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SUMMER TRAINING REPORT
On
MARKET STUDY ON CONSUMER BEHAVIOUR AND SATISFACTION
IN TILES INDUSTRY
Submitted to:-
MAHARSHI DAYANAND UNIVERSITY ROHTAK
For
The partial fulfillment of the award of degree of
MASTER OF BUSINESS ADMINISTRATION (MBA)
(Session: 2009-11)
SUBMITEDTO:-
SUBMITTEDBY:-
MR. S.B. DUBEY
Rajeev Kumar {Faculty of marketing}
Reg. no._
INSTITUTE OF MANAGEMENT & TECHNOLOGY
(Approved by AICTE, New Delhi & affiliated to M.D. University Rohtak)
TIGAON ROAD NEAR SAI DHAM
FARIDABAD-122002
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DECLARATION
I Rajeev Kumar roll No. Class: MBA 3rd Semester of the
Institute of Management & Technology, Faridabad hereby declare that the
Summer Training Report entitled market study on consumer behavior
and satisfaction in tiles industry is an original work and the same has
not been submitted to any other institute for award of any other degree. A
seminar presentation of the Training Report was made on . and the
suggestions as approved by the faculty were duly incorporated.
Presentation Incharge
Candidate Signature
S.B. Dubey
Rajeev Kumar
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Forwarded by
Director/principal of the institute
PREFACE:
Progress is a continuous process. It is relative and absolute. We cant stop a
certain destination and declare that target has been achieved and we need
not go further. The summer training program is designed to give the future
managers feel of the corporate happenings and work culture. These real life
situations are Entirely different from the stimulated exercise enacted in an
artificial environment inside the classroom and it is precisely because of this
reason that this summer training program is designed, so that the manager
of tomorrow not feel ill in the case when the time comes to shoulder
responsibilities. The summer training is a bridge between the institution and
organization. Summer training program made us to understand how
theoretical knowledge will be applied in the practical field.
It was exactly in this context that I was privileged to join kajaria tiles pvt Ltd.
on the 10thof May 2010, as a summer trainee.kajaria tiles is known not only
for its professional management, but also for its enlightened and progressive
approach towards employee welfare and betterment of the society. The
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experience that I have gathered over the past two months has certainly
provided me with an orientation, which, I believe, will help me shoulder any
assignment successfully in future. During this period the report which I made
was done after a deep, comprehensive and full-fledged study and is based
on my original research and investigation.
ACKNOWLEDGEMENT
I am thankful to kajaria tiles Co. Ltd. for providing me an opportunity to
undertake project in their esteemed organization. I would like to thank my
Trainer Mr. Hitesh restage marketing Manager. Kajaria tiles pvt. Ltd.
Delhi who helped me throughout the project and also encouraged me to take
this project in future course for my career.
Also, I would like to thank Dr. Hariom Sharma, H.O.D MBA for being the
anchor of my internship, and showing me the path on which I have to walk
on. I deeply appreciate every personnel in the company who has provided
his/her tutelage to me in completing my internship at kajaria tiles pvt ltd.
Last but not the least I am also thankful to all the staff members of kajaria
tiles pvt, ltd. to make my project successful and helping me out by giving me
all possible solutions for everything I asked.
RAJEEV KUMAR
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TABLE OF CONTENTS
Sr.N
o
PRTICULARS Page
No.1 PREFACE 32 ACKNOWLEDGEMENT 43 CHAPTER 1 INTRODUCTION
Significance of the studies
Conceptualization
Focus of the study
Objectives of the study
Review of Literature
6
7-12
13
14
4 CHAPTER 2 RESEARCH METHODOLOGY
Company Profile
Research Design
Sample size & Sampling Technique
Data source
Factors Affecting Research Design
15-35
36
36-41
42-43
44
5 CHAPTER 3 MICRO ANALYSIS
Data Analysis & Interpretation
42-49
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6 CHAPTER 4 FINDINGS & RECOMMENDATIONS,
CONCLUSIONS
50-55
7 CHAPTER 5 BIBLIOGRAPHY 58-59
8 QUESTIONNAIRE 60-64
INTRODUCTION:
SIGNIFICANCE OF STUDY
This is a limited study which takes into consideration the responses of 30
customers. This data can be explorated to take in the trends across the
industry. The significance for the industry lies in studying these trends that
emerge from the study. It is a rapidly changing and evolving sector. A study
like this can attempt to guide the future of the industry based on current
trends. Also the views of the architects and dealers would help in
determining the future strategies of the companies and add to the
betterment of end user requirement.
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Significance of the study:
I have a firsthand research experience about tiles industry. Various primary
and secondary data sources would help in shaping a good notion about the
industry trends and its future prospects. Also recommending measures to
improve the present scenario of a company would boost up the confidence of
the summer training.
CONCEPTULIZATION:
CONSUMER BEHAVIOUR & SATISFACTION:
Before getting into details of consumer behavior & satisfaction, one must go
through certain basic terminologies In general terms both consumer and
customer are considered the same but they are quite different. The term
customer is somewhat different from the term consumer. The term
customer is used to refer to someone who purchases goods and services
from a particular store or company. Thus a customer is defined in terms of a
specific term while a consumer is not Consumer may be referred to any one
engaged in evaluating, acquiring, using or disposing of goods and services
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which he expects will satisfy his needs. So ultimately consumers are that
individual who consumers or uses a product, which may or may not be
purchased by him. So after getting into these terms we need to get into the
details of consumer behavior & satisfaction. Consumer behavior
refers to how a consumer behaves or acts or reacts in making a purchase of
goods and services of his choice in different situations. The term consumer
behavior can be defined as, the behavior that consumers display in
searching for purchasing, using, evaluating and disposing of products,
services and ideas which they expect will satisfy their needs. The study of
consumer behavior not only focuses on how and why consumers make
buying decisions, but also focuses on the uses which consumers make of the
goods they buy and their evaluation of these goods after use. If the goods
after use dont satisfy the consumers, they may feel dissatisfied perhaps
because post-purchase services are not up to their satisfaction, and thus,
this may influence their purchase of the goods and it may also influence the
buying decision of many others who might come in contact with them.
The detailed study of consumer behavior or consumer preferences
focuses on-
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Who buys products or services?
How do they buy products or services?
Where do they buy them?
How often do they buy them?
When do they buy them?
Why do they buy them?
How often do they use them?
These questions will help in understanding the factors that influence the
decision making process of the consumers. The buyers decision making the
process includes the following:-
1. Problem recognition
2. Information search
3. Evaluation of alternatives
4. Purchase decision
5. Post purchase behavior
1. Problem recognition:- first and the foremost step are to identify the
problem i.e. what actually one wants with regard to the product.
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2. Information search: - second step is to search the relevant
information regarding the product which one wants.
3. Evaluation of alternatives:- third step is to evaluate the collected
information i.e. analyze the information.
4. Purchase decision: - in forth step the product is actually purchased.
5. Post purchase behavior:- in fifth step the consumer actually reacts
against the quality, quantity etc received after purchasing the product
i.e. in this stage he reacts on the basis of his getting satisfied after the
purchase of the product.
The buyers decision includes the following:-
Product choice
Brand choice Availability
Taste choice
Promotional schemes
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Purchase amount
Consumer perception:
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How the buyers buy form their preference? Their preferences are
influenced by their past buying experience, friends and associates
advice, and the marketers and competitors information and promises.
Though customer preference is a very qualitative term and it is very
difficult to measure. In this study an effort has been made to measure the
customer preference level. The customer is king. Finally 15 years after the
liberalization of Indias economy began. The market place has, suddenly
become tightening competitive. Not only have new players stormed into
the country, there are more brands available than ever before in every
segment of every market. This demands more intimate understanding of
the customer by the Smart Companies The dissertation is concerned
with the consumer preferences & satisfaction. Another objective of the
survey is to analyze the brand awareness and brand preference of
customers.
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Customer satisfaction;
Satisfaction is a persons feelings of pleasure or disappointment resulting
from comparing a products perceived performance in relation to his or
her expectation. As the definition makes it clear, satisfaction is a function
of perceived performance and expectations. If the performance is falls
short of the expectations. If the performance falls short of the
expectations of the customer, the customer is dissatisfied. If the
performance exceeds the expectations, the customer is highly satisfied or
delighted. Many companies are aiming for high satisfaction because
customers who are just satisfied still find it easy to switch, when a better
offer comes along. Those who are highly satisfied are much less ready to
switch. High satisfaction delight creates an emotional affinity with the
brain, not just a rational preference. The result is high customer loyalty. In
this highly competitive world customers plays a very important role. Thus
if a company wants to survive then it should look forward to the
determinants of the customers satisfaction. Though it is a very subjective
issue that differs from individual to individual yet, identifying some basic
parameters of customer satisfaction is important. Satisfaction is a
persons feeling of pleasure and disappointment resulting from comparing
a products perceived performance in relation to his or her expectations.
It is only the customer delights that marketer aim for.
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FOCUS OF THE STUDY
The scope of the study covers the consumer behavior & satisfaction that is
influenced by different services of the companies. The study covers the
market of Delhi & Faridabad region. The study will be beneficial for the
service providers and the consumers.
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OBJECTIVES OF THE STUDY:
Objective is the pre-requisite of any study. All the students are carried out
with an objective in mind, which give direction to the study. As this summer
training report is related to analyze the market and study the consumer
behavior, satisfaction and preferences towards the tiles at kajaria tiles pvt.
Ltd., the various objectives of the study are:-
To find out whether the promotional activities are able to build
awareness about the products.
To study whether the presence of competition affect the behavior of
the customers to purchase the particular services.
To analyze what type of new facilities customers want in the product.
To know whether advertisements are able to create loyalty.
To identify about marketing strategies which have affect equally to the
customers?
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COMPANY PROFILE:
Global Tiles Industry:
There are three major regions in the world, namely, Asia, Latin America and
European Union (EU) that produce and export ceramic tiles in bulk. In 2008,
they had jointly produced more than 87% of the global output. World
production of ceramic tiles was 7565 millionsq.mt in 2008. China was the
largest producer with a total production of 2200 million sq.mt, Spain and
Italy were the 2nd and 3rd largest producers with production of 635million
sq.mt and 589million sq.mt respectively. India ranks at 5th position with
production 270 million sq.mt. Which is around 2.5% of global production?
The ratio between consumption and production has been stable at around 94
percent. Ceramic tile production has been increasing at a cumulative rate of
close to 6 per cent. Asia is the most significant region by production, as well
as consumption, accounting for more than 50 per cent of both. China is the
leading country in the production of ceramic tiles with a share of 33 per cent
at a total production of 2,200 million square meters, followed by Spain and
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Italy. Europe accounts for 30 per cent and USA accounts for 14 per cent of
the total global production of ceramic tiles. In terms of consumption the
pattern remains similar, with Asia accounting for 51 per cent, Europe for 26
per cent and USA accounting for 18 per cent of the total global ceramic tile
consumption.
Global Sanitary ware Industry:
The global sanitary ware industry is estimated to be 187 million pieces and
growing at about 7 per cent Year-to-Year. The main sanitary ware producing
countries in the world are China, Italy, Mexico, Brazil and Spain, which
together account for about 35 per cent of global production India, with a size
of 6.7 million pieces, accounts for about 3.3 per cent of global production.
Penetration of sanitary ware in India-about 30 per cent, is much lower than
even neighboring Asian countries, indicating significant growth potential for
this sector in the Indian market. The Indian sanitary ware market has been
growing at about 10 per cent a year, as compared to the global average
growth of about 7 per cent.
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INDIAN CERAMICS INDUSTRY:
Ceramic Tiles:
Indias ceramic tile industry emerged in the 1950s. Tiles form the most
significant part of the Indian ceramics industry and consist of floor tiles (46
per cent), vitrified and porcelain tiles (12 per cent) and wall tiles (42 per
cent). The floor tiles segment is growing faster as compared to wall tiles.
Vitrified and porcelain tiles are recent entrants into the ceramic tile industry
and have increased the size of the market considerably. It is expected that
this segment will capture the bulk of the market gradually, replacing the
conventional floor and wall tiles segment. These tiles are light and have the
added advantage of being offered in designer looks as compared to mosaic
tiles, which are heavier and more expensive to transport. Both organized and
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tons in 2004, to 215 million tons in 2008, the demand has grown nearly two
and a half times in the same period, from 97 Million tons to 207 million
tones. Ceramic tiles are produced by organized, as well as unorganized
players. The share of production of organized players is around 55 per cent.
The organized sector is characterized by the existence of a few large players,
such as H. & R. Johnson, Kajaria Ceramics, Bell Ceramics, SPL, Spartech and
Murudeshwar Ceramics, OCIL and Nifco.
ORGANISED PLAYERS:
Some of the major players of Indian ceramics industry are:
Asian Granite (India) Ltd.
Euro Ceramics Pvt. Ltd.
H. & R. Johnson (India) Ltd.
Kajaria Ceramics Ltd.
NitcoTiles Pvt.Ltd.
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Orient Ceramics and Industries Ltd.
RAK Ceramics India Pvt. Ltd.
SPL Ltd.
PRESENT MARKET SHARE OF TILE PRODUCER COMPANIES IN
NORTHERN INDIA
A BRIEF DESCRIPTION OF MAJOR PLAYERS:
KAJARIA TILES:
It is the largest ceramic floor and wall tile manufacturer in the second most
populous country in the world. It is promoted by Mr. Ashok Kajaria and
Kajaria Export Limited (Group Company) in technical collaboration with
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Todagres, S.A., Spain. It commenced operation in 1988 in Sikandrabad,
(Uttar Pradesh) with an annual capacity of 1 MSM of floor tiles. It possesses
an annual installed capacity of 21 MSM across two facilities at Sikandrabad,
(Uttar Pradesh) and Galipot (Rajasthan). It has been equipped with eight
stock points, eight Kajaria World showrooms, 19 offices-cum-display centers
and 7,000+ dealers and sub-dealers on a pan-India basis. It is the most
prominent Indian ceramic tile brand with a favorable recall the largest
exporter of ceramic tiles in India. It has unmatched product offering (wall,
floor, vitrified, Spanish and Italian tiles). It has brand enhancing customers
like Unhitch, DLF, Parsvnath, Magarpatta, Sobha Developers, DSK, Mantra
Group, Prestige Group, Ansals, Hiranandani, Raheja Developers, Omaxe and
EMAAR-MGF, among others.
NITCO TILES:
A foundation laid on innovation. Since 1953.Going beyond the ordinary and
leading by example is a common tradition practiced at Nitco. No wonder, the
company is renowned and revered for its revolutionary concepts, pioneering
endeavors and premium products in the construction industry for over five
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decades. Today, with its rich repertoire in offering unique Floor Tiles, Mosaic,
Wall Tiles and Marble, Nitco has gone to become the most preferred name
and the ideal choice of millions of house-holds and the real estate fraternity.
An avant-garde at the core, the
Company has continued to pioneer ground breaking innovations in all its
offerings.
Ceramic Tiles, Vitrified Tiles, Pavers, Imported Marble, Engineered Marble,
Intarsiasplendours of inlay marble and Mosaic- artistic creations in mosaic
rendered in stone, ceramic and marble, for instance. Winning 13 Capelin
awards for innovation and design is the perfect testament to all of its
achievements.
SOMANY TILES:
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In the Indian tiles sector, somany has achieved a clear leadership position by
wholeheartedly adopting forward thinking and an innovative and futuristic
approach. Whether ceramic glazed tiles, vitrified tiles, sanitary ware or
porcelain floor tiles, Somany prides itself in being at the very forefront of
style and quality. From raw material imported from Italy and Spain, to the
constant endeavor to be the first to introduce new products in India, somany
have been, and will always strive to be a dynamic leader in its field. It began
as a vision of things to come, and is today a trail-blazer that others follow. In
1969 Sheri H L Somany incorporated a company called Somany Pilkington's,
which later became Somany Ceramics Ltd. It was the power of a dream and
the zeal to excel, that drove Sheri H L Somany to forge a path of unparalleled
success for this company. The dynamic leadership team in Somany not only
spans three generations of able leaders, it also brings together their
staggering breadth of experience and wisdom. With Sheri H L Somany at the
helm as Founder, Sheri Shrieking Somany as the CMD and Sheri Abhishek
Somany as the JMD, the company is heading towards an exciting phase of
expansion and growth. This core leadership team along with a large team of
highly dedicated and talented people is continuously working towards
creating more value for all stakeholders. Their commitment to excel in every
sphere and to fuel growth in the core as well as new sectors has truly
created a powerful vitality within the company, both in mind and spirit. In
1971 the very first unit of Somany started production in Kassar, Haryana.
Since then Somany has reached and surpassed many milestones setting-up
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of second unit in 1981, buyout of all equity shares by Somany's Indian
promoters in 1994; achieving Government recognition for its R&D
Department in 1996 (a first in the tiles industry); getting ISO 9002
certification in 1998; achieving ISO 14001 for environment friendly facilities,
in 1999; ventured in retailing in 2007, joint venture with Keraben under
brand name Synergy, got patent for VC technology-a first ever in Indian
Ceramics industry and incorporation of HL Somany group. Somany Global
flagship retail showrooms are currently located in Delhi, Gurgaon, Ludhiana
and Mumbai, Pune and Indore. Many other retail showrooms are about to be
opened in leading centers. These showrooms cater to high-end customers
and offer imported tiles as well as exclusive Aqua ware brand sanitary ware.
A large network of Somany display centers are also spread across the
country. A wide cutting-edge array of designs and material make up the
inspiring Somany range of tiles. Somany strives to bring its customers floor,
wall, vitrified, ceramic, porcelain and innovative tiles that are the very latest
in the world. Somany prides itself in the sheer variety of design and finish,
and constantly looks to bring new and trend-setting ideas into the tile
industry. The futuristic patented VC Shield range of tiles from Somany, are
the world's most durable floor tiles. Created using the breakthrough, 'Veil
craft technology', that creates a special layer on the tiles that keep them
free from abrasion, scratches and stains, these tiles retain the original glaze
and finish for years. No wonder then, that these tiles comprehensively
outperform ordinary ceramic tiles including PEI grade 5 tiles. Venturing into
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the burgeoning sanitary ware sector, Somany has already made major in-
roads into this market. With its range of high quality products and offerings
under the brand name of Aqua ware, Somany is focusing on creating a
niche for itself in this sector, by bringing in and adopting the latest in design,
concept and technology. In the endeavor to bring the very best to
customers, we source our raw material from as far as Italy, Spain, and China
besides Rajasthan, Uttar Pradesh, Madhya Pradesh and other major centers
in the country. Somany has a production capacity of 15.7 million sq met per
annum from its Haryana and Gujarat units. It has always focused on
acquiring and leveraging the latest technologies and know-how. A
commitment to bring to life new ideas and design innovations is driven by
the huge amounts of funds invested in research and development. This has
borne fruit in the form of Somany's achievement of establishing the very first
Government Recognized In-house Research &
Development Centre, Somany has also brought in some ground-breaking
technologies into the Indian market. Their highly advanced Rotocolour
Machine has the capacity to decorate ceramic tiles with glazes, using a
serigraphic decorating system that employs silicon cylinders. This integrated
system that optimizes decoration of tiles enables any kind of random design
and also a marble effect. A truly trend-setting achievement, it has helped
Somany to set new industry benchmarks in quality and production standards
for ceramic tiles. Another exceptional technological advantage has been
achieved with Somany's new Laser Guided Vehicle system. This cutting-edge
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material transportation system has automated the movement of ceramic
materials in the production system. The Laser Guided Vehicle facilitates
optimal and accurate handling, thereby minimizing rejection of in-process
materials during the production of tiles. All of this is a result of Somany's
commitment to bring the best and the latest to its valued stakeholders and
customers in India.
ASIAN TILES:
This company is the result of the dreams of three entrepreneurs,
materialized with the grassroots of passion, experience & dynamism With
starting a quest for excellence a decade ago, today
Asian tiles have blazed a trail in the tile industry. With humble beginning in
the field of floor tiles, today it has expanded till the horizon, covering almost
each of the aspects of the industry. Supported by vast man power along with
mind power,
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Asian Tiles possesses the strength of over 3000 business associates spread
across the nation. Asian is all set to reach the goal of supplying world class
product, through a network of 18 depots with display centers & ultra modern
plant in the ceramic zone of Sabarkantha, Gujarat, spread over an area of 2,
30,000 Sq. Mtr. and production capacity of two plants is 32300 Sq. Mtr. Per
day of tile. Asian has become India's leading wall tile manufacturer in large
format size, with the biggest size of 300 X 900 mm, where we provide wall
tiles of white body similar to
European tiles, with the promise of extremely accurate size control, to add
brightness and depth to the glaze.
H & R JOHNSONS:
H. & R. Johnson (India) Limited is India's No. 1 tile company offering a wide
range of wall and floor tile products across various segments v.i.z. Wall,
Floor, Vitrified, Exterior and Industrial. The company also has diversified
interests in sanitary ware and bathroom accessories. With a vast portfolio
comprising of 5 well-known brands in India (Johnson, Marionette, Porcelain,
and Endure & Milano) the company provides the most innovative products of
international standards that is coupled with the best of pre and after sales
service.
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EURO CERAMICS:
Part of Euro Group Integral part of the Decorative industry in India.
Promoters:
Mr. Nenshi Shah: Mr. Talakshi Nandu: Mr. Kumar Shah: Mr. Paresh Shah
Current Business Profile:
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Vitrified Ceramic Tiles: 79,971 MTPA.
Aluminum Extruded Sections : 1800 MTPA
Calcareous Tiles : 45,000 MTPA
Sanitary ware : 11,000 MTPA
Trading in Wall Tiles through a 100% subsidiary
Technology:
SACMI (For Vitrified Tiles & Sanitary ware)
Quality focus:
Vitrified Tiles: ISO 13006. Applied Consumer Services Inc.
Florida, U.S.A. VJTI, Mumbai
Manufacturing facilities : ISO 9001:2000 certified
INDUSTRY STATISTICS:
1. World production: 6900 Million sq.mt
2. India's Share: 340 Million sq.mt..
3. World ranking (in production): 5
4. Per capita consumption: 0.30 sq.mt.
5. Global Industry Growth Rate: 6%
6. Growth Rate (India Domestic
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Market):15%
. Organized industry turnover (India): Rs 3000 crores
Glazed Wall Tile share: 40%
Glazed Floor Tile share: 46%
Unglazed Vitrified Tile
Share: 8%
Glazed Porcelain Tile Share: 6%
Unorganized Industry Turnover Rs 3500 crores
Glazed Wall Tile share: 57%
Glazed Floor Tile share: 35%
Unglazed Vitrified Tile
Share: 6%
Glazed Porcelain Tile Share: 2%
8. Investments in last 5 years: Rs 2000 crores
9. Organized sector:
Share of Production: 56%
No. of units: 16
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Revenue (excise duty): Rs 300 crores
10. Unorganized sector:
Share of Production: 44%
No. of units: 200 (Approx...) (70% based
In Gujarat region)
Revenue (excise duty): Rs 350 crores per annum or
Less
11.Job Potential: 50,000 direct
500,000 indirect
Export & Import Scenario
Apart from domestic demand, exports of ceramic tiles from India have also
been increasing. From a level of US$ 33.3 million in 2001-02, exports of
ceramic tiles from India have gone up to US$ 58.5 million in 2006-07, at a
CAGR of 12 per cent. India exports tiles to other parts of Asia, Africa and
West Europe. The other main exports of ceramic products consist of chemical
porcelain and insulators, handicraft art ware and stoneware crockery.
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Imports of tiles have gone up rapidly in recent years, to almost match the
level of exports. From around US$ 8.3 million in 2001-02, imports have gone
up to nearly US$ 55 million in 2006-07, at a CAGR of 46 per cent. Rising
imports indicate the rapid growth in domestic demand for tiles, due to boom
in real estate construction.
History of kajaria:
The company was incorporated on 20th December at Hyderabad. It
manufactures glazed and wall & floor tiles. The company obtained the
certificate of commencement of business on 20th January 1986.it was
promoted by shri ashok Kumar kajaria ,his associate and kajaria exports ltd.
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The company entered into a technical collorbation agreement with todagres
Spain for the manufacture of ceramic glazed wall and floor tiles.
Market potential of kajaria:
The industrys potential appears attractive, following the realty growth in the
housing, retail, IT and BPO sectors. The low per capita consumption projects
a rising demand for ceramic tiles in India as they are used for aesthetic,
besides utility and hygiene reasons. To capitalize on the latent demand, the
industry players have expanded their distribution networks significantly.
Owing to the delicate nature of the product, distribution and logistics costs
form a substantial portion of the total costs and the success of the
distribution chain marked by delivery promptness, well-equipped dealer
stocks and wide market reach is critical to the success of retail sales.
Indian economy is poised to grow at 7-8 percent and with growing incomes
and urbanization, demand for houses is slated for growth. The increasing
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focus on rural areas, by government and corporate, the demand for housing
would also increase in rural areas. The ceramic industry will also benefit from
the above developments. Increasing demand is just one part of the story the
availability of
Finance is the other part. With the availability of loans at low interest rate
and tax incentives have enabled the people.
Price Analysis:
The price of ceramic tiles depends on the various size and measurements of
the tiles. Although we have noticed that tile dealers are not ready to give
price details fairly, somehow we have managed to extract some of the tiles
prices of various players. the mostly used vitrified tile size for living room is
2 X 2, for kitchen and for toilet people used to install ceramic tiles of 16 X
16 and 12 X 12. For dining they used to stick with vitrified tiles of 2 X 2
size. Now, in wall tiles segment, the general market price in Ghaziabad starts
for Rs.21/sqft, in floor it is Rs.22/sqft and in vitrified it is Rs.35
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Research Methodology:
Title:To determine the perception about various tiles quality, brand equity,
price and Customer service.
Title Justification:
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Title is self-explanatory. The study mainly deals with the quality, brand
awareness,
Price analysis and above all customer experience about the various tile
products and categories.
Research Design:
Type of Research: Exploratory and descriptive experimental research
Size of sample: The size of the sample was 30 respondents.
Area of study: Delhi & Faridabad
Sampling procedure: Convenience Sampling
Method: The research is primarily both exploratory as well as descriptive in
nature. The sources of information are both primary & secondary. A well-
structured questionnaire was prepared and personal interviews were
conducted to come to the conclusion.
PROJECT INTRODUCTION;
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At its core, marketing is primarily about human activity, which involves tiles
from an originating area to a destination for pleasure or business purposes.
This seemingly simple phenomenon embraces cultural, economic and social
exchanges. Tiles industry one of the biggest industries in the world in terms
of gross output and value added, capital investment, employment, and tax
contributions. A notable feature of international tiles growth has been the
gradual shift in the preference for destinations, form Europe and North
America to South Asia. India being one of the major South-Asian tiles
destinations, with the diversity of natural attractions and rich tapestry of
cultural heritage woven into a range of tiles products, can certainly expect to
exploit this trend in its favor. There is also a phenomenal explosion of
domestic tiles and the outbound tiles which is an inevitable by-product of the
prosperity that India has achieved during the last decade. In conjunction with
the new tiles policy of, Government of India also adopted a multi-pronged
approach for promotion of tiles, which included new mechanism for
expediting implementation of tiles projects, development of integrated tiles
circuits and rural destinations, special capacity building in the unorganized
hospitality sector and new marketing strategies to
India's tiles industry, be it inbound, outbound or domestic - every segment
has witnessed rapid changes especially in the last five years. India is the
fastest growing tiles economy where tiles have grown at a very healthy 13
per cent per annum in the past four years. In 2006, international inbound
tiles to India peaked at a record 4.4 million arrivals, driven probably by the
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successful re-positioning of the destination brand through the Incredible
India' marketing campaign. India's domestic tiles market has also shown a
steady upward trend over the past 15 years, as many of the States woke up
to the potential of home-grown tiles to stimulate economic growth and boost
employment. Domestic trips reached an all-time high of 430 million in 2006,
up by 13 per cent on 2005. The average annual growth rate has been more
than 10 per cent since 2000. Many of the States in India are formulating
policies and programmed to cater to the growing demand of inbound tiles.
However there are still infrastructural inadequacies that are constraining the
growth of tiles in India. In order to attract more visitors, India needs to
increase room supply, open further its skies to increase air capacity. Also
tiles development needs to be pursued with a focus on sustainability. This
involves, checking the indiscriminate growth of tiles , and controlling the
associated problems of pollution, environmental and ecological hazard and
cultural degradation.
RESEARCH METHODOLOGY
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Each and every object requires genuine research study, success of the
project and getting genuine results that all are depends upon a research
method used by the researcher. Research methodology may be understood
as the science of study how research is done significantly & scientifically. It
minimizes the degree of uncertainty. It reduces the probability of making
wrong choices amongst alternatives courses of action. This chapter deals
with the researcher methodology adopted to analyze market and to study
consumer behavior, satisfaction and preferences.
RESEARCH DESIGN:
This study is analytical in nature. Analytical study means I had to analyze the
things, which already exists. We have to analyze the things and interpret the
results. It is an attempt to obtain a complete and accurate description of a
situation. Precise statement of the problem indicates what information is
required.
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DATA COLLECTION
DATA COLLECTION:
There are several ways of collecting the appropriate data, which may differ
considerably in context of money costs, time and other resources at the
disposed of the researcher. Broadly data collection methods can be divided
in two categories.
Primary source
Secondary source
Primary data:
For collecting primary data a questionnaire for the customers is being
prepared, and that is being used to collect the data from every individual.
Customers are being interviewed with the help of the questionnaire and it
provides very important information for the study. Questionnaire is structure
and the questionnaires are of two types:
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Secondary data:
Books
Journals
Internet
Magazines
Newspapers
Reports and previous studies
VARIOUS METHODS OF PRIMARY DATA COLLECTION
1. observation method
.
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Under the observation method, the information is sought by way of
investigators own direct observation, without asking from the respondents.
2. Interview method
The interview method of collection data involves presentation of oral-verbal
stimuli and reply in items of oral-verbal Reponses. It can be
a) Personal interview b) telephone interview
3. Questionnaire
In this method, a questionnaire is sent to the person concerned, with a
request to answer the questions and return the questionnaire. It consists
of a number of questions printed or typed in a definite order on a form or
set of forms.
4. through schedules
This method of data collection is very much like the collection of data
through questionnaire, with a little difference, which lies in the fact that
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schedules are being filled in by the enumerators, who are specially
appointed for the purpose.
PRIMARY METHOD OF DATA COLLECTION USED
In my research I decided to use the questionnaire method. This decision was
made on the basis that, I did not require the restructuring opportunity that
interviews provided. This was because I needed the respondents to respond
to the same set of questions. In this case, a structured questionnaire would
certainly provide me both with more definite answers then a structured or
any other method for that matter.
THE SAMPLE
The sample size of the respondents was 30 and the study was being
conducted in Delhi market& Faridabad.
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AREA OF STUDY
The area in which the research is conducted is the marketing, to study the
consumer behavior and satisfaction.
SAMPLE DESIGN
Sample design that part of which I select for the purpose of investigation. A
sample should exhibit characteristic of the universe. On the basis of sample I
had analyzed the behavior of mass phenomenon.
SAMPLE SIZE:
It refers to a no of items to be selected from the universe, so the sample size
had been taken as 30 respondents,
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MICRO ANALYSIS
Which factor do you consider the most important to purchase the
tiles?
Consumers consideration No. of consumers
Price 09
Brand 15
Scheme 06
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PRICE
BRAND
SCHEME
Table shows that 09 respondents considered purchasing services
from its price value, 15 respondents considered to purchase
services from its brand value and 06 respondents by the scheme
given by the company.
Which reference group have you influenced to purchase kajaria
tiles?
Reference group Percentages
Friends 45
Family 11
Advertisement 27
Sales person 17
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FRIENDS
FAMILY
ADDVERISEMENT
SALES PERSON
Table shows that 45% of respondents have role of friends in their
buying decision 11% of respondents have role of family in their
buying decision, 27% of respondents have role of advertisement in
their buying decision 17% of respondents have role of sales person.
Have you satisfied with the performance or comfort level of kajaria
tiles services?
Satisfaction Level Percentages
Strongly satisfied 25
Satisfied 39
Neutral 28
Dissatisfied 6
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Strongly dissatisfied 2
This table shows that how much percentage of respondents are
strongly satisfied, satisfied, neutral, dissatisfied, strongly
dissatisfied by the services they get.
Which promotion strategies do you prefer the most?
Scheme Percentages
Coupon 29
Discount 48
Free gift 24
49
Strongly satisfied
Satisfied
Neutral
Dissatisfied
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Coupon
Discount
Free Gift
This table shows that 29% of respondents prefer coupons, 48%of
respondents prefer discounts, and 24% of respondents prefer free
gift.
Which factors do you influence to buy the kajaria tiles?
Factor Percentage
Price 19
Variety 56
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Promotion schemes 25
Variety is major factor which influence 56% of consumers to switch
over to other brand. Promotion schemes are next factor to which
influence 25% of the consumers.
How do you aware about the kajaria tiles?
Advertisement Percentage
Magazine 29
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Variety
Promotion
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Newspaper 45
Television
Internet 8
Other 5
Table shows that 45% of respondents are influenced by newspaper
advertisement. 29% of respondents are by magazines
advertisement, 13% of respondents are influenced by TV
advertisements.
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Internet
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How can you recommend this product to someone else?
Recommended Percentage
Definitely yes 44
Probably yes 45
Definitely no 3
Probably no 8
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Definitely yes
Probably yes
Definitely no
Probably no
As per table concerned 44% of the respondent said that they have
recommended to other person.
The same product as they own 45% of the consumer said probably
yes that they will recommend.
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RECOMMENDATIONS:
MARKETING: Should adopt the widest distribution network model to deliver
products to the end user in quickest and most effective way. It would also
accelerate the sales. It may include company owned showrooms, franchises,
and multi-product Dealers and sub-dealers.
Distribution network should be clearly segregated towards specific product
segments.
May introduce three dimensional catalogue visual experiences to its
customers and also give customer a chance to design product in their own
way of choice (customized design specification).Setting up exclusive
showrooms for special products instead of keeping with the regular range. As
example, the upcoming product ORVIT-a product
In high glaze tiles segment should have an exclusive place to showcase. It
would add to the exclusive ambience of the product more introduction of
matching wall and floor tiles.
To grow its institutional business, the company should organize more
Interactions with customer, developers and government agencies at its
dealer outlets. This would serve a dual purpose: it would enable the company
to acquire an insight into evolving preferences of some of the most
prominent and trend- influencing customer; on the other hand, it helped the
company cater to their evolving preferences.
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3. After the imposition of anti dumping duty on Vitrified tile, dumping is
taking place in glazed wall and floor tiles which has put pressure on the
domestic tile manufacturers. The amount of anti dumping duty was
significantly reduced in April 08 by the Govt. However, it is still
prohibitive enough. Therefore, only a few of the Chinese companies
who were exempted from anti dumping duty are supplying to
companies in India.
4. To retain skilled professionals is also a cause for concern. However,
best HR practices are in place to retain the talent.
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CONCLUSIONS
The conclusions which are made after conducting the survey regarding the
performance appraisal and development system are as follows.
1. Price and brand name are the two major factors that affect the buying
decision of the consumer.
2. Most of the respondents are taking services of branded companies.
3. Promotional offers also attract the consumers.
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4. Discount offers also attract the consumers.
5. Most of the respondents are satisfied with the price of the services
they are taking.
SUGGESTIONS
1. Companies should introduce new variety of services so that all age
groups can be attracted.
2. New promotional programs should be introduced.
3. Price should be fixed on the basis of competition.
4. Companies should get the certification from different authorized
bodies.
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5. Comparative price should be used as a tool to promote products in the
Market.
6. To create the needs of youths & children segment the company should
introduce new strategies to achieve maximum sale.
7. The packaging of the services should be as per the convenience of the
consumers which can be an important factor to influence the buying
behavior.
.
8. Different promotional schemes like discount & free gift can be used.
9. The company should also try their comparative advantage in the
market on the basis of different strategies to promote sales.
10. Various camps should be organized to promote awareness
among people.
11. Retaining old client with regular follow up.
12. Promotional activities during festive season.
13.Targeting new segments of the market.
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14. Collecting personal references.
15. Developing new tie ups.
LIMITATIONS
Every search work has limitations. This study is no exception to that. It is
also admitted here it was a great mental & physical exercise to go along with
project report. Even by doing a lot to attend the maximum aspects of the
concept. It is not possible to touch every bit of it.
The main limitations of the study are as follows:
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The first limitation is the availability of time which is caused a great
problem in confirming the study.
The sample size of the respondents is 30 which were very small.
As the data is being collected with the help of questionnaire, which
consists of certain questions, that was used to intertwined customers,
they may be biased in their response.
Requirement of exact information again proved to be a limitation to
the study.
These are the various limitations which I faced during my training study.
The sample size is very less, hence it does not imply for the complete
population.
There was lack of time and resources that prevented from carrying out an in
depth study.
The findings of the survey are based on the subjective opinion of the
respondents and there is no way of assessing truth of the statements.
There is some respondents bias which cannot be removed. Some amount of
error exists in the data filling process because of the following reasons:
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Influence of others Misunderstanding of the concept .Hurried filling of the
questionnaire.
The research is confined to a certain parts of Delhi & Faridabad and does not
necessarily shows a pattern applicable to all of Country.
Some respondents were reluctant to divulge personal information which can
affect the validity of all responses.
In a rapidly changing industry, analysis on one day or in one segment can
change very quickly. The environmental changes are vital to be considered
in order to assimilate the findings.
BIBILOGRAPHY
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1. Gupta S.P, Statistical Methods, Sultan Chand and Sons Publishers, 34th
edition, pp 378.
2. Kothari C.R. Research methodology Prentice Hall of India, 8th edition,
pp 110-112
3. Internet sites:
4. Macmillan Business. ARTHUR MEIDAN, (1996) Marketing of
financial services.
5. GUPTA V.K.(2000), Marketing of financial services Mohit
publications.
6. SCHIFFMAN & KAUNAK (2000), CONSUMER BEHAVIOUR, 7th
edition, prentice hall International, Inc.
7. HARPER W. BOYD, WESTFALL, STASCH, Marketing Research, 7th
edition, 2000.
www.wikipedia.com
www.google.com
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Business line
www.icctas.com
Company websites
Annual reports
Previous summer training projects
Magazines, web-articles and catalogues
For primary data-
Questionnaire
Supervisors advice and information
QUESTIONNAIRE
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Hello Sir,
I am doing a project on consumer behavior and satisfaction. Your
help in this regard will be highly appreciated. I ensure that
information provided by you will be kept confidential and will be
used purely for academic purposes.
Name - Age:
Occupation-
1) Which reference group do you belong?
a) Employee (Pvt. Sector) [ ]
b) Employee (Public Sector [ ]
c) Self Employed [ ]
d) Student [ ]
e) Others (please specify). [ ]
2) How do you come to know about kajaria tiles? (Please tick).
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a) Advertisements [ ]
b) Friends and relatives [ ]
c) Direct selling agents [ ]
d) Others (please specify) [ ]
3) Which factor do you consider the most important to purchase the
tiles?
a) Price [ ]
b) Brand [ ]
c) Schemes [ ]
4) Which factor have you influenced to purchase kajaria tiles?
a) Friends [ ]
b) Family [ ]
c) Advertisement [ ]
d) Sales person [ ]
5) Have you satisfied with the performance or comfort level of
kajaria tiles services?
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a) Strongly satisfied [ ]
b) Satisfied [ ]
c) Neutral [ ]
d) Dissatisfied [ ]
e) Strongly dissatisfied [ ]
6) Which promotion strategies do you prefer the most?
a) Coupon [ ]
b) Discount [ ]
c) Free gift [ ]
7) Which factors do you influence to buy the kajaria tiles?
A) Price [ ]
b) Variety [ ]
c) Promotion schemes [ ]
8) How do you aware about the kajaria tiles?
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a) Magazine [ ]
b) Newspaper [ ]
c) Television [ ]
d) Internet [ ]
e) Other [ ]
9) How can you recommend this product to someone else?
a) Definitely yes [ ]
b) Probably yes [ ]
c) Definitely no [ ]
d) Probably no [ ]
10) Do you satisfy with kajaria tiles schemes?
a) Yes [ ]
b) No [ ]
11) Do you satisfy with price?
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a) Yes [ ]
b) No [ ]
RAJEEV
KUMAR