of brand name

of the company and remaining 10% purchase on the basis of advertisements.

05

10152025303540

18

38

14

20

10

Criterias for product

Percentage


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TABLE 9:- MOST PREFERD COSMETIC COMPANY


HUL 88 32

P&G 66 24

ITC 49 18

Dabur 44 16

other MNC 28 10

Total 275 100

Interpretation:-

The above table shows the demand of the major companies which engaged

in the business of cosmetic products. At the present time, HUL remains to in

this list with 32% of market demand due to its wide product range and verity

of different segments. P&G occupies second position with the market size of

24%. 18% of the products of ITC is demanding by consumers due to a good

response of Fiama De Willis and Vivel. At the present time 16% of the

different product of Dabur has been demanded by consumers. Last 10% of

the consumers are looking for the product of a MNC.

0

5

10

15

20

25

30

35

HUL P&G ITC Dabur other

MNC

32

24

1816

10

Most referred company

Percentage


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TABLE 10:- CHARACTERISTICS ATTRACTING CUSTOMERS CHOICE


Brand name 55 20

Price 60 22

Quality 105 38

Packaging 55 20

Total 275 100

Interpretation:-

The above table shows the different characteristics attract the customers,

20% customers are attracted due to brand name, 22% are attracted towards

price, and 38% are attracted for quality of product and 20% for packaging

0

10

20

30

40

Brand name Price Quality Packaging

2022

38

20

Preference of characteristics

Percentage


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TABLE 11:- PREFERENCE FOR SUBSTITUTE PRODUCTS

Criteria No. of customers Percentage

Yes 165 60

No 110 40

Total 275 100

Interpretation:-

The above table shows that 60% of customers are not interested to change

their brand while 40% of customers are ready to change their brand if they

get a better product.

0

10

20

30

40

50

60

Yes No

60

40

PREFERENCE FOR SUBSTITUTE PRODUCTS

Percentage


42/53


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LIMITATIONS

However, I conducted the survey with full sincerity and commitment to

ensure that the research process is unbiased,Still there are few limitations to the research being conducted.

The sample size was restricted to 275 for customers only, due to

limited resource in terms of time.

The research was done for the academic purpose and not done as a

professional researcher of the company.

There can be a potential effect of non-response.

In addition, the geographic area was limited to Vadodara only.

The findings and analysis depends on the responses being given by

the Respondents .Authenticity, reliability of the same cannot be

checked and validated, and hence, it limits my researchs accuracy.


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PROBLEM IDENTIFICATION

As per the survey, it has found that 60% ofcustomers are not interested to change their brand.This can be a problem for company to attract suchbrand loyal customers.

Majority of Customers prefer National Brands, sobeing an MNC its difficult for the company to

initialize/introduce their products in Indian market.

Maintaining good quality product at lower prices isdifficult.


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SUGGESTIONS

1. QUALITYCustomers are the prime focus for every Organization. Customers arealways looking for better quality, so quality of product should be

maintained and immense care should be taken from the buyers

viewpoint. The company should modernize and have to remain innovative

in this era.

2. PRICE CONSISTENCY

Customers look for consistency and stability, to maintain long-term

relationship. We need to understand this aspect. This requires us to be

consistent and stable in terms of pricing policies. The company should add

latest technologies and formulas to be economical in pricing, so that it can

be benefitted both the ways.

3. ADVERTISEMENTSThe respondents are more inclined towards Packaging and Ease of

Availability company should focus on making the customer more aware of

the brand by providing better Visibility to the product at the point of

purchase. Main emphasis of the campaign should be on Price and Quality.

Company should do more publicity through road shows, newspaper and

advertisement. As this will create awareness about the companys product

and its compatibilities. Hoardings and banners at the road-side would also

be a better option.


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4. BETTER COMMUNICATION

Proper communication should be made to the Customers that the

company is providing them with the best service and a good Product as

per industry standards. After sales services is the area where company

can highly satisfy the existing customer, because they can make more

customer through their word of mouth. So Company should provide latest

and reliable service to their customers. Still there are efforts to be made

in the direction of people preferring the herbals and ayurved products.

5. UPCOMING OPPORTUNITYThere is an upcoming opportunity awaiting us, when the Promotional

Schemes of various other competitors come to an end. We should try to

cash on this opportunity fast as it can lead to high sales volumes

Also, we can promote more of our product by bundling with another

product as a scheme. This would help both the products and increase both

the mind share and the overall market share.

Customers behavior always looks for some extra benefit with purchasing.

They demand for affordable price and gifts with purchasing

6. COMPETITORS STRATEGYCompany should keep a close eye on competitor strategy. Must be

aware of competitors decisions, new product launching, new schemes,

etc.


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CONCLUSION

This research has shown the comparison between customer buying behavior

regarding Indian and International product in recent time. Since the

consumer buying behavior is the important factor to forecast the sales of any

product in a particular area. So company should keep close eye on the

market situation. Yet, customer were price sensitive, but the changing

market trend and customer view and reference shown that customer are now

quality sensitive. They want quality product, good service, easy availability of

product and better performance by product.

These days no of customer buying from malls has been increased. Also the

frequency to visit the malls has been increased substantially. People are

more brands conscious and they are satisfied with the range of product

available there.

Customer like best quality product on any price, so company now a days

add latest technology to their products. Companies are focusing on customer

requirements and satisfaction. Company can target those customers which

are ready to switch to other brands.

Customers behavior always looks for some extra benefit with purchasing.

They demand for affordable price and gifts with purchasing

Customer

Satisfaction

Quality

ValueService


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International company should make strategy to cater every income group

customers in city. Upper income group are affordable to purchase but lower

income group is not. So International Company should make policies to send

their product and every home.

We can conclude from our study that still more inclination is towards

indigenous product the reference ratio of indigenous to imported product is

7 : 3. This is because of the relative higher price of imported product.


49/53


BIBLIOGRAPHY

News Paper:- The Economic Times.

Business Standard.

Journals:- Business World, Business Today.

Website:- www.wikipedia.com

www.fmcgmarketers.blogsot.com

www.a2zmba.com

marketing.about.com

Book:- Philip Kotler, Principle of Management

Khothari C R, Research Methodology


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QUESTIONNAIRE

I request you to fill the questionnaire. This questionnaire will be utilized onlyfor my study purpose. I request you to give frank opinion in this

questionnaire. The information given by you will be kept strictly confidential.

Name:- _____________________

Address:- _____________________

Occupation:- _____________________

Age:- _____________________

1) What is your annual income?

a) Below 100000 p.a

b) Rs.100000 to 200000 p.a

c) Rs.250000 to 500000 p.a

d) Above Rs. 500000 p.a

2) Where do you like to go for shopping?

a) Super market b) Mall

c) Traditional shop d) e-shopping


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3) How many times you like to visit this place for purchasing

cosmetics products?

a) During weekends b) Monthly

c) 15-20 days d) Rarely

4) How much amount you spend on cosmetic products every month?

(Please select anyone)

a) Rs 1000- Rs. 2000 b) Rs 2000- Rs 4000

c) Rs 4000- Rs 6000 d) Rs 6000 and more

5) Are you brand conscious?

a) Yes b) No c) For some products

6) Are you satisfied with the variety of brand availability in the

market?

a) Yes b) No

7) If yes, what do you prefer?

a) National brand

b) International brand

c) Local


52/53


8) Please rank the following factors which influence your purchasing

decision.

(Rank from 1-5, considering 1 as high and 5 as low)

1. Price2. Quality of Product3. Availability of Product4. Brand name of Company5. Advertisements

9) Which companys cosmetic brand you refer much more?

a) HUL b) P&G

c) ITC d) Dabur

e) Other MNC

10) Which character attracts your choice?

a) Brand name b) Price

c) Quality d) Packaging


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11) If new substitute products are available with more added

features as compared to your brand company, will you decide to

purchase that?

a): Yes b): No

If yes, then what features you will be looking for in new product?

12) Any suggestions/complains about existing products/services youare using:

_______________________________________________________

____________

Documents

107110592006 Hemang Patel Sec b