Ankit Final Project

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TABLE OF CONTENT

CHAPTER NO TITLE PAGE

NO

CHAPTER 1 INTRODUCTION 1

1.1 General Introduction 1

1.2 Company Profile 6

1.3 Need of study 14

1.4 Scope of study 15

CHAPTER 2 REVIEW OF LITERATURE 16

CHAPTER 3 RESEARCH METHADOLOGY 20

Research Approach 22

Research Instruments 21

Contact Method 22

Research Plan 23

CHAPTER 4 DATA ANALYSIS & INTERPRETATION 25

CHAPTER 5 CONCLUSIONS 50

CHAPTER 6 RECOMMENDATION&LIMITATIONS 52

REFERENCES 54

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CHAPTER 1: INTRODUCTION

Energy drinks as the name implies refers to energy boosting drinks that energize and

refresh you. So can guzzling a can of energy drink suddenly cause to have superhuman

strength? Well energy drinks contain mainly, caffeine and other ingredients which are

believed to increase the stamina and provide you energy. However it is important to note

that unlike sports which contains water and electrolytes, energy drinks “cash and burn”

effect with the diuretic effect of coffee leaving the body dehydrated. Energy drinks are

canned or bottled beverages sold in convenience stores, grocery stores, and bars and

nightclubs (in mixed drinks). Most energy drinks are carbonated drinks that contain large

amounts of caffeine and sugar with additional ingredients, such as B vitamins, amino

acids (e.g. taurine), and herbal stimulants such as gaurana. Energy drinks – gives you

extra burst of energy. As it turns out, most of “energy” comes out from two main

ingredients: sugar and Caffeine. A typical energy drink contain up to 80 milligrams of

caffeine (about the same amount as a cup of coffee).

Energy drinks are beverages whose producers advertise that they “boost energy.” These

advertisements usually not emphasize energy derived from the sugar they contain. But

rather increased energy release due to variety of stimulants and vitamins. Energy drink

slogans are as different as the drink themselves, but they all work to appeal to the ideal

consumer crowd. Energy drinks, unlike the other beverages are traditionally marketed to

a very small, specific consumer group. For example some energy drink brand focus on

extreme sports enthusiasts, other cater to students and their energy needs, and still others

try to attract the video game crowd. Top energy brands are Red Bull in first place,

followed by Rockstar and Monster. The target market for energy drinks is mostly male

teenagers and young adults. Energy drinks generally contain methylxanthines (including

caffeine), B vitamins, and herbs.

Other commonly used ingredients are carbonated water, gaurana, yerba mate, acai, and

taurine., plus various form of ginseng, maltodextrin, inositol, carnitine, creatine,

glucoronolactine, and ginkgo biloba. Some contain high levels of sugar, and many brands

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offer artificially sweetened ‘diet’ versions. A common ingredient of most energy drinks is

caffeine (often in form of gaurana and yerba mate). Caffeine is stimulant that is found in

coffee and tea. Energy drinks contain about three times the amount of caffeine in cola.

INGREDIENTS OF ENERGY DRINK

Here are some of the ingredients you may find in popular energy drinks and what they do

in body:

Ephedrine – A stimulant that works on central nervous system. It is common

ingredient in weight loss products and decongestants, but there have been concerns about

its effect on heart.

Taurine – A natural amino acid produced by body that helps regulate heart beat

muscle contractions. Many health experts aren’t sure what effect it has as a drink additive

(and the rumor that taurine comes from bull testicles are false.

Ginseng – A root believed by some to have several medicinal properties,

including reducing stress and boosting energy levels.

B-vitamins – A group of vitamins that convert sugar to energy and improve

muscle tone.

Gaurana Seed- A stimulant that comes from small shrub native Venezuela and

Brazil.

Carnitine – An amino acid that plays role in fatty acid metabolism.

Creatine – An organic acid that helps supply energy from muscle contractions.

Inositol – A member of vitamin B complex (not the vitamin itself, because human

body can synthesize it) that helps relay messages within cells in the body.

Ginkgo Biloba – Made from seeds of gingko biloba tree, thought to enhance

memory.

HISTORY OF ENERGY DRINK

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It is surprising but energy drinks actually originated in Japan when a pharmaceutical

company, Taisho, released its Lipovitan D drink in 1962 which was designed to help

employees work hard well into the night. In America, the first drink was jolt cola which

was manufactured in 1980’s.

Jolt Cola was released in 1980’s. It was not an energy drink but high caffeine, high sugar

brand of cola. It was more of a caffeinated drink than an energy drink.

EFFECT OF ENERGY DRINKS

The consumption and usage of energy drinks is on rise, and in nearly all part of the

world. People have discovered that guzzling a can of Red Bull (or that of one of its

numerous competitors) suddenly awakens them from tired slumber and energizes them

like nothing else does. A majority of these energy drinks guzzlers happens to be

youngsters, collegians, and even teenagers. Be it a group of youngsters all night dance

party at the pub, or the overworked corporate community, the consumer base for energy

drinks is spread far and wide, and is only growing as we speak. For those of you who did

not know, over a billion dollars of sales is what the energy drink industry is worth, at the

moment. On a personal level I too have a chance to observe the effects of energy on the

human body from close quarters. At times, when you have made a long tiring day, it

helps when a couple of cans of energy drink instantly pumps up your body’s energy

levels and makes you alive. (By the way, people from event management industry

literally survive on energy drinks, in case you were not aware of it). But are energy drinks

all good and zero bad? Or are there any bad effects of energy drinks on human body.

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LIST OF ENERGY DRINKS BRANDS

Name – Red Bull

Price – Rs 85

Size – 300 ml

Name – Cloud 9

Price- Rs 60

Size – 300 ml

Name - XXX

Price – Rs 60

Size – 300 ml

Name – Power horse

Price – Rs 50

Size – 300 ml

Name – TZINGA

Price – Rs 20

Size – 200 ml

http://www.lemarssentinel.com/story/1163364/photo/1059033.html

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Types of Beverages

1. Milk 1. Wine

2. Hot Beverages 2. Beer

3. Juices 3. Distilled Spirits

4. Energy drinks

5. Soft Drinks

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COMPANY PROFILE

Structure of Hector

CEO COO

H.R Sales Marketing I.T

Manager Manager Manager Manager

Company History

Hector Beverages is a Philadelphia based company and is focusing on Indian Consumer.

Hector Beverages is the new name for the beverages market but it has come with the

genuine product for the Indian people which they need for their daily life. Hector

Beverages came in to the Indian market on October 2009 with a mission , to give Indian

people Healthy and Tasty drink for their daily routine through their product. As, there are

many beverages offerings in the developed world are a lot better than those in the

developing world. The product which they are offering to the Indian consumer is Frissia

(Protein Drink). It is well- researched protein deficiency even amongst affluent Indians

and the product, jointly developed with Solae LLC ( a DuPont venture and the world’s

leading protein research company), uses the best natural identical flavors:-

1. Chocolate

2. Vanilla

Making it a sensational combination of natural goodness, cutting- edge science and great

taste. Mr. Neeraj Dakar, the CEO Hector Beverages completed his MBA from MDI

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Gurgaon in 1998 and worked with coke for many years, and came with the idea of Frissia

in 2009 with a mission to give Indian people a healthiest drink with great taste

Mr. Suhas the COO of Hector Beverages private Ltd Company, completed his MBA

from IIM Calcutta in 2003 and he also worked in coke, Suhas came with marketing idea

of Frissia in India and trying to give Frissia as the top position in protein drink market.

Protein is what makes our body, skin, hair, nails and helps many other things, if it is

taken in everyday diet and in proper quantity, which is possible made by Frissia.

Therefore it is shown as Healthiest Snack in the world.

OWNERSHIP PATTERN

Hector Beverages is a private limited company; there are three partners in the company

Mr. Neeraj Kakkar, Mr. James and Mr. Suhas.

Private Limited Company (with three partners)

Mr. Neeraj Kakkar Mr. James Mr. Suhas

(CEO) (COO)

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Department

Department of Hector Beverages has been divided into four parts, they are as follows:-

PRODUCTS

Frissia, the protein drink product of Hector Beverages, which is one the finest protein

drink for any age group. It completes 20% of daily protein requirement in per serve. It is

finest protein drink, jointly developed with Solae LLC ( a DuPont venture and world’s

leading protein research company), uses best natural identical flavors.

Chocolate form Firmenich SA.

Vanilla from Gaviudan SA.

They both makes sensational combination of natural goodness, cutting- edge science and

great taste.

Nutritional Highlights of Frissia per serving (125 ml). As per reference daily intake:-

20% daily protein requirement is fulfilled.

10% of daily calcium requirement is fulfilled.

HUMAN RESOURSE

LOGISTIC SALES AND MARKETING

INFORMATION TECHNOLOGY

DEPARTMENTS

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Hector Beverages, a pioneer in the Indian Functional Beverages Industry, recently

announced the launch of their newest product- Tzinga

Energy Drink on 13 May 2011.Tzinga is made with a powerful blend of ingredients to

avoid those energy slumps we know all too well and keep mind and body performing at

their best. Tzinga Energy drink is available in Noida, Bangalore and NCR region only.

Ingredients of Tzinga Energy Drink

1. Ginseng

An adaptogenic herb, is known to increase energy, has some anti-fatigue components,

and supposedly relives stress and increase memory. Right now it’s suspected that

Ginseng helps stimulate the hypothalamic and pituitary glands, which then secrete

something called adrenal corticotropic hormone. With a name like that, it can’t possibly

be bad. Ginseng is nothing that’s naturally created by our body, so having this in your

drink will certainly won’t hurt. 200mg/day seems to be the standard dose, but you can

safely take up to 2700mg.Rare side effects such as diarrhea and headache have been

reported.

2. Sugars

Glucose is the body’s preferred fuel. That’s why you get hyper with a lot of sugar.

Energy drinks contain a ton of sugar. It’s a carbohydrate and a lot of exercise regiments

suggest a good dose of carbs for workouts lasting more than one hour. However, to much

sugar intake has been linked in diabetes.

3. Guarana

Guarana comes from plants in South America. Amazonians have used it for a long time

to increase alertness and energy. It’s more dense in caffeine than coffee beans(3-4% v/s

1-2%). It’s not just called “caffeine” because it contains a couple other things: Theo

bromine and Theophylline. They’re found in coffees and teas, and are known stimulants.

Marketing will sometimes call this one Guaranine, as if it’s something different.

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4. Lemon

The Lemon is both a small evergreen tree native to Asia, and the tree’s oval yellow fruit

is culinary and no culinary purposes throughout the world- primarily for its juice, though

the pulp and rind (zest) are also used, mainly in cooking and baking. Lemon juice is

about 5% to 65(approximately 0.3 m) citric acid, which gives lemons a sour taste, and a

pH of 2-3.

5. Mint

Mint leaves are the leaves that grow on any type of plant in the Menthol group, including

peppermint, spearmint, rosemary, Thyme, Oregano, Pennyroyal, Forest mint and apple

mint. All of the mint species are strongly scented herbaceous plants that, when crushed,

release concentrated oils.

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Green is not just the colour

For sure the first time you saw Tzinga you wondered: "What's with the [pick word from

this list: cool, funky, weird, beautiful] packaging?"

So here's the deal--we picked this packaging for Tzinga because:

1 It looks fabulous and totally stands out from the clutter on the store shelf

2 It allows us to give our customers great value for money

3 It’s a good choice for the environment

"Whoa, whoa, whoa" you say--you weren't prepared for that last one...But it’s true.

Basically, flexible packaging is made from such a small amount of material that the

environmental impacts associated with making it is substantially lower than the

alternatives.

Consider for a second--a Tzinga package is less than half the weight of a plastic bottle of

the same size, right? Think about the energy it takes to manufacture and transport that

material, the CO2 associated with those processes, and the weight of what eventually

ends up getting discarded. The world is better off if we just use less material to begin

with.

"But hold on," you say, "this can't be environmentally friendly--its made of plastic!" (and

you use an emphasis on the last word like its pure evil) "Why not use glass? Its re-usable,

you know."

Guys please, put your thinking caps on--how is glass made? By melting sand at

thousands of degrees...how much energy do you think that uses? Plus a glass bottle needs

almost 30x as much material to do the same job...all that trucking around of tons of

material used just for packaging...yikes. We'll admit that detailed comparison of

environmental impacts is PhD-level stuff--but it doesn't take a genius to see that this one

is so lopsided its not even a fair fight. If you're into that PhD level stuff, check out this

research...it'll blow your mind.

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Brand Awareness

Brand power is partly measured by Brand awareness. A brand with no awareness is just

something stuck on a product, meaningless and speechless. The purpose of investing in

advertising is to reveal the meaning of the brand and convey it to the largest number of

people: they should thus feel tempted to try the product being presented by the brand.

Three types of awareness are usually distinguished:

‘Top of mind’ awareness measures whether the brand is the first to come to the mind of

people who are interviewed on the brands of a given product category

‘Unaided’ awareness measures the brand’s impact, ie to what extent it is spontaneously

associated with a given product category

‘Aided’ awareness – consists is asking the target – audience if they have already heard of

certain brands or if they have at least heard their names.

Creating Brand awareness means increasing the familiarity of the brand through repeated

exposure, although this is generally more effective for brand recognition than for brand

recall. Anything that causes consumers to experience a brand name, symbol, logo,

character, packaging, or slogan- including advertising and promotion, sponsorship and

event marketing, publicity and public relations and outdoor advertising – can increase

familiarity and awareness of that brand element. And the more elements marketers can

reinforce usually the better.

Brand awareness is related to the strength of the brand node or trace in memory, as

reflected by consumers’ ability to recall or recognize the brand under different

conditions. Brand awareness has depth and breadth. Its depth describes the likelihood that

consumers can recognize or recall the brand. Breadth describes the variety of purchase

and consumption situations in which the brand comes to the mind.

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THEORETICAL FRAMEWORK

Customers are engaged in the activities every day beverage industry is facing challenges

to determine exactly what customers needs and to find different ways to meet those needs

as efficiently as possible. Marketing is therefore regarded as the bridge between what the

drinks deliver and what the consumers wants. Company would surely have benefit if they

could recognize what customers need is.

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Objective:

To find out the suitable customer segments for TZINGA Energy Drink.

To choose the target segment for promoting the sales of drink.

To design an effective advertising &promotion campaign to popularize the drink

in the target segment.

Need for the study:

Today costumers are facing a growing range of choice in the different brands of products

and services. They are making their choice on the basis of their perceptions of brand,

quality service and value.

The company has to adopt strategies to keep brand in consumer’s memory. Strong brand

awareness means easy acceptance of new products. An organization has to measure the

level of awareness of the potential customers and has to adopt different strategies to

enhance the awareness level and to identify the appropriate promotional tool.

Brand awareness is asset which brand managers create and enhance to build brand equity.

It is related to the nature and features of product. It leads to brand strength which is

constituted by measuring the variable like leadership, stability, Market, geographic, trend,

support and protection etc…

Creating brand awareness with the use of advertising, promotion event management

etc… a different brand has different kind of awareness which retains recognition.

Brand awareness satisfies a need of the consumer. A consumer as aims, ambitions,

motivation drives and desire. Consumer feels more powerful when he uses the brand.

Satisfactions or preference for a brand shows how loyal the consumer is likely to be

brand.

In today’s competitive business scenario where every companies product is competing

with each other retaining loyal customer is an essence for which increasing the level of

brand awareness is very vital. This study is not concerned only with brand awareness but

deals also with other facts.

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From where did the potential customers come to know about the product?

Which media is effective in communicating the message to the potential customers?

Did the potential customers feel that the brand is important to purchase?

Which attribute of the product drive the potential customer to prefer the particular

product?

Did the potential customers felt that the branded product matches their expectations?

How the brands influence the market?

What is the effect of the competitor’s product?

Are the potential customers satisfied with the brand, price, quality etc…?

Create awareness about TZINGA energy drink.

Scope of this study:

The study helps to evaluate the promotional activities of energy drinks.

The study finds out which way of promotional efforts is required to get new

customers in entire area.

The study finds out the perceptions of retailer towards the new launch Tzinga

energy drink.

This study also helpful to identify specific choice of customers.

It will be useful in finding out the factor influencing the purchase intention of

products.

The study will help the company to find the more reaching sources of awareness

of the advertisement.

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CHAPTER 2

REVIEW OF LITERATURE

Heckman M.A. Sherry K., E. Gonzalez De (2010 APRIL29), Energy Drinks: An

Assessment of Their Market Size, Consumer Demographics, Ingredient Profile,

Functionality, and regulations in the United States

The consumption of energy drinks is rapidly increasing, as demonstrated by their large

market growth. The targeted demographic group is teenagers, young adults, and 18 to 34

y old; although expansion into nontraditional market is also occurring. It is claimed that

energy drinks can offer an increased energy boost related to their ingredient profile of

caffeine, taurine, herbal extracts and vitamins. Research suggests that energy drink

formulations, in addition to increasing energy utilization, may also improve mood,

enhance physical endurance, reduce mental fatigue, and increase reaction time. However,

in most cases, the corresponding mechanism of action is not clear. In addition, concerns

have been raised over their safety with a currently weak regulatory environment; efforts

need to be made to ensure consumer safety. The object of this article is to review current

U.S. energy drink market with emphasis on its market size, target demographic, active

ingredients, potential benefits, safety and regulations. Energy drinks fall into the category

of functional beverages, which also encompasses sports and nutraceutical drinks. Sports

drinks are designed to be consumed before or during exercise to prevent dehydration,

supply carbohydrates, provide electrolytes and typically do not contain

caffeine( nutraceutical beverages, on the other hand, are designed to promote and

enhance health, usually containing bioactive compounds such as concentrated extracts

from teas, fruits, and vegetables or herbs. The target market for energy drinks is

broadening as new products are developed in an effort to reach niche submarkets and

differentiate themselves from their competition.

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Ansoto87 (2008 SEPTEMBER 20), Energy drinks

The use of energy drinks in United States has increased more than the controversial

consumption of regular sodas. According to Coca Cola Executives, profits from energy

products since 2005 through 2008 will total $ 210 million for regular soft drinks, $130

million for bottled water and 290 million for sports drinks (Warner). So what it is about

this drink that makes them more popular than our pure and vital water? The answer is

very simple; our hectic lifestyles. Today society is filled with exhaustion and high stress

levels; many people rely on energy drinks to give them that second wind, which helps

them stay awake through a test, and even revive them for a party. According to Simmons

Research, thirty-one percent of teenagers in the United States say they drink energy

drinks on regular basis. People us energy drinks to boost their energy so they can be able

to perform better, but because energy drinks contain the ingredients that harm the human

body they should be banned all over the world. There are some factors that increase the

popularity of energy drinks. For example the easy to grab structure in which they are

packed. The small container makes it quick to drink down, and the smaller scale gives

impression that the contents are more concentrated, which attracts the customer even

more. The color of energy drinks is another reason for their popularity; a combination of

bright and vivid colors such as acidic green and yellows, black and red suggest a sense of

energy and high performance. The mystery flavors in energy drinks are another reason

why these drinks are consumed in excess. Compared to a typical juice offering, there is a

little or nothing about energy drink packaging to tell the consumer what the product tastes

like. Instead the graphic emphasis is more on the consumer’s sensibilities and attitude

than flavor or thirst.

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Brain (2004 November 23), Energy Drinks: Ingredients & dangers

Since the 1990s, energy drinks have gone from being the latest craze and fad to a

permanent fixture in our culture. Given the various seemingly exotic ingredients, here’s a

general introduction to the various energy drink dangers and advantages. I won’t go into

great biological detail since you could probably write a book about the energy drink

craze. Instead I’ll provide you with some information that should let you be a more

informed consumer when it comes to energy drinks.

What are Energy drinks?

An energy drink is the beverage that contains some form of legal stimulant and/ or

vitamins which are meant to give consumers a short term boost in energy.

The “Magical” Ingredients

In general these drinks have one thing in common. They all contain a lot of sugar and/ or

caffeine. These cold be considered the “active Ingredients.” So before you are bragging

about how powerful a certain drink was and how its natural ingredients helped you wake

up in the morning or dance all night, consider that you probably go for more sugar rush

than anything else.

Energy Dinks & Marketing

The “thing” about energy drinks is that they are marketed as being all-natural energy

boosters loaded with exotic ingredients that popular culture believes to be healthy.

Energy drinks are generally marketed towards crowds, especially those who go to raves.

People are buying energy drinks in record numbers, even at an incredible $ 2-3 for a can

smaller than an average soft drink can. Note that Red Bull energy drinks energy leads the

way. While Red Bull may have lame TV commercials, energy drinks tend to have cool

logo colors and fonts, modern cans or bottle shapes, and a “high energy” feels

surrounding them. Its marketing company’s dream comes true!

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Weinstein Mindy (2010 April 30) Energy Drinks Dominate the Functional Beverage

Market in the U.S.

Since being introduced in United States in 1997, the energy drink market is the fastest

growing segment in the beverage industry, and it has grown into multi-billion dollars

business. A new article Comprehensive Reviews in Food science and Food Safety looks

at the rapid growth of U.S energy drink market and how energy drinks are marketed to

target demographics, such as young adults. The article also reviews the active ingredients

in energy drinks, potential benefits, safety, and regulations.

Energy drinks refer to beverages that contain caffeine in combination with other

presumed energy – enhancing ingredients such as taurine, herbal extracts and B vitamins.

They fall into the functional beverages category, which includes sports and nutraceutical

drinks. In the United States, energy drinks hold 62 percent of the functional beverages

market, and their market share continues to grow. The majority of energy drinks are

targeted at teenagers and 18 to 34 year old adults due to their on-the-go lifestyle and

receptiveness to product marketing.

There are conflicting results concerning the positive effects of the energy drinks on

physiological and cognitive performance. Studies shoe consumption of particular energy

drinks as beneficial in improving aerobic endurance an anaerobic performance. However,

several studies have looked at the association between energy drink consumption and

problematic behavior. A recent study found a positive correlation between drink

consumption and increased risk- taking behavior.

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2009, Are energy drinks a health risk?

“Energy drinks should be taken into moderation to avoid the negative side effects of

caffeine withdraw. Consuming abundant amounts of caffeine daily affects the body by

creating an unhealthy dependency. The amount of caffeine that needed daily to produce a

dependency is labeled at 100 mg a day. Most energy drinks have equal or double that

amount in just 16oz can. Energy drinks are just like any other addictive substances, once

you are hooked the levels of tolerance for caffeine increases making it more difficult to

maintain the “high” rush. Long extended periods of time without caffeine in a person’s

system, provided by energy drinks cause them to exhibit caffeine withdrawal symptoms.

Young adults will experience headache which are mild to extreme causes, which have

been linked to death. Pother symptoms that may arise include but are not limited to

fatigue, drowsiness, dysphonic mood, difficulty concentrating depression, irritability,

nausea, and muscle aches. Young adults need to inform on these subjects so they can

make smarter choice about their health.”

This paper first describes the mass appeal of energy drinks to students and then examines

the history of energy drinks since the introduction of popular energy drinks, Red Bull, in

1997. The major issues examined in this paper are whether or not the negative health

risks associated with energy drinks make it worth the advantages that students used them

for. The paper lastly discusses how the energy drink companies have grown in recent

years and discuss the future of students and energy drink

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Chapter 3

RESEARCH METHADOLOGY

The research methodology includes various techniques used at a regular basis in the field

of marketing. Various research methods are used to determine the position, awareness,

effort put into brand’s success. The project was to involve a detail study of market based

on consumers and retailers. The markets available for the study were the bakery shops,

restaurants and kirana shops. For estimating the market potential and our brand’s market

share different methods of primary data collection were employed in the form of

questionnaire, structured and unstructured interviews and methods for establishing facts

about building marketing in for packaging margins etc. were used. Further to

accommodate the additional factors such as competitors presence in the market, seasonal

factors and promotional costs etc. while calculating market potential were taken care of.

An inter –brand comparison as well as a brand awareness study was also carried out.

When sorted and used properly, the data collected in the field can form the backbone of

later marketing campaigns.

RESEARCH APPROACH

There are different research approaches and the research instruments that were employed

during the research work. The common research approach for collecting the primary data

are observations and surveys. In this case, a general survey to gain knowledge about the

market, commonly known as the pilot survey was and undertaken where particularly

information was gathered.

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RESEARCH INSTRUMENTS:-

Marketing researchers have a choice of two main research instruments in collecting

primary data – questionnaire and mechanical devices. Mechanical devices are used

frequently in marketing research. Mechanical devices hold no relevance for this study

and thus only questionnaire was used. In this case too, questionnaire method was

followed to collect primary date with respect to the project which was finally

implemented after pre testing closed end, multiple choice questions were followed after

pre testing and two different type of questionnaires were used (for details see appendix)

closed end multiple choice questions were used so that minimum time of consumers /

respondents is consumed.

RETAILERS QUESTIONNAIRE

CONSUMER QUESTIONNAIRE

The research methods used in this survey and market research are among each of these:

1] Questionnaire

2] Direct Interview

3] Data collection

4] Competitors market analysis

Questionnaire includes certain questions to know the perception of the consumers and the

retailers. Their view towards the energy drinks. This will give a lead to the company

towards knowing the consumers and retailer’s needs. Direct interview is being carried out

to meet personally all the retailers and the potential consumers and get their feedback

about the product. The research data is collected and analyzed area wise. The data

includes the feedback about the product and even competitor’s product. With the above

data the competitor’s market position is being analyzed. To carry out a successful

research there should be some good research method/s which will provide the idea of

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progressing towards the success of the product/s you are/want to promote as the best

alternative among the available brands.

.

HOW IT WAS DONE

1. Research problem for the present study

To determine the market share of various Energy Drinks in DELHI and NCR region.Also

to find out the retailers & consumers perception towards Energy Drink.To search for the

various methods to boost the sales of TZINGA as well as doing brand awareness for the

same.

2. The research/ survey plan

The research plan is designed for gathering the needed information. Designing research

plan calls for definitions on the information (data) sources, research approach, research

instruments, sampling plan and contact method.

First our group of 6 members got divided into sub group of 2 members. Every group has

to visit retail shops as customers for TZINGA energy drink.

Immediately after 5 minutes the next group follows up as the surveyor from the company.

With this strategy most of the data were collected.

To distribute free samples of TZINGA energy drink at corporate offices and to the

customers visiting the retail shops of Delhi and NCR region.

3. Data source

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The plan calls for gathering both the secondary and primary data. Secondary data already

exists, having been collected for some other purpose, while primary data consists of

original information collected for the specific purpose.

Primary data:

In order to know the perception, preference and liking of the customers / consumers

visiting various retail shops all these persons are also interviewed to know their feelings

and attitudes about the facilities (margins, discount) and the services (promotional and

other benefits) that the company people provide them.

Secondary data: for the project were collected from:

Various publications on related subject.

Research papers & Websites

Research plan:-

1. Area:

Since my research was pertaining to energy drinks in retail counters, malls, restaurants &

market of Delhi, Noida & Ghaziabad. Therefore all the composite shops were included in

the area of my research.

2. Sample size:

There are about 36 shops including bakeries, restaurants & kirana shops and

100consumers in the different areas.

3. Respondents:

I visited at least twice every counter of the respective areas. My respondents were the

owner of the shops or manager of the restaurants as well as the main focus was on the

consumers of Energy Drink.

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Method of collection:-

For the collection of the data I adopted questionnaire method. For the purpose I had made

a set of questionnaire and went to the respondents with that. My research was related to

“competitive analysis of Energy drink market and also to make effective marketing plan

for TZINGA. There were at some places a lot of problems in collection of data, therefore

instead of questionnaire I adopted interview method so that I could make my respondents

feel easy.

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Chapter 4

DATA ANALYSIS AND INTERPRETATION

RETAILERS PERCEPTION

1.) How many retailers are selling energy drink?

Does the retailer sales energy drink

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 31 86.1 86.1 86.1

used to sell 2 5.6 5.6

planning to sell 3 8.3 8.3 100.0

Total 36 100.0 100.0

Table 1

Figure 1

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2.) What does the retailers think about energy drinks are doing great business?

Table 2

what does the retailer think energy drink are doing great business


Cumulative

Percent

Valid yes 24 66.7 66.7 66.7

no 12 33.3 33.3 100.0

Total 36 100.0 100.0

Figure 2

29

3.) Which energy drink is mostly preferred by consumers?

Table3

retailer told that energy drink mostly preferred by consumers


Cumulative

Percent

Valid NO response 5 13.9 13.9 13.9

Red bull 18 50.0 50.0 63.9

XXX 11 30.6 30.6 94.4

power horse 2 5.6 5.6 100.0

Total 36 100.0 100.0

Figure3

30

4.) How many retailers know about TZINGA energy drink?

Table 4

does the retailer know about tzinga energy drink


Cumulative

Percent

Valid yes 29 80.6 80.6 80.6

no 7 19.4 19.4 100.0

Total 36 100.0 100.0

Figure 4

31

5.) How much the retailers are satisfied with the promotional activities of TZINGA?

Table 5

retailers are satisfied with promotional activities of tzinga


Cumulative

Percent

Valid full satisfied 9 25.0 25.0 25.0

satisfied 12 33.3 33.3 58.3

neither satisfied nor dissatisfied 5 13.9 13.9 72.2

dissatisfied 9 25.0 25.0 97.2

full satisfied 1 2.8 2.8 100.0

Total 36 100.0 100.0

Figure5

32

6.) What does the retailer thinks that the more activities /schemes are needed to attract the customers?

Table 6

retailers think more activities/schemes needed to be done to attract customers


Cumulative

Percent

Valid yes 24 66.7 66.7 66.7

no 11 30.6 30.6 97.2

can't say 1 2.8 2.8 100.0

Total 36 100.0 100.0

Figure6

33

7.) How many retailers advice for work on advertisement for TZINGA energy drink?

Table 7

how many retailer advice for work on advertisements for TZINGA


Cumulative

Percent

Valid yes 21 58.3 58.3 58.3

no 15 41.7 41.7 100.0

Total 36 100.0 100.0

Figure 7

34

8.) How many retailers advice TZINGA energy drink for improvement in packaging?

Table 8

how many retailer advice packaging for TZINGA


Cumulative

Percent

Valid yes 31 86.1 86.1 86.1

no 5 13.9 13.9 100.0

Total 36 100.0 100.0

Figure 8

35

CONSUMERS PERCEPTION

9.) How many consumers are aware of any energy drink which gives them energy in quenching their thrust?

Table 9

Respondents aware of any energy drinks which help them in quenching their

thrust


Cumulative

Percent

Valid yes 45 64.3 64.3 64.3

no 25 35.7 35.7 100.0

Total 70 100.0 100.0

Figure 9

36

10.) Which energy drink are you aware of:

Table10

if they are aware then energy drink they specify is


Cumulative

Percent

Valid 25 35.7 35.7 35.7

cloud9 1 1.4 1.4 37.1

powerhorse 2 2.9 2.9 40.0

Redbull 30 42.9 42.9 82.9

Tzinga 6 8.6 8.6 91.4

Xxx 6 8.6 8.6 100.0

Total 70 100.0 100.0

Figure 10

37

11.) Do you associate energy drink with any specific requirement?

Table11

Respondents associate energy drink with

Frequency Percent Valid Percent Cumulative Percent

Valid Replacement for soft drink 21 30.0 36.8 36.8

ideal drink to replenish when they

are tired

30 42.9 52.6 89.5

Ideal drink to take after a workout 6 8.6 10.5 100.0

Total 57 81.4 100.0

Missing System 13 18.6

Total 70 100.0

Figure 11

38

12.) What are the first preferences of consumers in case of energy drinks?

Table 12

Respondents first preference for energy drink


Valid 25 35.7 35.7 35.7

cloud9 1 1.4 1.4 37.1

Power horse 2 2.9 2.9 40.0

Red bull 29 41.4 41.4 81.4

Tzinga 7 10.0 10.0 91.4

Xxx 6 8.6 8.6 100.0

Total 70 100.0 100.0

Figure 12

39

13.) What are the reasons for their above preference?

Table 13

Reason for the above preference


Valid brand image 16 22.9 35.6 35.6

celebrity endorsement 10 14.3 22.2 57.8

Attractive price 9 12.9 20.0 77.8

attractive packaging 7 10.0 15.6 93.3

Recommended by friends

and family

2 2.9 4.4 97.8

any other 1 1.4 2.2 100.0

Total 45 64.3 100.0


Total 70 100.0

Figure 13

40

14.) Rank giving by customers to energy drink on the basis of price?

Table14

Rank your preference for the energy drink on price


Valid very poor 9 12.9 20.0 20.0

2 23 32.9 51.1 71.1

3 8 11.4 17.8 88.9

excellent 4 5.7 8.9 97.8

5 1 1.4 2.2 100.0

Total 45 64.3 100.0


Total 70 100.0

Figure 14

41

15.) What is the most preferred mode of packing of energy drink?

Table 15

the most preferred mode of packing of energy drink by the respondents


Valid can 33 47.1 64.7 64.7

glass bottle 13 18.6 25.5 90.2

pouch 5 7.1 9.8 100.0

Total 51 72.9 100.0


Total 70 100.0

Figure 15

42

16.) How much the customers can spend on drinks in month?

Table 16

What is the monthly expense on above drink


Cumulative

Percent

Valid Less than 100 1 1.4 1.5 1.5

100-300 28 40.0 41.2 42.6

above 300 39 55.7 57.4 100.0

Total 68 97.1 100.0


Total 70 100.0

Figure 16

43

17.) How many consumers know about TZINGA energy drink?

Table 17

Respondents know about Tzinga


Cumulative

Percent

Valid yes 41 58.6 58.6 58.6

no 29 41.4 41.4 100.0

Total 70 100.0 100.0

Figure 17

44

18.) How did the consumer come to know about TZINGA energy drink?

Table 18

if yes they know then how they come to know about it


Valid display at retail outlets 8 11.4 20.0 20.0

Recommended by friends and

family

12 17.1 30.0 50.0

promotion schemes and free

samples

20 28.6 50.0 100.0

Total 40 57.1 100.0


Total 70 100.0

Figure 18

45

19.) Ranking of TZINGA on the basis of taste:

Table 19

if respondents have tasted tzinga then rank for its taste



2 4 5.7 10.3 12.8

3 12 17.1 30.8 43.6

4 16 22.9 41.0 84.6

Excellent 6 8.6 15.4 100.0

Total 39 55.7 100.0


Total 70 100.0

Figure 19

46

20.) Rank the TZINGA on the basis of price:

Table 20

if respondents have tasted tzinga then rank for its price


Cumulative

Percent

Valid 2 1 1.4 2.6 2.6

3 6 8.6 15.4 17.9

4 18 25.7 46.2 64.1

Excellent 14 20.0 35.9 100.0

Total 39 55.7 100.0


Total 70 100.0

Figure 20

47

21.) Rank TZINGA energy drink on bases of packaging:

Table 21

if respondents have tasted tzinga then rank for its packaging


Cumulative

Percent

Valid very poor 14 20.0 35.9 35.9

2 12 17.1 30.8 66.7

3 9 12.9 23.1 89.7

4 4 5.7 10.3 100.0

Total 39 55.7 100.0


Total 70 100.0

Figure 21

48

22.) Rank TZINGA energy drink on the basis of energetic feeling after drinking:

Table22

if respondents have tasted tzinga then rank for its energetic feeling after drinking



2 5 7.1 12.8 17.9

3 14 20.0 35.9 53.8

4 13 18.6 33.3 87.2

Excellent 5 7.1 12.8 100.0

Total 39 55.7 100.0


Total 70 100.0

Figure 22

49

23.) What would make TZINGA as their favourite energy drink?

Table 14

Respondents think that TZINGA would become favorite because of


Cumulative

Percent

Valid better taste 15 21.4 38.5 38.5

reduced price 19 27.1 48.7 87.2

better availability in retail

outlets

5 7.1 12.8 100.0

Total 39 55.7 100.0


Total 70 100.0

Figure 23

50

POSTER FOR PROMOTION OF TZINGA – AS SUGGESTED BY

COMPANY

51

PROMOTION THROUGH FACEBOOK

52

53

CHAPTER – 5

CONCLUSION

Objectives wise Conclusions

1. To find out the suitable customer segments for TZINGA Energy drink.

The total analysis shows that Energy Drink industries have good future growth.

Tzinga Energy Drink is having a consistent growth rate since its introduction.

In Delhi NCR consumers are mostly modern, young, adventurous, ready to spend

quite sum of amount and full of excitement.

This is what needed by the energy drink makers to launch their brands in the

market.

The main age group which is mostly interested in energy drink is 18-35 yrs.

2. To choose the target segment for promoting the sales of drink.

Consumers want to know more about these drinks, which shows a positive

attitude of the consumers towards energy drinks.

The energy drink is mostly sold by bakeries and juice shops.

Retailers are not satisfied with the brand handling of TZINGA by the company.

The consumers here are mostly not aware of this brand, resulting in low sales.

Most of consumer prefers carbonated drink over energy drinks.

So only few retailers agreed to keep or sell TZINGA energy drink.

54

3. To design an effective advertising & promotional campaign to popularize the

drink in the target segment.

Consumers prefer celebrity endorsement as the promotional tool for energy

drinks.

Free sampling of energy drink in school colleges & public places is needed for

promotion of Tzinga.

With the help of social networks company can attract new customers and retailers.

(as with the help of face book I had able to get aware my 70 friends about tzinga

and they like the taste of tzinga.

Company should do advertising in newspapers and magazines for promotion of

TZINGA.

Other Conclusions

Red bull being the no.1 brand worldwide has the maximum market share.

Whenever there is any occasion where the consumer wants to buy energy drink,

the first name comes in his/her mind is Red bull

Consumers and retailers are not satisfied with the packaging.

The main reason for preferring Tzinga is reduced price.

Chapter 6

55

Recommendations & Limitations

Recommendations

® The company should first do some promotional activities to make the people of

Noida aware of their brand’s presence in the market.

® Sales personal are not able to explain properly about the product or any further

information asked by the retailers.so they should trained first and then can be sent

to the market.

® Lack of motivation among the employee is one of the reasons for its slow

progress. There should be proper arrangements of motivational activities in the

office.

® Company should prefer some advertisement or some celebrity endorsement to

attract new consumers.

® The company should apply pull strategy to capture the market rather than push

strategy as it is following now.

® Company should work on packaging as the retailers and consumers are not happy

with the packaging.

® Company should launch new flavors in market to compete with other brands.

® Company should launch TZINGA in big size (tetra pack), so that it can compete

with other brands in size also.

56

LIMITATIONS

It is well known fact that constraint and limitations are bound to be present in any study

so this study also has some limitation as:-

The survey has been conducted only in few areas of Delhi and NCR region due to

lack of brand awareness.

It is very difficult to make people understand the significance of conducting

survey.

Difficult to collect data to know consumer Perception

Some customers were not co-operative.

The information given by the client may be false and biased.

Lack of retailer’s interest to answer the questions is also an important limitation.

Lack of knowledge of area has affected the research.

The survey was conducted for kirana shops and Bakeries only.

57

REFERENCES

Books

Philip Kotler (2009), PRINCIPLES OF MARKETING, 13th Edition, Pearson

Dennis Adcock, Ray Brad field (1995) MARKETING PRINCIPLES AND

PRACTICES 2nd Edition Pitman Publishing

Websites:

1] http://www.tzinga.in

2] http://www.learnmarketing.com

3] http://onlinelibrary.wiley.com/doi/10.1111/j.15414337.2010.00111.x/citedby

4]www.Energydrink.com

5]http://en.wikipedia.org/wiki/Energy_drink

6] http://www.energyfiend.com/energy-drink-ingredients

58

59

APPENDIX

Questionnaire for consumers

Q1 Do you drink soft drink?

Yes

No

If yes, which is your favorite drink?

o Coke

o Pepsi

o Juice

o Any other please specify

Q2 Are you aware of any energy drink which gives you energy in quenching your thrust?

Yes

No

If yes, which energy drink are you aware of: ………..

Q3 What will you prefer?

Energy drink

Soft drink

Q4 What is your average monthly expenses on soft drink or energy drink?

ENERGY DRINK SOFT DRINK

Less than Rs 100 Less than Rs 100

Rs 100-300 Rs 100-300

Above 300 Above 300

60

Q5 Do you associate energy drink with any specific requirement? Suggest.

Replacement for soft drink

Ideal drink to replenish when you are tired/exhausted

Ideal drink to take after a work out

Q6 If you take energy drink which is your favourite energy drink in order of preference:

1)

2)

3)

Q7 What is the reason for above preference?

Brand image

Celebrity endorsement

Attractive price

Attractive packaging

Recommended by friends & family

Any other please specify………

Q8Please evaluate your most favourite energy drink on following parameters?

Very

poor2 3 Excellent

Taste

Price

Packaging

Energetic feeling

after taking the drink

61

Q9What is your most preferred mode of packing of an energy drink?

Can

Glass Bottle

Pouch

Q10 Do you know about energy drink TZINGA?

Yes

No

If yes, how did you come to know about TZINGA?

o Display at retail outlets

o Recommended by family or friends

o Promotion Schemes: Free samples

Q11 If you have tasted TZINGA, what is your feedback on following parameters?

Very poor 2 3 4 Excellent

Taste

Price

Packaging

Energetic feeling after

taking the drink

Q12 What would make TZINGA your most favourite Energy Drink?

Better Taste

Reduced price

Better visibility on outlets

Any other

Name: Email-ID:

62

Address: Tell No:

Gender: Male, Female

Age:-

Below 18

18-25

26-40

Above 40

Occupation:

Salaried

Self employed

Student

63

Questionnaire for Retailers

Name PH. No.

STORE ADDRESS EMAIL ID.

AGE:

Q1. Do you know about Energy Drink?

o Yes

o No

Q2. Do you sell Energy Drink?

o Yes

o No

o Used to sell

o Planning to sell

Q3. Do you think Energy Drinks are doing great business?

o Yes

o No

o Can’t say

Q4. Do you know about TZINGA Energy drink?

64

o Yes

o No

If yes then are you satisfied with the promotional activities done by TZINGA Energy

Drink?

o Fully satisfied

o Satisfied

o Neither satisfied nor dissatisfied

o Dissatisfied

o Fully dissatisfied

Q5. Do you think more activities/schemes are needed to be done to attract customers?

o Yes

o No

o Cant ‘say

Q6. Which all energy drinks you are selling?

o Red bull

o Xxx

o Cloud9

o Power horse

o Any other (please specify)

Q7. Which energy drink is/are mostly preferred by consumers?

o Red bull

o Xxx

o Cloud 9

o Power horse

o Tzinga

o Any other (please specify)……………………………

65

Q8. Which activities do you think can boost up the sales of energy drinks?

o Celebrity endorsement

o Advertisement

o Free sampling

o Reduced prices

o Others(please specify)……………………………………………………

Q9. What advice would you like to give for TZINGA?

o Enhanced taste

o Packaging

o Work on Advertisements

o Any other please specify……………………

Q10. Do you think that the price of TZINGA is justified?

Yes

No

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Documents

Ankit Final Project