Consumer Study of Shampoo.

INTRODUCTION TO THE INDUSTRY

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FMCG industry,  alternatively called as CPG (Consumer packaged goods) industry primarily deals with the production, distribution and marketing of consumer packaged goods. The Fast Moving Consumer Goods (FMCG) are those consumables which are normally consumed by the consumers at a regular interval. Some of the prime activities of FMCG industry are selling, marketing, financing, purchasing, etc. The industry also engaged in operations, supply chain, production and general management. Fast-moving consumer goods (FMCG)  –  or consumer packaged goods (CPG) –  are products that are sold quickly and at relatively low relatively  low cost. Examples cost. Examples include non-durable goods such as soft drinks, toiletries, drinks, toiletries,   and grocery items. Though the absolute profit prof it made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products can be substantial. Products which have a quick turnover, and relatively low cost are known as Fast Moving Consumer Goods (FMCG). FMCG products are those that get replaced within a year. Examples of FMCG generally include a wide range of frequently purchased consumer products such as toiletries, soap, cosmetics, tooth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods. FMCG may also include pharmaceuticals, consumer electronics, packaged food products, soft drinks, tissue paper, and chocolate bars.  A subset of FMCGs are Fast Moving Consumer Electronics which include innovative electronic products such as mobile phones, MP3 players, digital cameras, GPS Systems and Laptops. These are replaced more frequently than other electronic products.White goods in FMCG refer to household electronic items such as Refrigerators, T.Vs, Music Systems, etc.

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The Fast Moving Consumer Goods (FMCG) industry primarily deals with the production, distribution and marketing of consumer packaged goods, i.e. those categories of products that are consumed at regular intervals. Examples include food & beverage, personal care, pharmaceuticals, plastic goods, paper & stationery and household products etc. The industry is vast and offers a wide range of job opportunities in functions such as sales, supply chain, finance, marketing, operations, purchasing, human resources, product development and general management. Global leaders in the FMCG segment are Sara Lee, Nestlé, Reckitt Benckiser, Unilever, Procter & Gamble, Coca-Cola, Carlsberg, Kleenex, General Mills, Pepsi and Mars etc. Fast Moving Consumer Goods (FMCG) Industry in India is one of the fastest developing sectors in the Indian economy. At present the FMCG Industry is worth US$ 13.1 billion and it is the 4th largest in the Indian Economy. These products have very fast turnaround rate, i.e. the time from production to the revenue from the sale of the product is very less. In the present economic scenario, time is regarded as money. So, the FMCG companies have to be very fast in manufacturing and supplying these goods. In 2005, FMCG segment was one of the fast growing industries in India.

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Scope The term FMCG refers to those retail goods that are generally replaced or fully used up over a short period of days, weeks, or months, and within one year. This contrasts with durable goods or  major appliances such as kitchen appliances, which are generally replaced over a period of several years. FMCG have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGs.such as meat, fruits and vegetables, dairy products and baked goods are highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks and cleaning products have high turnover rates.

characteristics of FMCG A.

From the consumers' perspective:

Frequent purchase



Low involvement (little or no effort to choose the item  –  products with strong brand loyalty are exceptions to this rule).



B.

Low price

From the marketers' angle:

High volumes



Low contribution margins

  Extensive distribution networks



  High stock turnover

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THE FACTS ABOUT THE FMCG INDUSTRY FMCG, otherwise known as CPG, is one of the biggest industries in the world and there are a lot of facts that stand the FMCG industry apart as a career choice. FMCG companies are behind the biggest brands in the world. FMCG is all alone recognizes about names, the products which everyone recognizes from trips to the supermarket or from adds on television. The brands that make up this sector are the high profile ones, the ones everybody knows and loves. Think Coca-Cola, Dettol and Dove. This is an industry that puts a consumer in living rooms, kitchens and bathrooms across the globe. The FMCG industry changes fast and is constantly evolving. It‟s fair to say there is never a dull moment in FMCG. From the pace at which goods leave the shelves to the rate of product innovation and career progression, things move quickly . 40% of brands on the top 100 list twenty years ago have already been replaced by new names today. FMCG firms thrive on employee and customer retention. Employee investment is a big part of the ethos of the FMCG world. Perhaps it‟s because we understand the

importance of loyality. Customer loyality can make or break a brand. FMCG companies can beat the recession. This is an industry that has proved itself very resilent to recession-with the majority of companies in the sector weathering the financial storm in a way that very few others have managed. This is an industry that offers things on a whole new scale. FMCG has a history of delivering what consumers want. Some FMCG companies roots are over two centuries old-driving the industry to a value of $570.1 billion. The FMCG market is highly concentrated in the urban areas as the rise in the income of the middleincome group is one of the major factors for the growth of the Indian FMCG market. The penetration in the rural areas in India is not high as yet and the opportunity of growth in these areas is huge by means of enhanced penetration into the rural market and conducting awareness programs in these areas. The

scopes

for the growth of the FMCG industry are high as the per capita consumption of the FMCG products in India is low in comparison to the other developed countries.

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FMCG Sector The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of US$ 13.1 billion. It has a strong MNC presence and is characterised by a well established distribution network, intense competition between the organised and unorganised segments and low operational cost. Availability of key raw materials, cheaper labour costs and presence across the entire value chain gives India a competitive advantage. The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer 'upgrading' in the matured product categories. With 200 million people expected to shift to processed and packaged food by 2010, India needs around US$ 28 billion of investment in the food-processing industry. Automatic investment approval (including foreign technology agreements within specified norms), up to 100 per cent foreign equity or 100 per cent for NRI and Overseas Corporate Bodies (OCBs) investment, is allowed for most of the food processing sector. Indian FMCG sector is the fourth largest sector in the economy characterized by strong MNC presence, well established distribution network, intense competition between the organised and unorganised players and low operational cost. Easy availability of important raw materials, cheaper labor costs and presence across the entire value chain gives India a competitive advantage. Penetration level and per capita consumption in many product categories is very low compared to world average standards representing the unexploited market potential. Mushrooming Indian population, particularly the middle class and the rural segments, presents the huge untapped opportunity to FMCG players.

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The Indian FMCG sector is the fourth largest sector in the economy with an estimated size of Rs.1,300 billion. The sector has shown an average annual growth of about 11% per annum over the last decade. Unlike the developed markets, which are prominently dominated by few large players. India‟s FMCG market is highly fragmented and a considerable part of the market comprises of unorganized players selling unbranded and unpackaged products. There are approximately 12-13 million retail stores in India, out of which 9 million are FMCG kirana stores. Products which have a swift turnover and relatively low cost are known as Fast Moving Consumer Goods (FMCG). FMCG items are those which generally get replaced within a year. Examples of FMCG commonly include a wide range of repeatedly purchased consumer products such as toiletries, soap, cosmetics, oral care products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods. FMCG may also include pharmaceuticals, consumer electronics, packaged food products etc. Penetration level and per capita consumption in many product categories is very low compared to world average standards representing the unexploited market potential. Mushrooming Indian population, particularly the middle class and the rural segments, presents the huge untapped opportunity to FMCG players. Growth is also likely to come from consumer 'upgrading' in the matured product categories like processed and packaged food, mouth wash etc. A distinct feature of the FMCG industry is the presence of international players through their subsidiaries (HLL, P&G, Nestle), which ensures innovative product launches in the market from their parent's portfolio. Our country has a varied agro-climatic condition which enables to offer extended raw material base suitable for many FMCG sub sections like food processing industries etc. India is the one of the major producer of livestock, milk, sugarcane, coconut, spices and cashew and is the second largest producer of rice, wheat and fruits & vegetables. Similarly, India has an abundant supply of caustic soda and soda ash, the chief raw materials

required

in the production of soaps and detergents, which enables the

household section of the industry to excel and grow. The accessibility of these raw materials gives India the locational advantage.

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Fast Moving Consumer Goods (FMCG) Industry in India - Major Players 

Britannia India ltd

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Dabur India ltd.

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Marico

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Nirma ltd.

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Cadbury India ltd

 

Nestle

 

Cargill

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Coca-cola

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Colgate-Palmolive India

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Heinz co.

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Unilever

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Nestle

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Pepsi co.

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Jyothy Laboratories

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Procter & Gamble

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Samsung

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LG

 

Haier

 

Sony

 

Whirlpool

 

IFB

 

TCL

 

Electrolux

 

Videocon

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

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Market Opportunities Rural India accounts for more than 700 Million consumers, or 70 per cent of the Indian population and accounts for 50 per cent of the total FMCG market. The working rural population is approximately 400 Millions. And an average citizen in rural India has less than half of the purchasing power as compare to his urban counterpart. Still there is an untapped market and most of the FMCG Companies are taking different steps to capture rural market share. The market for FMCG products in rural India is estimated 52 per cent and is projected to touch 60 per cent within a year. Hindustan Unilever Ltd is the largest player in the industry and has the widest market coverage. Export - “Leveraging the Cost Advantage”

Cheap labor and quality product & services have helped India to represent as a cost advantage over other Countries. Even the Government has offered zero import duty on capital goods and raw material for 100% export oriented units. Multi National Companies out-source its product requirements from its Indian company to have a cost advantage. India is the largest producer of livestock, milk, sugarcane, coconut, spices and cashew apart from being the second largest producer of rice, wheat, fruits & vegetables. It adds a cost advantage as well as easily available raw materials.

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Sectoral Opportunities Major Key Sectoral opportunities for Indian FMCG Sector are mentioned below:Dairy Based Products

India is the largest milk producer in the world, yet only around 15 per cent of the milk is processed. The organized liquid milk business is in its infancy and also has large longterm growth potential. Even investment opportunities exist in value-added products like desserts, puddings etc. Packaged Food

Only about 10-12 per cent of output is processed and consumed in packaged form, thus highlighting the huge potential for expansion of this industry. Oral Care

The oral care industry, especially toothpastes, remains under penetrated in India with penetration rates around 50 per cent. With rise in per capita incomes and awareness of oral hygiene, the growth potential is huge. Lower price and smaller packs are also likely to drive potential up trading. Beverages

Indian tea market is dominated by unorganized players. More than 50% of the market share is capture by unorganized players highlighting high potential for organized players.

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MAJOR SEGMENTS OF THE FMCG INDUSTRY A. Household Care

The detergents segment is growing at an annual growth rate of 10 to 11 per cent during the past five years. The local and unorganized players account for a major share of the total volume of the detergent market. The preference is given to detergents in urban area compared to bars. Household care segment is featured by intense competition and high level of penetration. With rapid urbanization, emergence of small pack size and sachets, the demand for the household care products is booming. In washing powder segment, HUL is the leader with ~38 per cent of market share. Other major players are Nirma, Henkel and Proctor & Gamble. 

Personal wash:-

Personal wash can be further segregated into three segments namely Premium, Economy and Popular. Here also, HUL is the leader with market share of ~53 per cent; Godrej occupies second position with market share of ~10 per cent. Swelling disposable incomes of the Indian consumers, growth in rural demand and upgrading to the premium products are the key drivers for future demand growth in major FMCG categories. 

Detergents:-

The size of the detergent market is estimated to be Rs. 12,000 Cr. Household care segment is characterized by high degree of competition and high level of penetration. With rapid urbanization, emergence of small pack size and sachets, the demand for the household care products is flourishing. The demand for detergents has been growing but the regional and small unorganized players account for a major share of the total volume of the detergent market. In washing powder HUL is the leader with 38 per cent of market share. Other major players are Nirma, Henkel and Proctor & Gamble.

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B.

Personal Care

Personal care segment includes personal wash products, hair care products, oral care products, cosmetics etc. The Indian skin care and cosmetics market is valued at $274 million and is dominated by HUL, Colgate Palmolive, Gillette India and Godrej. The coconut oil market accounts for 72 per cent share in the hair oil market. The hair care market can be segmented into hair oils, shampoos, hair colorants & conditioners, and hair gels. In the branded coconut hair oil market, Marico (with Parachute) and Dabur are the leading players. Sachet makes up to 40 per cent of the total shampoo sale. Again the market is dominated by HUL with around 47 per cent market share; P&G occupies second position with market share of around 23 per cent. 

Skin care:-

The skin care  market is at a primary stage in India. With the change in life styles, increase in disposable incomes, greater product choice and availability. people are becoming more alert about personal grooming. The major players in this segment are Hindustan Unilever with a market share of 54 per cent, followed by CavinKare with a market share of 12 per cent and Godrej with a market share of ~3 per cent. The Skin Care segment is expected to register a growth rate of mare that 16 percent

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Hair Care:-

The hair care market in India is estimated at around Rs. 3,800 Cr. The hair care market can be segmented into hair oils, shampoos, hair colorants & conditioners, and hair gels. Marico is the the leader in Hair Oil segment with market share of 33 per cent; Dabur occupies second position at 17 per cent.

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Oral care:-

The oral care market can be segmented into toothpaste - 60 per cent; toothpowder - 23 per cent; toothbrushes - 17 per cent. This segment is dominated by Colgate-Palmolive with market share of 49 per cent, while HUL occupies second position with market share of 30 per cent. In toothpowders market, Colgate and Dabur are the major players.

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Shampoos:-

The Indian shampoo market is estimated to be around Rs. 2,700 Cr. It has the penetration level of only 13 per cent in India. Sachet makes up to 40 per cent of the total shampoo sale. It has low penetration level even in metros. Again the market is dominated by HUL with around 47 per cent market share; P&G occupies second position with market share of around 23 per cent. Antidandruff segment constitutes around 15 per cent of the total shampoo market. The market in further expected to increase due to increased marketing by players and availability of shampoos in affordable sachets.

C.

Food and Beverages

This segment comprises of the food processing industry, health beverage industry, bread and biscuits, chocolates & confectionery, Mineral Water and ice creams. The three largest consumed categories of packaged foods are packed tea, biscuits and soft drinks. Indian hot beverage market is a tea dominant market. The major share of tea market is dominated by unorganized players. Leading branded tea players are HUL and Tata Tea. Major players in food segment are HUL, ITC, Godrej, Nestle and Amul. 

Tea :-The major share of tea market is dominated by unorganized players. More

than 50 per cent of the market share is capture by unorganized players. Leading branded tea players are HUL and Tata Tea.

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Coffee :- The Indian beverage industry faces over supply in segments like coffee

and tea. However, more than 50 per cent of the market share is in unpacked or loose form. The major players in this segment are Nestlé, HUL and Tata Tea.

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INDIAN CONSUMERS SPENDING PATTERN

India occupies 17% of the world‟s population that half of these people are below the age

of 25.

Personal care

8%

Home Textiles

2%

Saving and Investments

4%

Clothing

7%

Consumer Durables

7%

Vacation

4%

Eating Out

10%

Music & Theatre

5%

Footwear

2%

Entertainment

2%

 Accessories

1%

Books and Music

8%

Grocery

40%

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Company Prospects Hindustan Unilever Limited • Unilever is lowering its expenditure on packaging across its portfolio of food brands as

a part of a wider cost-cutting drive. HUL has pared down the colour palette used for printing across many products. The system has been used to reduce printed packaging costs for Unileverʹs products. It is also eco -friendly because it reduces waste in the

printing process. HUL is taking different steps to reduce the cost and increase the margin. • Hindustan Unilever‟s product – “Pure it” (a water purifier) has received the UNESCO

Water Digest Water Award 2008-2009 in the category of best domestic non-electric water purifier. “Pure it”  received the award for outstanding contribution in the field of water in India. The product is available across 21 Indian states and has reached more than 1 million homes in India giving them access to microbiologically safe drinking water. Pureit‟s performance has been tested by leading internat ional & national medical,

scientific & public health institutions and meets the germ-kill criteria of the Environmental Protection Agency, the drinking water regulatory agency in the USA.

Procter & Gamble Hygiene & Health Care Limited (P&G) • The Company has 21 product categories out of which only 8 product have presen ce in

India. The company is planning to launch the rest 13 product in India. The company expects to see a growth in other categories. • The company has an aggressive plan to set up 20 new factories across the World out

of which 19 is expected to come in emerging markets and most of them would be seen in Brazil, Russia, India, and China.

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Godrej Consumer Products Limited (Godrej) • The Board of Directors of Godrej Consumer Products Limited (GCPL) has approved the acquisition of 50 per cent stake of its joint venture partner SCA Hygiene Products‟

stake in Godrej SCA Hygiene Limited.  After the transaction, the Joint Venture which ow ns the „Snuggy‟ brand of baby diapers will become a 100 per cent subsidiary of GCPL. • Godrej Consumer Products Limited has acquired 100 per cent stake in the Kinky

Group Limited, South Africa. Kinky is among one of the largest brand into hair segment with product portfolio. Dabur India Limited (Dabur) • Dabur has entered into the malted food drink market with the launch of a new health drink “Dabur Chyawan Junior”. According to the company, they expect to capture a

market share of 10 per cent of the Rs. 1,900 Crores malted food drink market over the next two years. • Dabur has acquired 72.15 per cent of Fem Care Pharma Ltd (FCPL), a leading player in the women‟s skin care products market, for Rs 203.7 Crores in an all -cash deal. The

Company is expected to create synergy by this deal. • Dabur got approval from Government of Himachal Pradesh to set up another medicine

manufacturing unit. The project has an expected investment of Rs. 130 Crores. Colgate-Palmolive (India) Limited • Colgate Palmolive (India) Ltd, which is currently holding 75 per cent of the share

capital of SS Oral Hygiene Products Private Ltd, Hyderabad, has acquired the remaining 25 per cent share capital from the local shareholders at an aggregate price of Rs 77.70 lakh. Consequently, SS Oral Hygiene Products has become a wholly owned subsidiary of the company.

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Nestle India Limited • Nestle is planning to invest Rs 6 billion in India in 2009 for expansion of its business

in the country. The company which has allotted an investment of Rs 3 billion in the Indian market in 2008, would be doubling the investment in 2009 as part of its business strategy. Nestle International is reinvesting and expanding in India and Nestle India will have all the financial resources to expand and grow from the parent company. • Nestle India reported a good increase in its standalone net profit for the second

quarter. During the quarter, the profit of the company rose 26.54% to Rs 1,210.90 million from Rs 956.90 million in the same quarter, last year. The company posted earnings of Rs 12.56 a share during the quarter, registering 26.61% growth over prior year period. Net sales for the quarter rose 23.45% to Rs 10,356.30 million, while total income for the quarter rose 23.78% to Rs 10,423.40 million, when compared with the prior year period.

Changing Profile and Mind Set of Consumer People are becoming conscious about health and hygienic. There is a change in the mind set of the Consumer and now looking at “Money for Value” rather than “Value for Money”. We have seen willingness in consumers to move to evolved products/ brands,

because of changing lifestyles, rising disposable income etc. Consumers are switching from economy to premium product even we have witnessed a sharp increase in the sales of packaged water and water purifier. Advantages to the Sector

Governmental Policy Indian Government has enacted policies aimed at attaining international competitiveness through lifting of the quantitative restrictions, reducing excise duties, automatic foreign investment and food laws resulting in an environment that fosters growth. 100 per cent export oriented units can be set up by government approval and use of foreign brand names is now freely permitted. India is the second largest Country in terms of Population growth and increase in population has a direct relation to FMCG sector.

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THE TOP 10 COMPANIES IN FMCG SECTOR

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

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OUTLOOK:

India has 17% of the world's population and that half of these people are below the age of 25. With a median age of 25 years, increasing numbers are joining the Indian workforce. India's share in world consumer spending is set to enlarge from 1.9% in 2005 to 3.1% in 2020. Income in the hands of younger consumers with a higher propensity to spend, is providing optimism to the economy while opening up new categories in the FMCG space. India is under changing phase as more women are joining India's workforce, FMCG players are finding opportunities to introduce products in the convenience and health foods segments. While spending on women's personal care products is also becoming far more acceptable. Distribution of smaller pack sizes, innovations like single use sachets to reach out to the rural and lower section of the economy is gaining demand. Innovative products to cater to regional or local tastes and the needs of niche consumers is also benefiting in growth of the industry.

Key growth drivers to the Industry are as follows 

Robust growth in India‟s GDP

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Growing urbanization

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Evolving consumer life style

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Increased income in rural areas

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Spending Pattern

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Changing Profile and Mind Set of Consumer

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Growth of modern retail

The FMCG sector has a great opportunity for growth in the country, with the growing population, the rising disposable incomes, education, urbanization, the advent of modern retail, and a consumption-driven society. There is a potential for all the FMCG companies as the per capita consumption of almost all products in the country is very low compared to world standards. 19

INTRODUCTION TO THE ORGANISATION

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TYPE

PUBLIC

INDUSTRY

CONSUMER GOODS

FOUNDED

1932

Headquarters

Mumbai, Maharashtra, India

Key people

Harish

Manwani

(Chairman),

Nitin

Paranjpe (CEO and Managing Director) Products

Home

&

Personal

Care,

Food

&

Beverages Revenue

19,401 crore (US$3.87billion(2010-2011)

Net income

2,305 crore (US$459.85 million)

Employees

16,500 (2011)

Parent

Unilever Plc (52%)

Website

www.hul.co.in

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Hindustan Unilever Limited  (HUL) is India's largest consumer goods company based

in Mumbai, Maharashtra.  It is owned by the British-Dutch company Unilever which controls 52% majority stake in HUL. Its products include foods, beverages,  cleaning agents and personal care products.

HUL was formed in 1933 as Lever Brothers India Limited and came into being in 1956 as Hindustan Lever Limited through a merger of   Lever Brothers,  Hindustan Vanaspati Mfg. Co. Ltd. and United Traders Ltd. It is headquartered in Mumbai, India and has an employee strength of over 16,500 employees and contributes to indirect employment of over 65,000 people. The company was renamed in June 2007 as “Hindustan Unilever Limited”.

Lever Brothers started its actual operations in India in the summer of 1888, when crates full of Sunlight soap bars, embossed with the words "Made in England by Lever Brothers" were shipped to the Kolkata harbour and it began an era of marketing branded Fast Moving Consumer Goods (FMCG).

Hindustan Unilever's distribution covers over 2 million retail outlets across India directly and its products are available in over 6.4 million outlets in the country. As per Nielsen market research data, two out of three Indians use HUL products.

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vision

Unilever products touch the lives of over 2 billion people every day  –  whether that's through feeling great because they've got shiny hair and a brilliant smile, keeping their homes fresh and clean, or by enjoying a great cup of tea, satisfying meal or healthy snack.

A clear direction

The four pillars of our vision set out the long term direction for the company  – where we want to go and how we are going to get there. 

We work to create a better future every day.



We help people feel good, look good and get more out of life with brands and

services that are good for them and good for others. 

We will inspire people to take small everyday actions that can add up to a big

difference for the world. 

We will develop new ways of doing business with the aim of doubling the size of

our company while reducing our environmental impact. We've always believed in the power of our brands to improve the quality of people‟s

lives and in doing the right thing. As our business grows, so do our responsibilities. We recognise that global challenges such as climate change concern us all. Considering the wider impact of our actions is embedded in our values and is a fundamental part of who we are.

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Purpose & principles

Our corporate purpose states that to succeed requires "the highest standards of corporate behaviour towards everyone we work with, the communities we touch, and the environment on which we have an impact." 

Always working with integrity

Conducting our operations with integrity and with respect for the many people, organisations and environments our business touches has always been at the heart of our corporate responsibility. 

Positive impact

We aim to make a positive impact in many ways: through our brands, our commercial operations and relationships, through voluntary contributions, and through the various other ways in which we engage with society. 

Continuous commitment

We're also committed to continuously improving the way we manage our environmental impacts and are working towards our longer-term goal of developing a sustainable business. 

Setting out our aspirations

Our corporate purpose sets out our aspirations in running our business. It's underpinned by our code of business Principles which describes the operational standards that everyone at Unilever follows, wherever they are in the world. The code also supports our approach to governance and corporate responsibility. 

Working with others

We want to work with suppliers who have values similar to our own and work to the same standards we do. Our Business partner code, aligned to our own Code of business principles, comprises ten principles covering business integrity and responsibilities relating to employees, consumers and the environment.

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Company structure Hindustan Unilever Limited is India's largest Fast Moving Consumer Goods (FMCG) company. It is present in Home & Personal Care and Foods & Beverages categories. HUL has about 15,000 employees, including over 1400 managers The fundamental principle determining the organisation structure is to infuse speed and flexibility in decision-making and implementation, with empowered managers across the company‟s nationwide operations.

Business leaders-HUL

HUL has produced many business leaders for corporate India, including Hitesh Manwani, the non-executive chairman of HUL and currently the Chief Operating Officer of Unilever. He is also a member of Unilever Leadership Executive team (ULE), which comprises the company‟s top management and is responsible for managing Unilever‟s

profit and loss, and delivering growth across its regions, categories and functions.Nitin Paranjpe has been the Managing Director and Chief Executive Officer of the company since April 2008. He is also Executive Vice President, South Asia, Unilever and is also the executive head of the South Asia cluster for Unilever. HUL's leadership-building potential was recognized when it was ranked 4th in the Hewitt Global Leadership Survey 2007 with only GE, P&G and Nokia ranking ahead of HUL in the ability to produce leaders with such regularity. A study conducted by Aon Hewitt, The RBL Group and Fortune in 2011, ranked the company number six in the list of „Top Companies for Leaders 2011 Study Results‟.The company was awarded the

CII- Prize for Leadership in HR Excellence at the 2nd CII National HR Conclave 2011 held on October 2011.

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Board of Directors

The Board of Directors of the Company represents an optimum mix of professionalism, knowledge and experience. The total strength of the Board of Directors of the Company is nine Directors, comprising Non-Executive Chairman, four Executive Directors and four Non-Executive Independent Directors. Management Committee

The day-to-day management of affairs of the Company is vested with the Management Committee which is subjected to the overall superintendence and control of the Board. Executive directors  The Executive directors are members of the HUL Management

Committee as well as the Board of HUL. Mr. Nitin Paranjpe - CEO and Managing Director  Mr. Nitin Paranjpe (48) joined the Company as a Management Trainee in 1987. In his early years in the Company, Mr. Paranjpe worked as Area Sales Manager - Detergents and then Product Manager - Detergents.

Mr. R. Sridhar - Chief Financial Officer  Mr. Sridhar Ramamurthy (47) is a Chartered Accountant (Gold Medallist) as well as a Cost  Accountant and Company Secretary.

Mr Pradeep Banerjee - Executive Director, Supply Chain Mr. Pradeep Banerjee (51) joined HUL as a Management Trainee in 1980.

26

HISTORY OF THE COMPANY In the summer of 1888, visitors to the Kolkata harbour noticed crates full of Sunlight soap bars, embossed with the words "Made in England by Lever Brothers". With it, began an era of marketing branded Fast Moving Consumer Goods (FMCG). Soon after followed Lifebuoy in 1895 and other famous brands like Pears, Lux and Vim. Vanaspati was launched in 1918 and the famous Dalda brand came to the market in 1937. In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing Company, followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). These three companies merged to form HUL in November 1956; HUL offered 10% of its equity to the Indian public, being the first among the foreign subsidiaries to do so. Unilever now holds 52.10% equity in the company. The rest of the shareholding is distributed among about 360,675 individual shareholders and financial institutions. The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the company had launched Red Label tea in the country. In 1912, Brooke Bond & Co. India Limited was formed. Brooke Bond joined the Unilever fold in 1984 through an international acquisition. The erstwhile Lipton's links with India were forged in 1898. Unilever acquired Lipton in 1972, and in 1977 Lipton Tea (India) Limited was incorporated. Pond's (India) Limited had been present in India since 1947. It joined the Unilever fold through an international acquisition of Chesebrough Pond's USA in 1986. Since the very early years, HUL has vigorously responded to the stimulus of economic growth. The growth process has been accompanied by judicious diversification, always in line with Indian opinions and aspirations. The liberalisation of the Indian economy, started in 1991, clearly marked an inflexion in HUL's and the Group's growth curve. Removal of the regulatory framework allowed the company to explore every single product and opportunity segment, without any constraints on production capacity.

27

Simultaneously, deregulation permitted alliances, acquisitions and mergers. In one of the most visible and talked about events of India's corporate history, the erstwhile Tata Oil Mills Company (TOMCO) merged with HUL, effective from April 1, 1993. In 1996, HUL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture, Lakme Unilever Limited, to market Lakme's market-leading cosmetics and other appropriate products of both the companies. Subsequently in 1998, Lakme Limited sold its brands to HUL and divested its 50% stake in the joint venture to the company. HUL formed a 50:50 joint venture with the US-based Kimberly Clark Corporation in 1994, Kimberly-Clark Lever Ltd, which markets Huggies Diapers and Kotex Sanitary Pads. HUL has also set up a subsidiary in Nepal, Unilever Nepal Limited (UNL), and its factory represents the largest manufacturing investment in the Himalayan kingdom. The UNL factory manufactures HUL's products like Soaps, Detergents and Personal Products both for the domestic market and exports to India. The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on the Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired Kothari General Foods, with significant interests in Instant Coffee. In 1993, it acquired the Kissan business from the UB Group and the Dollops Icecream business from Cadbury India.  As a measure of backward integration, Tea Estates and Doom Dooma, two plantation companies of Unilever, were merged with Brooke Bond. Then in 1994, Brooke Bond India and Lipton India merged to form Brooke Bond Lipton India Limited (BBLIL), enabling greater focus and ensuring synergy in the traditional Beverages business. By the end of the year, the company entered into a strategic alliance with the Kwality Icecream Group families and in 1995 the Milkfood 100% Icecream marketing and distribution rights too were acquired. Finally, BBLIL merged with HUL, with effect from January 1, 1996. The internal restructuring culminated in the merger of Pond's (India) Limited (PIL) with HUL in 1998. The two companies had significant overlaps in Personal Products, Speciality Chemicals and Exports businesses, besides a common distribution system since 1993 for Personal Products. The two also had a common management pool and a technology base.

28

In January 2000, in a historic step, the government decided to award 74 per cent equity in Modern Foods to HUL, thereby beginning the divestment of government equity in public sector undertakings (PSU) to private sector partners. HUL's entry into Bread is a strategic extension of the company's wheat business. In 2002, HUL acquired the government's remaining stake in Modern Foods. In 2003, HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the  Amalgam Group of Companies, a leader in value added Marine Products exports. HUL launched a slew of new business initiatives in the early part of 2000‟s. Project Shakti was started in 2001. It is a rural initiative that targets small villages populated by less than 5000 individuals. It is a unique win-win initiative that catalyses rural affluence even as it benefits business. Currently, there are over 45,000 Shakti entrepreneurs covering over 100,000 villages across 15 states and reaching to over 3 million homes. In 2002, HUL made its foray into Ayurvedic health & beauty centre category with the  Ayush product range and Ayush Therapy Centres. Hindustan Unilever Network, Direct to home business was launched in 2003 and this was followed by the launch of „Pureit‟

water purifier in 2004. In 2007, the Company name was formally changed to Hindustan Unilever Limited after receiving the approval of share holders during the 74th AGM on 18 May 2007. Brooke Bond and Surf Excel breached the the Rs 1,000 crore sales mark the same year followed by Wheel which crossed the Rs.2,000 crore sales milestone in 2008. On 17th October 2008 , HUL completed 75 years of corporate existence in India.

29

BRANDS HUL is the market leader in Indian consumer products with presence in over 20 consumer categories such as soaps, tea, detergents and shampoos amongst others with over 700 million Indian consumers using its products. Seventeen of HUL‟s brands featured in the ACNielsen the ACNielsen Brand Equity list of 100 Most Trusted Brands Annual Survey (2011). The company also happens to have the highest number of brands in this list, with six brands featuring in the top 15 list . The company has a distribution channel of 6.3 million outlets and owns 35 major Indian brands. Its brands include: Food brands:

Our aim is to provide foods which taste great and are good for you. We are committed to helping people everywhere achieve a balanced diet, by making the healthy choice an easy choice 

 Annapurna salt and atta



Bru coffee



Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea



Kissan squashes,ketchups, juices and jams



Lipton tea



Knorr soups & meal makers and soupy noodles



Kwality Wall's ice cream



Modern Bread, ready Bread, ready to eat chapattis and other bakery items

30

Homecare Brands 

 ActiveWheel detergent



Cif Cream Cleaner



Comfort fabric softeners



Domex disinfectant/toilet cleaner



Rin detergents and bleach



Sunlight detergent and colour care



Surf Excel detergent and gentle wash



Vim dishwash

Personal Care Brands: 

 Aviance Beauty Solutions



 Axe deodorant and aftershaving lotion



LEVER Ayush Therapy ayurvedic health care and personal care products



Breeze beauty soap



Clear anti-dandruff hair products



Clinic Plus shampoo and oil



Close Up toothpaste



Dove bar & skin cleansing, hair care range,lotions & Creams and anti-perspirant

deodorants 

Denim shaving products



Fair & Lovely - fairness products



Hamam

31



Lakmé beauty products and salons



Lifebuoy soaps and handwash range



Liril 2000 soap



Lux soap



Pears soap



Pepsodent toothpaste



Pond's talcs and creams



Rexona soap



Sunsilk shampoo



Sure anti-perspirant



Vaseline petroleum jelly, skin care lotions



Nutrition brands:-

  Knorr



Water

  Pureit



32

AWARDS AND RECOGNITIONS HUL was one of the eight Indian companies to be featured on the Forbes list of World‟s

most reputed companies in 2007. In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25 years by Businessworld , one of India‟s leading business magazines . The rating was based on a compilation of the magazine's an nual survey of India‟s most reputed companies over the past 25 years. 

 Awarded for Best Corporate Social Responsibility Practice at the Social &

Corporate Governance Awards 08-09 by BSE, Nasscom Foundation and Times Foundation 

 Awarded top Indian company in the 'FMCG' sector for the third consecutive year

at Dun & Bradstreet-Rolta Corporate Awards, 2009 

 Awarded Customer and Brand Loyalty Award by Business India & Business

Standard in 2009 

 Awarded in the Category 'FMCG Manufacturing Supply Chain Excellence' at the

Third Express, Logistics & Supply Chain Awards by APL Logistics, Indiatimes, Mindscape, Business India Group in 2009 

Orai unit received the Gold Excellence award and the Khalilabad unit received

the Silver Excellence award in the environment category by Greentech Foundation in 2009 

HUL's Goa factory won a Gold Trophy at the Greentech Awards in 2009 the

manufacturing sector category for their outstanding work in Safety Management 

Project Shakti won the Silver Trophy at the EMPI-Indian Express Indian

Innovation Awards, 2009 

Kwality Wall's Swirl's awarded 'The Franchisor of the year' for the Ice-cream

parlour category by Franchise India in 2009

33

HUL ranked fourth in the „Top Companies for Leaders, 2009' (Asia Pacific region)



and 10th place in the global rankings in a survey carried out by Hewitt Associates HUL received the Award for Excellence in HR in 2010 from Confederation of



Indian Industry (CII). This is a rigorous fact-based assessment which is conducted by a team of external assessors. HUL has won this award for the third consecutive year. Received CNBC AWAAZ Consumer Awards in six categories for 2010:



- Green Company of the Year - Value for Money Brand of the Year - Ad Effectiveness Award - Marketer of the Year award across all categories - Most

Preferred

Personal

Care

Company

in

FMCG

category

FMCG

category

(for the third consecutive year) - Most

Preferred

Home

care

Company

in

(for the third consecutive year) HUL was felicitated for receiving the highest number of patents in the year 2009



at Annual Intellectual Property Awards 2010. The award was instituted by Confederation of Indian Industry (CII) in association with Department of Industrial Policy & Promotion (DIIP) and Intellectual Property India (IPI) in New Delhi. 

In 2011, HUL was named the most innovative company in India by Forbes and ranked 6th in the top 10 list of most innovative companies in the world.



HUL was ranked 39th in The Brand Trust Report (2011) published by Trust Research Advisory. Seven HUL brands also featured in the list: Lux, Pond‟s, Dove, Lakme, Axe, Sunsilk and Pepsodent.



HUL bagged three awards at the 'CNBC Awaaz Storyboard Consumer Awards‟ in 2011 - Most Recommended FMCG Company of the Year; Most Consumer Conscious Company of the Year and Digital Marketer of the Year.



HUL is one of the country's largest exporters; it has been recognised as a Golden Super Star Trading House by the Government of India.

34

Projects undertaken by HUL India Water Body

In May 2011, the company launched the India Water Body, an initiative aimed to address the challenge of water scarcity in India. HUL has been working in the area of water conversation for more than a decade and has initiated projects in several states across India with the aim to create capacity towards conserving more than 50 billion litres of water in the next four years (by 2015). Plastic Recycling Project In July 2011, HUL and Bharti Retail started a three month campaign called “Go Recycle” to promote plastic recycling among consumers in the National Capital

Region (NCR) in 2011. Creating financial Inclusion

The company joined forces with the  State Bank of India (SBI) to introduce banking services to people from low-income groups in rural areas. The project was piloted in the states of  Maharashtra and Karnataka. .Project Shakti Project Shakti is a rural distribution initiative of Hindustan Unilever Limited (HUL) that targets small villages populated by less than 5000 individuals. Project Shakti benefits business by enhancing HUL‟s direct rural reach, and by enabling HUL‟s brands to communicate effectively in media -dark regions. Shakti Entrepreneur

This is a sales and distributive initiative which recruites village women as sales persons called Shakti Amma and trains them to communicate and sell HUL products in villages.

35

Shaktimaan

In 2010, HUL rolled out the Shaktiman initiative through Project Shakti. Through the Shaktimaan initiative, men in the Shakti Amma families distribute HUL products to villages adjoining the respective Shakti village. Khushiyon Ki Doli

The company launched a multi-brand rural marketing initiative called Khushiyon Ki Doli in 2010 in three states – Uttar Pradesh, Andhra Pradesh and Maharashtra. Through this initiative more than 10 million consumers were contacted directly in more than 28,000 villages across these three states. Through this initiative, the company also reached out to 170,000 retailers in these villages. Other Community initiatives Providing healthcare 

Sanjivani Mobile Medical Facility : HUL started Sanjivani, a mobile medical service in 2003, to offer effective medical care in villages surrounding Doom Dooma factory in Assam. The objective has been to meet the basic medical needs of people living in the remote villages in Assam through a free mobile medical facility.



 Assisting women through education



Disaster relief & rehabilitation



Floods, Bihar, 2008: HUL contributed 10,000 kits worth INR 60 lakh as the first

installment of material for immediate relief of the flood affected families in Araria District in Bihar. The kit contained essential items such as utensils, clothes, blankets, and other useful material. 

Tsunami, South India, 2006: HUL contributed over INR 10 crores towards the

relief and rehabilitation of tsunami-affected families by way of providing relief material, land, and construction of facilities. 

Caring for the vulnerable

36

Shampoo

Shampoo in India was derived from the Hindi word champi meaning hair massage. The introduction of shampoo in India dates back to the British reign in the country. Being a recent development the growth of shampoo or rather the penetration levels of shampoo in the India has been commendable. The shampoo market in India is estimated to be `  2,500-3,000 crore. The shampoo market is India is categorized according to the benefits they provide. Mostly consisting of three kinds of shampoos cosmetic, herbal and anti dandruff, the shampoo market in India has managed to tap users of the various segments according to their requirements. Due to the continuous efforts of the top shampoo brands in India penetration of shampoos in urban areas is almost 100%. As far as penetration of shampoo in the rural areas is concerned it has risen by almost 18% in the current scenario. The top shampoo brands in India include Sunsilk, Clinic Plus, Dove and Pantene. The company that leads the shampoo market in India is Hindustan Unilever Limited. The top three most sought after brands Sunsilk, Dove and Clinic are produced by HUL. The company holds a 44% market share in the Indian shampoo industry. It is said that HUL earns almost 8% of its revenue from the sale of these products The other recent brand that has taken the Indian personal care industry by storm is Pantene. Since its very inception the brand was a best seller. A product of FMCG giants Proctor and Gamble Pantene has slowly and steadily managed to capture quite a large amount of the Indian market. Proctor and Gamble the second top shampoo brand in India holds a market share of around 25% in the Indian shampoo industry. The revenue earned from the ale of

shampoos

from

Proctor

and

37

gamble

is

almost

17%.

TOP SHAMPOO BRANDS IN INDIA 

Sunsilk



Clinic Plus



Pantene



Head & Shoulders



Garnier Fructis

THE MARKET SHARES BRANDS

SHARE (%)

Sunsilk

20

Clinic

25

Organics

5.5

Pantene

11

Halo

3.4

Optima

3.6

Lakme

1

Ultra Doux

1.2

Flex

0.7

Others

28.6

38

Promoting the shampoo brands poses another challenge for the marketers, resulting in high adv. spends and media spends. P&G spent 8 crores on advertising Pantene on TV in the first four months of its launch. HLL‟s estimated advertising expenditure for

each new shampoo launch was between Rs.4 crores and 6 crores in the introductory phase. The ad-to -sales ratio of the companies have shown remarkable jump from 10 % to 20 % compared to the average of 5 % for most product categories. One of the biggest barriers to shampoo usage is the consumer perception that it harms the hair. Thus companies are focusing on defending the product against accusations by promoting the strength, nourishment and beauty of the hair - „The 3 - in -1 Capsule „for ultimate hair. Companies are still associating it with modern life styles to find acceptance in semi - urban and rural non-users to build and enlarge shampoo usage levels. Thus companies will have to mould new consumers usage patterns to its own benefit, to have a competitive advantage and stay out there in the longer run with a respectable market share.  A market segment consists of a large identifiable group within a market. A company that practices segment marketing recognizes that buyers differ in their wants, purchasing power, geographical locations, buying attitudes, and buying habits. Because buyers have unique needs and wants, each buyer is potentially a separate market. Ideally, then, a seller might design a separate marketing program for each buyer, though no company is willing to customize its offer \ communication bundle to each individual customer. The company instead tries to isolate some broad segments that make up a market. Two broad groups of variables are used to segment consumer markets. Some

researchers try to form segments by looking at consumer responses to benefits sought, use occasions or brands. Other researchers try to form segments by looking at consumer characteristics. They commonly use Geographic, Demographic or Psychographic characteristics.

39

THEORITICAL PERSPECTIVE Customers are informed and remaindered about the products and are requested and persuaded to purchase their products. Such communication may be made their along the product or well in advance of the introduction of product into the market. Such communication becomes necessary when a new product or service is introduced in the market or an old product is improved or it is simply to increase the sales of the products. The study of demand in economics involves how consumers select goods and services.  According to James C. Cox in The Economic Journal, consumer economics traditionally operates on the hypothesis that consumers seek the most utility, or satisfaction, that they can buy. Consumer preferences involve the ranking of goods and services according to how much benefit they afford. The study of consumer preferences employs assumptions about consumers' behavior and how they decide preferences Consumer preference for a product can make or break a company. If consumers generally like a product, it can stay around for years and sell millions of copies. However, if consumers do not like the product, it could disappear very quickly if the company cannot figure out how to fix the problem. 

Many consumers choose to buy white cars instead of red or blue no matter what

brand the car is, where it was built or how many cup holders it has. This is a consumer preference. Why is white the most popular car color? Some people say it is because it signifies purity or even technology. The color of a car has nothing to do with how the car functions, so logic would say that all colors would sell the same amount or car manufacturers would only produce one color. However, this is not the case. Those manufacturers produce many colors, including twice as many in white, or whichever color is trendy or popular at the time. 

Sometimes, consumer preferences may lead to negative results. Shampoo

companies found that their customers associate suds with cleanliness, leading them to add sudsing agents to their products even though the amount of suds has nothing to do with how well the shampoos clean hair. The first company to add more suds to their formula was able to use it as a marketing and promotional advantage. Other companies followed suit, leading to a sudsiness competition. 40

Unfortunately, the more sudsy the lather, the worse the shampoo will clean. This is true for two reasons. According to the Fox Avenue Salon website, "First, the extremely sudsy shampoo takes much longer to rinse out of your hair, resulting in excessive use of water. Secondly, with so many suds the hair doesn't seem to get as clean." So, instead of manufacturers educating customers on how shampoo works, they add chemicals to adjust their products to the consumer preference.

How Companies Find Consumer Preferences

Companies routinely test the market to find out what customers like and dislike about their products and competitors' products. This is usually done by an internal marketing department or outsourced to a market research firm. Phone interviews, paper surveys, electronic surveys, focus groups and consumer samplings are common methods for gathering information. Market Research Example

Here is a popular example of market research: A customer has finished shopping and paying for merchandise at a local grocery store. Before handing the receipt to her, the cashier points to and explains that she has been invited to participate in a short survey about her visit. If she chooses to participate, she will receive $5 off her next visit and a chance to win a large monetary grand prize.

How Companies Use This Information 

 After gathering information, the next step for the company is to determine what it

means. Analysis of the information may lead the company to change the formula, packaging, color, size or some other feature of the product. In the case of the suds in the shampoo, the manufacturers may find that customers are continuing to prefer and associate the foamy lather with high quality cleanliness, leading them to keep the same formula or decide to add even more of the sudsing agent.

41

Consumer

choice

is

a

theory

of  microeconomics that

relates preferences for

consumption goods and services to consumption expenditures and ultimately to consumer demand curves.  The link between personal preferences, consumption, and the demand curve is one of the most closely studied relations in economics. Consumer choice theory is a way of analyzing how consumers may achieve equilibrium between preferences and expenditures by maximizing utility as subject to consumer  budget constraints. Preferences are the desires by each individual for the consumption of goods and services that translate into choices based on income or  wealth for purchases of goods and services to be combined with the consumer's time to define consumption activities. Consumption is separated from production, logically, because two different consumers are involved. In the first case consumption is by the primary individual; in the second case, a producer might make something that he would not consume himself. Therefore, different motivations and abilities are involved. The models that make up consumer theory are used to represent prospectively observable demand patterns for an individual buyer on the hypothesis of constrained optimization. Prominent variables used to explain the rate at which the good is purchased (demanded) are the price per unit of that good, prices of related goods, and wealth of the consumer. The fundamental theorem of demand states that the rate of consumption falls as the price of the good rises. This is called the  substitution effect . Clearly if one does not have enough money to pay the price then they cannot buy any of that item. As prices rise, consumers will substitute away from higher priced goods and services, choosing less costly alternatives. Subsequently, as the wealth of the individual rises, demand increases, shifting the demand curve higher at all rates of consumption. This is called the income effect . As wealth rises, consumers will substitute away from less costly inferior goods and services, choosing higher priced alternatives.

42

RESEARCH METHODOLOGY

43

“Research is a careful investigation or inquiry, especially through search for new facts in any branch knowledge.it is a systemized effort to gain more knowledge.”

Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for the researcher to know not only the research methods or techniques but also the methodology . Researcher always needs to understand the assumptions underline various technique and they need to know the criteria by which they can decide that certain technique and procedures will be applicable to certain problems and other will not.

TITLE OF THE PROJECT STUDY The title of the study was”consu mer preference towards shampoo with special reference to HUL”

Duration of the project 

For this project,the time period was one month.



For any project/research the time duration is very important .The duration of the

project direct influence it.

44

Objective of the study 

The main object behind the project is to study the consumer preference towards

shampoo. 

To find out why consumer prefer particular brand of shampoo? which are the

factors that influence and motivate them to buy the preffered brand of the shampoo. 

To get a better understanding of shampoo market.



To find the most preferable brand among various kinds of shampoo and to find

which brand enjoy the market leadership position. 

To understand the satisfaction leval of the consumers.



To assess whether advertising is influencing the buying behavior of the

consumers.

Research design “A research design is an arrangement of conditions for collection and analysis of data in

a manner that aims to combine the relevancy of the research with economy in procedure.”

The goal of the research process is to produce new knowledge, which takes three forms. Different research designs Exploratory :-This is conducted when there are few or no earlier studies to which

references can be made for information. Descriptive:-It is used to identify and obtain information on the characterstics of a

particular issue. Explanatory:-The research goes beyond merely describing the characterstics ,to

analyse and explain why or how something is happening. For pursuing this particular project exploratory study is the best suited keeping in view its objective. Thus exploratory research design has been briefly explained below:

45

Exploratory research design: This design is also known as formulative research

design. The main purpose of such studies is that of formulating a problem for more precise investigation or of developing the working hypothesis from the operational point of view. The major emphasis in such studies is for the discovery of idea and insight. Exploratory research is a type of research conducted because a problem han not been clearly defind. Exploratory research helps determine the best research design,data collection method and selection of subjects. Exploratory research often relies on secondary research such as reviewing available literature and/or data ,or qualitative approaches. The results of exploratory research are not usually useful for decision making by themselves, but they can provide significant insight into a given situation. Although the results of qualitative research can give some indication as to the “why”,”how”and “when”something occurs,it cannot tell us “how often”or”how many”.

Data collection Primary data:-primary data are those ,which are collected for the first time,and they are

original in character. A suitable combination of questionnaire techniques & discussion with the respondent wass used to collect the required primary data. Primary data gives higher accuracy and facts, which is very helpful for any research and its findings . I have collected primary data from questionnaire (i.e)personal interview. Secondary data:-The secondary data are those,which are already collected by

someone for some purpose and are available for the present study. Secondary data was collected from the magazines,websites and other such sources.

46

Sample Size: Primary data is collected by surveying the 100 respondent personally. Sampling Area:

The area of the research was JAIPUR.

Sampling Technique: Sampling technique used is the Random and Convenience sampling . This type of sampling technique is most appropriate for this study.

Methodology: 

Prepare the list of information needed



Frame Questionnaire



Collect Information



Representing the result in the form of graphs



Analysis and Interpretation



Conclusion and Suggestions

47

Scope of study 

This project is related with the consumers preference towards shampoo .



The scope of the study covers almost all categories of Shampoos.



The whole appraisal of Shampoos has been done from the angle of customer

satisfaction. 

Any substitutes of Shampoos like washing soaps or natural products have not

been considered. 

Also Shampoos locally made by the unorganised sector and which are not

branded have not been considered. 

The respondents were the consumer of JAIPUR CITY.



Every individual is different from all others and so are their responses.

LIMITATION OF STUDY 

Due to the limitation of the time the research could not be made more

detailed. 

Respondents were sometimes not available for the purpose.



The area covered under the survey is JAIPUR.



The selected sample may or may not be considered as a true representative of

the whole population.

48

FACTS AND FINDINGS



It has been observed that different people use different brand of shampoo according to their need and the factors which influence them to purchase that specific brand



Maximum number of respondents are satisfied with the results their shampoo gives.



Satisfaction is maximum drawn with people using sunsilk. This is the brand, which attract most because of perceived quality and brand image.



Customers self preference influence them to purchase the brand most after this comes advertisements.



Most people change their shampoos occasionally but there are people who never change their shampoo i.e. they are satisfied with their current brand.



People normally shampoo twice a week or three to four times a week.



Most people normally buy 100ml- 250ml pack of shampoo.



The additional utility consumers derive by using shampoo is that it helps them in maintaining their hair.

49

DATA ANALYSIS & INTERPRETATION

50

Q.1 Which of the following brands of shampoo do you purchase? Statistics

Q1 N

Valid Missing

100 0 Q1

Frequency

Percent

Valid Percent

Cumulative Percent

Pantene

12

12.0

12.0

12.0

Sunsilk

44

44.0

44.0

56.0

Loreal

14

14.0

14.0

70.0

Clinic plus

16

16.0

16.0

86.0

Others

14

14.0

14.0

100.0

100

100.0

100.0

Total

Q1 Frequency pantene sunsilk loreal clinic plus others

Interpretation:-44% of the respondents use sunsilk shampoo ,16% of the respondents

use clinic plus shampoo,14% of the respondents use loreal shampoo and there are some other respondents who use other brands of the shampoo.

51

Q.2 How many members of your family use shampoo.

Statistics

Q2 N

Valid Missing

100 0

Q2

Frequency all

Percent

Valid Percent

Cumulative Percent

88

88.0

88.0

88.0

Siblings only

6

6.0

6.0

94.0

Only you

6

6.0

6.0

100.0

100

100.0

100.0

Total

Frequency

all siblings only only you

Interpretation: 88% of the respondents says that all the members of the family use

shampoo 6% responds that only they use shampoo and other 6% says only siblings use shampoo. 52

Q.3 Are you satisfied with the results your shampoo gives? Statistics

Q3 N

Valid Missing

100 0

Q3

Frequency

Valid Percent

Percent

Cumulative Percent

yes

98

98.0

98.0

98.0

no

2

2.0

2.0

100.0

100

100.0

100.0

Total

Frequency

yes no

Interpretation:98% of the respondents are satisfied with the results of the shampoo

they use and only 2% are not satisfied with their shampoo.

53

Q.4 Level of satisfaction you are getting from your shampoo brand. Statistics

Q4 N

Valid Missing

100 0

Q4

Frequency

Valid Percent

Percent

Cumulative Percent

Highly satisfied

27

27.0

27.0

27.0

satisfied

59

59.0

59.0

86.0

neutral

14

14.0

14.0

100.0

100

100.0

100.0

Total

Frequency

highly satisfied satisfied neutral

Interpretation:27% of the respondents are highly satisfied with the shampoo

brand.14%respondents are neutral to this question and rest 59% are satisfied with the shampoo brand. 54

Q.5 The celebrity endorser of the brand affects your purchase decision. Statistics

Q5 N

Valid

100

Missing

0

Q5

Frequency Percent

Valid Percent

Cumulative Percent

yes

11

11.0

11.0

11.0

no

89

89.0

89.0

100.0

100

100.0

100.0

Total

Frequency

yes no

Interpretation:11% respondents are agree to the statement that the celebrity endorser

affects the purchase decision.89%are not agree to the affect on the purchase decision by celebrity endorser.

55

Q.6 Rank the factor you consider while purchasing a shampoo according your priority. Statistics

Q6 N

Valid Missing

100 0 Q6

Frequency

Percent

Valid Percent

Cumulative Percent

Hair type

44

44.0

44.0

44.0

fragrance

9

9.0

9.0

53.0

43

43.0

43.0

96.0

price

1

1.0

1.0

97.0

availability

3

3.0

3.0

100.0

100

100.0

100.0

Hair problem

Total

Frequency hair type fragrance hair problem price

Interpretation:   The factor which is considered most is the hair type after that hair

problem is considered. Price and availability plays less importance in purchasing a shampoo. 9% respondents are with the fragrance of the shampoo. 56

Q.7 Who influence you to purchase the brand? Statistics

Q7 N

Valid Missing

100 0

Q7

Frequency

Percent

Valid Percent

Cumulative Percent

family

9

9.0

9.0

9.0

doctor

5

5.0

5.0

14.0

 Adds.

11

11.0

11.0

25.0

Self

74

74.0

74.0

99.0

1

1.0

1.0

100.0

100

100.0

100.0

others Total

Frequency family doctor advertisement self 

Interpretation: 74% respondents says that their self interest influences them to

purchase the specific brand of shampoo.11% responds advertisements affects their purchse 9% says family influence them to purchase a brand. 57

Q.8 How often do you change your shampoo? Statistics

Q8 N

Valid

100

Missing

0

Q8

Cumulative Frequency Percent Valid Percent Percent Frequently

11

11.0

11.0

11.0

Occassionaly

75

75.0

75.0

86.0

Never

14

14.0

14.0

100.0

Total

100

100.0

100.0

Frequency

frequently occasionaly never

Interpretation:   14% of the respondents says they never change their shampoo.11%

says they frequently change their shampoo and rest 75% says they occasionally change their shampoo.

58

Q.9 No. of times you shampoo your hair in a week. Statistics

Q9 N

Valid Missing

100 0

Q9

Cumulative Frequency Percent Valid Percent Percent 1-2 times

57

57.0

57.0

57.0

3-4 times

38

38.0

38.0

95.0

5-6 times

4

4.0

4.0

99.0

More than 6

1

1.0

1.0

100.0

100

100.0

100.0

Total

Frequency

1-2 times 3-4 times 5-6 times more than 6

Interpretation:57% of the respondents shampoo their hair 1-2 times a week.38% use

3-4 times and 4% says 5-6 times .males use shampoo more than a female in a week

59

Q.10 If your income rose, will you increase the consumption of shampoo? Statistics

Q10 N

Valid Missing

100 0

Q10

Frequency

Percent

Valid Percent

Cumulative Percent

Strongly agree

1

1.0

1.0

1.0

agree

6

6.0

6.0

7.0

Can‟t say

13

13.0

13.0

20.0

disagree

35

35.0

35.0

55.0

Strongly disagree

45

45.0

45.0

100.0

100

100.0

100.0

Total

Frequency strongly agree agree can't say

Interpretation:  if the income of the consumers increase there will be no increase in the

consumption of the shampoo.45% respondents are strongly disagree to this point.35% are disagree,13% have no answer to this statement. 60

Q.11 Size of the pack you purchase most often. Statistics

Q11 N

Valid Missing

100 0

Q11

Frequency

Percent

Valid Percent

Cumulative Percent

100 ml

10

10.0

10.0

10.0

100-250 ml

63

63.0

63.0

73.0

6

6.0

6.0

79.0

21

21.0

21.0

100.0

100

100.0

100.0

sachets  Above 250 ml Total

Frequency 100 ml 100ml-250 ml sachets above 250 ml

Interpretation:  The customers mostly purchase 100-250 ml pack of the shampoo.63%

respondents are with this statement.10% purchase 100 ml pack of shampoo.6% are with the sachets and 21% purchase above 250 ml pack of shampoo.

61

Q.12 Do you find any additional utility by using shampoos? Statistics

Q12 N

Valid Missing

100 0

Q12

Frequenc y Percent Maintain hair

Valid Percent

Cumulative Percent

95

95.0

95.0

95.0

Someone at home uses

4

4.0

4.0

99.0

Finds No difference

1

1.0

1.0

100.0

100

100.0

100.0

Total

Frequency helps in maintaining hair because someone at home uses don't find any difference between soap and shampoo

Interpretation:   95% consumers says that they use shampoos because it really helps

them in maintaining their hair. only 1% says that they don‟t find any difference between a soap and a shampoo and rest 4% says that they use because someone at home uses it. 62

1).NULL HYPOTHESIS: There is no significant difference between respondents of

different age groups towards the brand of shampoo they purchase. ALTERNATIVE HYPOTHESIS: : There is a significant difference between respondents

of different age groups towards the brand of shampoo they purchase. Case Processing Summary

Cases Valid N  AGE GROUP * Q1

Missing Percent

100

N

100.0%

Total

Percent 0

N

.0%

Percent 100

100.0%

AGE GROUP * Q1 Crosstabulation

Count Q1 1  AGE GROUP

2

3

4

5

Total

1

7

26

10

13

11

67

2

2

15

2

1

2

22

3

3

2

2

2

1

10

4

0

1

0

0

0

1

12

44

14

16

14

100

Total

63

Chi-Square Tests

 Asymp. Sig. Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

(2-sided)

a

12

.388

13.018

12

.368

12.745

100

a. 14 cells (70.0%) have expected count less than 5. The minimum expected count is .12.

Result: The null hypothesis is accepted as value of significance is >.05.

64

2).NULL HYPOTHESIS: There is no significant difference between respondents of

different occupation towards the brand of shampoo they purchase. ALTERNATIVE HYPOTHESIS : There is a significant difference between respondents

of different occupation towards the brand of shampoo they purchase. Case Processing Summary

Cases Valid N OCCUPATION * Q1

Missing Percent

100

N

Total

Percent

100.0%

0

N

.0%

Percent 100

100.0%

OCCUPATION * Q1 Crosstabulation

Count Q1 1 OCCUPATION

2

3

4

5

Total

1

1

3

0

2

2

8

2

3

6

4

1

3

17

3

2

17

8

11

7

45

4

6

18

2

2

2

30

12

44

14

16

14

100

Total

65

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

12

.123

19.759

12

.072

17.754

100

a. 13 cells (65.0%) have expected count less than 5. The minimum expected count is .96.

Result: The null hypothesis is accepted as value of significance is >.05.

66

3).NULL HYPOTHESIS: There is no significant difference between respondents of

different gender towards the brand of shampoo they purchase. ALTERNATIVE HYPOTHESIS : There is a significant difference between respondents

of different gender towards the brand of shampoo they purchase.

Case Processing Summary

Cases Valid N SEX * Q1

Missing Percent

100

N

100.0%

Total

Percent 0

N

.0%

Percent 100

100.0%

SEX * Q1 Crosstabulation

Count Q1 1 SEX

2

3

4

5

Total

1

7

26

10

2

9

54

2

5

18

4

14

5

46

12

44

14

16

14

100

Total

67

Chi-Square Tests

 Asymp. Sig. Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

(2-sided)

a

4

.007

15.096

4

.005

13.951

100

a. 0 cells (.0%) have expected count less than 5. The minimum expected count is 5.52.

Result: The null hypothesis is rejected because the calculated value is less than .05

68

4).NULL HYPOTHESIS: There is no significant difference between respondents of

different age groups regarding their satisfaction with the shampoo they use. ALTERNATIVE HYPOTHESIS:   There is a significant difference between respondents

of different age groups regarding their satisfaction with the shampoo they use.

Case Processing Summary

Cases Valid N  AGE GROUP * Q3

Missing Percent

100

N

100.0%

Percent 0

.0%

AGE GROUP * Q3 Crosstabulation

Count Q3 1  AGE GROUP

2

Total

1

66

1

67

2

21

1

22

3

10

0

10

4

1

0

1

98

2

100

Total

Total

69

N

Percent 100

100.0%

Chi-Square Tests

 Asymp. Sig. Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

(2-sided)

a

3

.792

1.078

3

.783

1.040

100

a. 5 cells (62.5%) have expected count less than 5. The minimum expected count is .02.

Result: The null hypothesis is accepted as value of significance is >.05.

70

5.)NULL HYPOTHESIS: There is no significant difference between respondents of

different occupation regarding their satisfaction with the shampoo they use. ALTERNATIVE HYPOTHESIS:   There is a significant difference between respondents

of different occupation regarding their satisfaction with the shampoo they use. Case Processing Summary

Cases Valid N OCCUPATION * Q3

Missing Percent

100

N

Percent

100.0%

0

.0%

OCCUPATION * Q3 Crosstabulation

Count Q3 1 OCCUPATION

2

Total

Total

1

8

0

8

2

17

0

17

3

44

1

45

4

29

1

30

Total

98

2

100

71

N

Percent 100

100.0%

Chi-Square Tests

 Asymp. Sig. (2Value

df

sided)

Pearson Chi-Square

.794

a

3

.851

Likelihood Ratio

1.248

3

.741

N of Valid Cases

100

a. 4 cells (50.0%) have expected count less than 5. The minimum expected count is .16.

Result: The null hypothesis is accepted as value of significance is >.05.

72

6.)NULL HYPOTHESIS: There is no significant difference between respondents of

different gender regarding their satisfaction with the shampoo they use. ALTERNATIVE HYPOTHESIS:  There is a significant difference between respondents of

different gender regarding their satisfaction with the shampoo they use. Case Processing Summary

Cases Valid N SEX * Q3

Missing

Percent 100

100.0%

N

Total

Percent 0

.0%

73

N

Percent 100

100.0%

SEX * Q3 Crosstabulation

Count Q3 1 SEX

2

Total

1

52

2

54

2

46

0

46

Total

98

2

100

Chi-Square Tests

Value Pearson Chi-Square Continuity Correction

df

Likelihood Ratio

Exact Sig.

Exact Sig.

sided)

(2-sided)

(1-sided)

a

1

.187

.362

1

.547

2.499

1

.114

1.738 b

 Asymp. Sig. (2-

Fisher's Exact Test N of Valid Cases

.498 100

a. 2 cells (50.0%) have expected count less than 5. The minimum expected count is .92. b. Computed only for a 2x2 table

Result: The null hypothesis is accepted as value of significance is >.05.

74

.289

7.)NULL HYPOTHESIS: There is no significant difference between respondents of different age groups towards their purchase decision being affected by celebrity endorser. ALTERNATIVE HYPOTHESIS:   There is a significant difference between respondents

of different age groups towards their purchase decision being affected by celebrity endorser. Case Processing Summary

Cases Valid N  AGE GROUP * Q5

Missing Percent

100

N

100.0%

Percent 0

.0%

AGE GROUP * Q5 Crosstabulation

Count Q5 1  AGE GROUP

2

Total

1

10

57

67

2

1

21

22

3

0

10

10

4

0

1

1

11

89

100

Total

Total

75

N

Percent 100

100.0%

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

3

.341

4.698

3

.195

3.350

100

a. 4 cells (50.0%) have expected count less than 5. The minimum expected count is .11.

Result: The null hypothesis is accepted as value of significance is >.05.

76

8.)NULL HYPOTHESIS: There is no significant difference between respondents of

different occupation

towards their purchase decision being affected by celebrity

endorser. ALTERNATIVE HYPOTHESIS:  There is a significant difference between respondents

of different their purchase decision being affected by celebrity endorser.

Case Processing Summary

Cases Valid N OCCUPATION * Q5

Missing Percent

100

N

Percent

100.0%

0

.0%

OCCUPATION * Q5 Crosstabulation

Count Q5 1 OCCUPATION

2

Total

1

0

8

8

2

1

16

17

3

6

39

45

4

4

26

30

11

89

100

Total

Total

77

N

Percent 100

100.0%

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

3

.602

2.795

3

.424

1.861

100

a. 4 cells (50.0%) have expected count less than 5. The minimum expected count is .88.

Result: The null hypothesis is accepted as value of significance is >.05.

78

9)NULL HYPOTHESIS: There is a significant difference between respondents of

different gender towards their purchase decision being affected by celebrity endorser. ALTERNATIVE HYPOTHESIS:  There is no significant difference between respondents

of different gender towards their purchase decision being affected by celebrity endorser. Case Processing Summary

Cases Valid N SEX * Q5

Missing Percent

100

N

100.0%

Total

Percent 0

.0%

SEX * Q5 Crosstabulation

Count Q5 1 SEX

2

Total

1

3

51

54

2

8

38

46

11

89

100

Total

79

N

Percent 100

100.0%

Chi-Square Tests

Value Pearson Chi-Square Continuity Correction

df

Likelihood Ratio

Exact Sig. (2-

Exact Sig. (1-

sided)

sided)

sided)

a

1

.059

2.448

1

.118

3.623

1

.057

3.554 b

 Asymp. Sig. (2-

Fisher's Exact Test N of Valid Cases

.106 100

a. 0 cells (.0%) have expected count less than 5. The minimum expected count is 5.06. b. Computed only for a 2x2 table

Result: The null hypothesis is accepted as value of significance is >.05.

80

.058

10)NULL HYPOTHESIS: There is no significant difference between respondents of

different age groups towards the change of their shampoo. ALTERNATIVE

HYPOTHESIS:   There

is

a

significant

difference

between

respondents of different age groups towards the change of their shampoo.

Case Processing Summary

Cases Valid N  AGE GROUP * Q8

Missing Percent

100

N

Total

Percent

100.0%

0

N

.0%

100

AGE GROUP * Q8 Crosstabulation

Count Q8 1  AGE GROUP

2

3

Total

1

9

48

10

67

2

0

20

2

22

3

2

6

2

10

4

0

1

0

1

11

75

14

100

Total

81

Percent 100.0%

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

6

.461

8.162

6

.226

5.670

100

a. 7 cells (58.3%) have expected count less than 5. The minimum expected count is .11.

Result: The null hypothesis is accepted as value of significance is >.05.

82

11).NULL HYPOTHESIS: There is no significant difference between respondents of

different gender towards the change of their shampoo. ALTERNATIVE HYPOTHESIS : There is a significant difference between respondents

of different gender towards the change of their shampoo.

Case Processing Summary

Cases Valid N SEX * Q8

Missing Percent

100

N

100.0%

Total

Percent

N

0

.0%

100

3

Total

SEX * Q8 Crosstabulation

Count Q8 1 SEX

2

1

5

44

5

54

2

6

31

9

46

11

75

14

100

Total

83

Percent 100.0%

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

2

.239

2.874

2

.238

2.865

100

a. 0 cells (.0%) have expected count less than 5. The minimum expected count is 5.06.

Result: The null hypothesis is accepted as value of significance is >.05.

84

12).NULL HYPOTHESIS: There is no significant difference between respondents of

different occupation towards the no. of times they shampoo in a week. ALTERNATIVE HYPOTHESIS:   There is a significant difference between respondents

of different occupation towards the no. of times they shampoo in a week. Case Processing Summary

Cases Valid N OCCUPATION * Q9

Missing Percent

100

N

Total

Percent

100.0%

0

N

Percent

.0%

100

100.0%

4

Total

OCCUPATION * Q9 Crosstabulation

Count Q9 1 OCCUPATION

2

3

1

8

0

0

0

8

2

9

8

0

0

17

3

24

18

3

0

45

4

16

12

1

1

30

Total

57

38

4

1

100

85

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

9

.314

13.952

9

.124

10.474

100

a. 10 cells (62.5%) have expected count less than 5. The minimum expected count is .08.

Result: The null hypothesis is accepted as value of significance is >.05.

86

13).NULL HYPOTHESIS: There is a significant difference between respondents of

different age groups towards the size of pack they purchase most often. ALTERNATIVE

HYPOTHESIS :

There

is

no

significant

difference

between

respondents of different age groups towards the size of pack they purchase most often.

Case Processing Summary

Cases Valid N  AGE GROUP * Q11

Missing

Percent 100

N

Total

Percent

100.0%

0

N

.0%

Percent 100

100.0%

AGE GROUP * Q11 Crosstabulation

Count Q11 1  AGE GROUP

2

3

4

Total

1

5

41

4

17

67

2

2

16

1

3

22

3

3

5

1

1

10

4

0

1

0

0

1

10

63

6

21

100

Total

87

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

df

sided)

a

9

.558

6.890

9

.649

7.769

100

a. 11 cells (68.8%) have expected count less than 5. The minimum expected count is .06.

Result: The null hypothesis is accepted as value of significance is >.05.

88

14).NULL HYPOTHESIS: There is a significant difference between respondents of

different age groups towards the size of pack they purchase most often. ALTERNATIVE HYPOTHESIS:  There is no significant difference between respondents

of different age groups towards the size of pack they purchase most often. Case Processing Summary

Cases Valid N SEX * Q11

Missing Percent

100

N

Total

Percent

100.0%

0

N

Percent

.0%

100

4

Total

100.0%

SEX * Q11 Crosstabulation

Count Q11 1 SEX

2

3

1

2

39

3

10

54

2

8

24

3

11

46

10

63

6

21

100

Total

89

Chi-Square Tests

 Asymp. Sig. (2Value Pearson Chi-Square Likelihood Ratio N of Valid Cases

Df

sided)

a

3

.085

6.868

3

.076

6.621

100

a. 3 cells (37.5%) have expected count less than 5. The minimum expected count is 2.76.

Result: The null hypothesis is accepted as value of significance is >.05.

90

SWOT ANALYSIS

STRENGTHS 

Strong and well differentiated brands with leading share positions.



Distinctly placed products providing reach to every segment of society.



Consumer understanding and systems for building consumer insight.



Integrated supply chain and well spread manufacturing units.



Distribution structure with wide reach, high quality coverage-the launch of project “shakti” has helped HUL to create brand awarenes s and extensive reach in rural

India. 

Access to unilever global technology, capability and sharing of best practices from other unilever companies.



Well placed to take advantage of growth in rural India and lower strata of the society through “shakti”.



It could look at introducing products from its parent company like margarine in order to cater to changing tastes and opportunities in food sector.



It can be a leader in exports by positioning itself as a sourcing hub for uniliver companies in various countries.

WEAKNESS 

Price positioning in some catagories allow for low price competition like Amul captured Kwality‟s market.



Limited success in changing eating habits of people.



Competitors focusing on a particular product and eating up HUL‟S share,   like

Nirma focusing on soaps and detergents.

91

OPPORTUNITIES 

Growing consumer base due to increasing income levels and new consumers from lower strata of the society.



Untapped market in branded Ayurvedic medicines and other such consumer products.



Opportunity in food sector: changing consuner tastes.



Expansion of horizons towards more and more countries .



Export is less compared to production.

THREATS 

Unfavourable raw material prices due to inflation, reducing profitability.



Heavy competiton in the core catagories from emerging players like ITC will result in higher advertising expenditure products in rural areas and small town.



Reduction in real income of consumers due to high inflation.



ITC ltd- one of the biggest threat.



Loosing market share due to new entrants.

92

CONCLUSION 

Conclusion of survey revels that the consumer behaviors depend on the following reasons:Product quality, Family influence Doctor‟s prescription, Advertisement,

Hair problem, Price of the product, and self. 

The consumers of shampoo are very sensitive and they are very much aware of the products. Awareness about the product regarding the ingredients is very high in the consumers. Influence in the purchase of the shampoos mainly depends on the hair problem.



Attributes of a particular brand also play an important role in the purchase.  Attributes like reasonable price, fragrance, quality plays its significant r ole. By the analysis we can conclude that consumers in the shampoo market are not much conscious about the price but its quality plays important role.



The study reveals that sunsilk has been tried by most of the consumer (44%). Next comes clinic plus. In the study 14% of the consumers use other brands as dove, wella, ayurvedic shampoos.



The survey showed a number of reasons for consumers using more than one brand or type of shampoos simultaneously. No single shampoo, according to the consumer, was able to fulfill all the hair requirements.



It has been observed from the study that females shampoo their hair twice a week, while males prefer using shampoo 3-4 times in a week.



From the survey it was found that the Medium size pack of shampoos with quantity of 100 ml to 250 ml is the most frequently purchased pack.

93



A majority (75%) of the consumers change their shampoo occasionally.



The factors which influence the choice of a brand of shampoo(s), Hair type is the most important one. People select shampoo(s) with reference to their hair type. Hair problem also plays a very important role. While selecting a shampoo consumers take care to select the shampoo according to their hair type. Hair type or hair problems are found to be more significant as compared to the fragrance, packaging and price of a shampoo.



The role which Advertisements play can not be neglected. According to study it is found that consumers self decision and advertisements influence the consumers a great deal in selecting a shampoo. At times someone‟s reference also helps in

selecting a brand.

94

RECOMMENDATIONS 

Target those people who use shampoo and trust the shampoo as their best solution for hair care.



Develop quality and brand image so that by trial of your brand leaves with a good image and then followed by usage of bigger pack which then will be used by them.



Identify the key benefits such as hair strengthening and makes them the USP of new brands. The USP could be rebuilding damaged hair, shiny and healthy hair.



Look for different problems for which people use shampoo for hair care, falling hair and dandruff‟s etc. And deliver the same of high quality and at the same time

positioning the brand as solution for your hair problem 

Use country wide sampling activity to acquaint potential customers with the benefit of shampoo backing up the effort with advertising to convert intent to purchase.



Go for strategic sizing and pricing. Have those packs available in the market so that people have a wider option available and presence of your brand. After a gap of sometime check which are the packs that are bought most and assure their availability.



Last but not the least there are separate issue that have to dealt with being the male and female factor and then growing demand of herbal shampoo. The female factors of buying a shampoo are different than male. A female normally have less problem of falling hair than male and so they look for those hair shampoo that improve from the current position of their hair. But one common problem [male & female] that they may have is of dandruff‟s. And so the

company can develop the brand image and quality and communicate better to the target group of these core benefits of your brand i.e., solution for hair problem and thus improving them

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APPENDIX Dear Respondent,I am a student of MBA and carrying a study on consumers preference towards shampoo with reference to HUL.In this regard I would like you to spare some time to answer few questions.The Information provided by you will be kept confidential ….. NAME……………………………………………………

 AGE -

20-30

30-40

OCCUPATION - business SEX. -

MALE

40-50

house wife

50 above

student

service

FEMALE

1.. Which of the following brands of shampoo do you purchase? a) Pantene

b)

Sunsilk

c)

Loreal

d) Clinic plus

others (please specify)……………………… 2‟ How many members of your family use shampoos?

a ) All

b) Siblings only

c) Only you

3. Are you satisfied with the results your shampoo gives? a)YES

b) NO

4. Level of satisfaction you are getting from your shampoo brand. a)Highly Satisfied

b)

Satisfied

c) Neutral

d)

e) Highly dissatisfied 5.The celebrity endorser of the brand affects your purchase decision. a) YES

.

b) N0

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Dissatisfied

6. Rank the Factor you consider while purchasing a shampoo according your priority.(1for most important). a)Hair type d) Hair problem

b)Fragrance

c) Packaging

e) Price

f) Availability

7. Who influences you to purchase the brand? a) Family

b) Doctor

d) Self

c) Advertisement

other(please specify)……………………..

8. How osten do you change your shampoo? a) Frequently

b) Occasionally

c) Never

9. No. of times you shampoo your hair in a week a) 1 - 2

b)

3-4

c) 5 - 6

d) more than 6

10) If your income rose, will you increase the consumption of shampoo? a) Strongly agree

b) Agree

c) Can‟t Say

d) Disagree

e) Strongly Disagree

11) Size of the pack you purchase most often a) 100ml

b) 100 ml to 250 ml

c) Sachets

d)

above 250 ml

12)Do you find any additional utility by using shampoos? a) It really helps me maintain my hair

b) I use it because someone at home uses it

c)I do not find any difference between a shampoo and a soap Signature

Date………………………..

97

BIBLIOGRAPHY



Chunawalla.S.A ,commentary on consumer behavior, Himalaya publishing house,2000.



Gupta S.L, Sumitra Pal, consumer behavior,1st  edition.2001.



Khan Matin, consumer behavior,new age international ,2001.



Kotler Philip, marketing management,prentice hall of india pvt. Limited,10th edition,1999.



Kotler Philip ,Kevin lane keller,marketing management, pearson education,12th edition ,2007.



Ramaswamy V.S,S Namakumari, marketing management, macmillian ,3 rd edition,2002.



Schiffman leon G ,leslie lazar kanuk, consumer behavior, pearson education,6th edition,2008.



Solomon Michael R, consumer behavior, pearson education, 1st edition,2003.

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WEBLIOGRAPHY 

www.usi.edu



www.slideshare.net



en.wikipedia.org



www.moneycontrol.com



www.sify.com

  www.ghallabhansali.com





www.economywatch.com



www.hul.co.in



www.sunsilk.in



consumer goods.indiabizclub.com

  www.google.co.in



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