I.T. POINT
11, H.I.G. DOUBLE STOREY, RATAN LAL NAGAR KANPUR (LC CODE: 0918)
A PROJECT REPORT ON “ROLE OF BRANDING & ADVERTISEMENT IN RETAIL MARKET OF STEEL INDUSTRIES”
IN PARTIAL FULFILLMENT OF MASTER OF BUSSINESS ADMINISTRATION BY DEEPAK PANWAR REG.NO. 521073177 MBA (Final Year) (Marketing)
SIKKIM MANIPAL UNIVERSITY Directorate of Distance Education Syndicate House, Manipal - 576104 www.smude.edu.in
(Session-2012)
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ACKNOWLEDGEMENT It is with real pleasure that, I record my indebtedness to my academic Guide, Lecturer Mr. S. K. Chadhha for her counsel and guidance during the preparation of this project. I am grateful to (Director, and Centre Head) Mr. S.K. Arora and my sincere thanks to all faculty members of The SMU, IT Point Kanpur (L.C Code 00918)
Place: Kanpur
DEEPAK PANWAR
Date:
REG.NO. 521073177
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DECLARATION I hereby declare that the project report entitled “ROLE OF BRANDING & ADVERTISEMENT IN RETAIL MARKET OF STEEL INDUSTRIES”
Submitted in partial fulfillment of the requirements for the degree master of business administration to Sikkim Manipal University, India is my original work & not submitted for the award any other Degree, Diploma fellowship or any other similar title or prizes. Date:
DEEPAK PANWAR REG.NO. 521073177
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EXAMINER’S CERTIFICATION The project report of RUPAM SHUKLA entitled “ROLE OF BRANDING & ADVERTISEMENT IN RETAIL MARKET OF STEEL INDUSTRIES” is
approved and is acceptable in quality and form.
Internal Examiner
External Examiner
(Mr. S.K. Arora) Center Head
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UNIVERSITY STUDY CENTRE CERTIFICATE This is certifying that the project report entitled “ROLE OF BRANDING & ADVERTISEMENT IN RETAIL MARKET OF STEEL INDUSTRIES”
submitted in partial fulfillment of the requirements for the Degree of Business Administration of Sikkim Manipal University of Health, Medical and Technological Sciences. RUPAM SHUKLA has worked under my supervision and guidance and that
no part of this report has been submitted for the award of any other degree, diploma, fellowship or other similar titles or prizes and that the work has not been published in any journal or magazines.
REG.NO.521073177
Certified (S. K. Chadhha)
EXECUTIVE SUMMARY 5
The product has been formulated to study the marketing system of ESSAR STEEL Ltd. At the present time of out throat competition every company wants to top the chart and show big figure of profits units balance . It is quite clear today that at present time. The growth of any organization is possible only with the help of harp working and well focused staff. That is backbone of any organization. The market want to analyses the consumer behavior of Steel segment of ESSAR group and all the leading techniques to be lead for market. Providing better service to the customer, according to their Needs. The study needs to understand the market share of ESSAR Steel in comparison with market players. The furrowing of data 35% people know about the ESSAR Steel and 68% do not know about the ESSAR Steel. The major competitors operating in your area. 35% Tata, 20% National, 15% ESSAR, 30% Jindal. The company’s products are using right now.
In the Interpretation of company survey most of the Industries preferred HR & CR Products. During the project, I found that marketing research is not an easy task, it needs hard work are proper guidance. The market share of ESSAR Steels in HR, CR and GP Products is not more than 29%. That is not because of company’s quality, it is due to 6
price and though (SIL and TATA) . The average user of Lucknow Zone heavily rely on Sail because SAIL’s cost is less than ESSAR However, ESSAR Steel quality is as competitive an any other big brand available in market. And users also accept. This fact so there is a lot of scope for ESSAR Steel in Lucknow Steel market. They should make their prices competitive and brand their products more aggressively factor behind of the decline of sales Low advertisements low awareness and inefficient Management .
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CONTENTS
Chapter - I Introduction Chapter - II Objectives of the study Chapter - III Research Methodology Chapter - IV Findings & Interpretation Chapter - V Conclusion & Recommendation Chapter – V I Limitation
Appendix a. Bibliography. b. Questionnaire
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INTRODUCTION
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INTRODUCTION The present study is an attempt to conduct a survey check the feasibility of GP to sheet in the hariyali outlet. Consumer has its own choice they prefer those brands by which they get satisfaction. In fact the customer continuously displaced different buying behavior 40 depending on what he is buying with whom, when where, and why he is buying. Today customer know exactly what they want and does not stick to particular bra, if they get better product. Customer is more value conscious these days the factor that drive the consumer behavior today can be very different tomorrow's as to keep track of their demand behavior has consistently monitored. Today if company wants to be in the market it has to keep in touch with customer and consistently try to come to be expectations of consumer by launching the new and modifying products. The brand play a critical role in building the fortunes of a company . Given that consumption patterns are more or less static. Companies have few changes hook a customer . but once hooked to its product volume are likely to be steady. Therefore adopting a brand-push strategy may be a key success factor.
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INDUSTRIES PROFILE
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COMPANY PROFILE The ESSAR GROUP was founded in 1969 by brother's Shri Shashi Ruia and Ravi Ruia The Ruia family, s origins are in Rajasthan. Something in the 19th century it moved to Mumbai and set up its own business .In 1956 ,Shri Nandkishore Ruia ,father to Shri shay Ruia and Ravi Ruia moved to Chennai of the south Indian state of Tamil Nandu ,to begin two independent business activities. He mentored his sons in the intricacies of business. Wl %44 shri Nandkishor Ruia passed away in 1969, the brothers laid the foundation of the grow. The ESSAR group began its operations with the construction of an outer breakwater in ft4 Chennai port. It quickly moved to copitalise on every emerging business opportunity,become Indian's first private company to buy a tanker in 1976. The group also investe in a diverse shipping fleet and oil rigs, when government of India opened up the shippi and drilling business to private players in the 1960s. Then, in the 1990 Essay began its steel making business by setting up Indian's first sponge iron plant in Hazira, a coastal town in the western Indian state of Gujarat. The group went on to build a pellet plant in Visakhapatnam and eventually a fully integrate steel plant in hazira. Through the 1990s with the gradual liberalization of the India economy ESSAR seized every opportunity that came its way it diversified its shipping fleet started oil gas exploration and production laid the foundation of it oil refinery at vainer Gujarat and Set up the power plant near the steel complex in hazira the construction business helped the group build most of its business assets ESSAR also entered the GSM (telephones 12
business establishing India s first mobile phone service in Delhi ( brander ESSAR call phone ) with Swiss PTT as the joint venture partner The 21st century for the ESSAR group has been all about consolidating and growing the "0 business with M&AS new revenue streams and strategic geographical expansion. The ESSAR group is a diversified business corporation with a balanced portfolio of asset the manufacturing and service sectors of steel Energy power communication shipping worts & logistics and projects. ESSAR it gas presence in more then 15 country worldwide. With a firm foothold in India the ESSAR group gas been focusing on global expansion project and investment in Europe, North America the Caribbean Africa the Middle ESSAR "40 and south East Asia invested in the commodity annuity and of services businesses .Forward and backward integration, an well as the use state-of-theart technology and in house search and innovation have made Essay a leading player in each of its businesses.
vision and Mission Vision We will be a respected global entrepreneur, through the power of Positive Action,
Mission 13
We are committed to innovative growth, through our personal passion, reinforced by a professional mindset, creating value for all those we touch.
Essar Steel Hypermart : Essar Group
MANAGEMENT TEAM No ESSAR steel hyper mart is a division of ESSAR Steel Ltd... The Management Team of ESSAR STEEL HYPERMART... *
Shri Prashant Ruia, Director.
*
Mr. Vikram. Amin Director-sales & Marketing A
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*
Mr.Dilip Oommen WO Chief Executive Officer - India Region
*
Mr.Girish Rao C.E.O. Retail Business
*
Mr.Sukant Ratnakar, GM, Central Zone.
*
Mr. Manish Kumar Singh, GM, UP & UT.
*
Mr. Vijyendra Srivastava, Manager, kanpur
STEEL 15
STEEL
SECTOR OR STRUCTURE / MARKET MLEThe Indian steel industry entered in to a new development stage from 2005-06 resutling in India becoming the 5th largest producer of steel globally producing about 53 million tones of steel year today account for a little over percent of the total production.
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Indian is the only country world over to post a position overall growth include steel production 1.01 percent for the January march period of 2009.th ,,recovery in steel production on has been added by the improved sales .. performance of steel companies. According to a report from Barclays capital china and India are going to provide the impetus for steel demand for the next few year.
PRODUCTION : Steel production grew at 1.2 percent in the January mar, quarter of 2008-2009 over the same period last year .the fourth quarter saw .,-most of the large steel companies such as SAIL, TATA, S TEEL,E S SAMS . The national steel policy has a largest for taking steel production up to 110 metric ton by 2019-20 none the less with the current rates of the ongoing greet field and brown field projects the steel has projected Indian steel capacity is expected to touch 124.09 metric ton by 2011-12 infact based on status of memoranda of understanding (MOUs) signed by the private produce) w4dwith the various state government .Indian's steel capacity is likel
CONSUMPTION : India is the fifth largest consumer of steel in the world. It consumes about 1. million metric ton of stainless steel a year with around 70%accounting for %% kitchen wave. However it's used in railway coaches' wagong, airport, hotels, and retail stores is growing immensely .demand for steel in India is likely to grow at around 13% against
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the global average of 6-7% steel consumption grew at 3.8% in Jan –march quarter of year 2009-10 over the same period last year. A credit Suisse group study state that Indian's steel consumption will continue to grow by 17% annually till 2012,filled by demand for consumption of steel is huge, given that per capita steel consumption is only 40kg compare to 150kg across the world and 250kg in china.
EXPORT: Out of India's annual iron ore production of more then 200 metric ton about 50% is export. Iron ore export increased 18% to 12 metric ton in 2009 from 10.8 metric ton some month a year ago. Owing to a moderate revival in demand from Chines steel producers, as per the latest data compiled a group of top Indian mining firms. Earlier according to a study with the rise in demand for steel in china. woo India's iron ore products went up by 38% to reach 13.6 metric ton in dec 200' Around 50-60% of India of iron is export to china..India's export during April –December 2008 were 64.4 metric ton. The Government has reduced export duty on iron ore lumps from 15%.which has liven a further flip to export.
INVESTMENT: A host of steel companies has lined up major investment proposa ft*Further more, with an expanding consumer market, the Indian steel industry likely to receive huge domestic and foreign investment. According to investment commission of India ivestment of over used 30 billion in steel are the pipeline over the next 5 year. 18
G0VERMENT INITIVE The government has construction which will give a flit to the steel sector removed full exemption of custom duty on 'Nindustries and agricultural commodities .iron and steel product pig iron , spi egersies, semi –finished products flat products and long products over now subject to a basic custom duty of 5 percent. The Indian government billion plans to invest over USD 350 biin industries related to infrastructure and
ROAD AHE : While the demand for steel continue to grow in traditional sector such as infrastructure construction housing automotive steel tubes and pipes consumer durable packaging and ground Transportation specialized steel will be increasingly used in hi –tech -ngineering industries such as power generation petrochemical Fertilizers etc the new airport and railway metro project will require a large amount of stainless steel.
The five Value propositions of Essar Steelhypermart are: 1.
Trust of Essar Quality
2.
Immediate Delivery
3.
Transparent Pricing
4.
Easy Contactability 19
5.
Pan-India presence Welcome to a whole new way of buying steel.
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PRODUCT LINE
PRODUCT LINE Essar steel products are world-class meeting the highest international standards. The company's extensive marketing network and after sales service ensure 21
HOT ROLLED PRODUCTS
COLD ROLLED PRODUCTS
GALVANISED PRODUCTS
HOT ROLLED PRODUCTS-COILS Essar steel’s produces the finest quality of hot rolled coils in raw as well as No pickled and oiled form. Used for: •
Transport Industry
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Welded steel tubes and pipes
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Cold-rolling and drawing
•
Line pipe
•
Corrosion resistance
•
Boiler quality plates
•
Tin mill black plate
•
Pressure vessels
HOT ROLLED PRODUCT -PLATES Essar steel's high precision shearing line (SMS-USA) produces top quality steel plates that meet demanding international standards.essar steel is the only Indian company to receive the prestigious TUV Rhineland certificate for quality plates. Essar caters to the plates demand form the following broad market segments. Used for
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•
Boiler & pressure vessels
•
Ship building
•
Railways
•
Heat Exchangers
•
Oil & petrochemicals
•
Coal & mining
•
General & heavy engineering
HOT ROLLED PRODUCTS — SHOT BLASTED AND PRIMED Shot blasted and printed steel from essar offer the cleanest surfaces a] a comprehensive environment ronment protection to its steel. The ideal steel fi use in extreme applications shot blasted and painted steel from essar India's first ever in its category. 24
Used for •
Welded beams
•
Ship building
•
Bridge girders
•
Component fabrications
COLD ROLLED PRODUCTS Hot rolled coils from Essar Steel are used to produce cold rolled products in the coils/ plates and sheets form. A smoother surface finish, improved tensile strength, and customized product thickness can be achieved through cold rolling. 25
Used for •
Automotive Body & Components
•
Drums & Barrels
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White Goods
•
Furniture & Office Equipment
•
General Engineering Application
RANGE: •
Type: Cold Rolled Closed Annealed (CRCA)/Cold Rolled Fu Hard (CRFH)
•
Width: 600 mm - 1525 mm/23.6311- 60.04"
•
Thickness: 0.14 mm - 3.175 mm/0.0055" 0.125"
•
Surface Finish: Matte, Bright, Dull
•
Finishing Facilities: Slitting
SL I
:
Width-25 mm-1515 mm/0.98” - 59.65"
SL 2
:
Width - 600 mm - 1525 mm/23.62"- 60.04"
SH 1
:
Length - 600 mm/23.62" - 188.97"
NEW PRODUT COLD ROLLED
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:
Cold-rolled steel coil /sheet/strip Cold-rolled stee coil: we produce all kinds of specifications cold rolled steel coil,steel strip,steel sheet....
Cold-rolled steel coil Cold-rolled steel coil -- competitive price and various specification cold-rolled steel coil....
Hot dipped galvanized steel We have three hot dipped galvanized steel product lines which can produce high quality and much steel coil....
GALVANIZED PRODUCTS Essar Steel now offers the best of breed galvanized products with the highest level of customization. The products are available in the widest range of surface finishes, thickness and corrugation levels. Used for: 27
•
Construction
•
Corrugated Sheets
•
Agriculture Equipment
•
Automotive Applications
•
General Engineering Applications
Range: •
Type : Galvanized Plain (GP)/Galvanized Corrugated (GC)
•
Width : 600 mm - 1370 mm/23.6211- 53.94"
•
Thickness : (BMT) 0.14 mm - 3.175 mm/0.0055" - 0.125"
•
Zinc : Coating 80 - 600 GSM
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Surface Finish: Regular Minimised Spangle, Zero Spangle
•
Finishing Facilities: Skin Pass, tension Leveler, Corrugation Width upta 1250 mm/49.21"
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Corrugation: Thickness - upto 1 mm/0.04"ss Length - upto 4800 mm/189”
Galvanized Products:
•
Galvanized steel coil Galvanized steel coil with high quality, reasonable price ,on time delivery and good after service.... 28
•
Galvanized steel coil Galvanized steel coil can be used in construction,
electrical
appliances,
transportation,
agricultural
equipment, furnit...
•
Pre-painted galvanized steel coil Pre-painted galvanized steel coil !Is superior resistance against environment heat resistance, corrosion resistance, humid...
GALVANIZED CORRUGATED SONA SHEETS Essar sona galvanized corrugated sheet is now offers the best of breed galvanized a4 products with the highest level of customization. Sona G.C. sheet yet another oreakthrough in roofing solution from the trusted house of essay steel. And here's list features that only assert our superiority over other brands. After all every home need a strong foundation and an even stronger roof.
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The G.C sheet come with zinc coating with thickness of 120gsm (grams per square meter) lending it greater durability.sona G.C sheet exhibit better brightness that makes Nome beautiful and cheerful .a feature not to be seen in other G.C sheet.
Sona G.C sheet are uniformly coated so corrosion find no weak spat even when fixing ft* nuts & bolts and better coating adherence protects the sheet from scratches and other me damages. Essar sona G.C sheet are stronger then other G.C sheet by an amazing 5% test it to believe it.
SIZE: ESSAR SONS G.C SHEET
Available Thickness: .16, .18, .20., 22., .2 5, .30, .35, .40, .45, .50, .60, .8 0 m m.
Available Width: 30
760mm, 800mm, 910 mm, 1200mm
Available Length 2440mm, 3050mm, 3660mm, 4270mm, 4640min
HAZIRA STEEL COMPLEX This highly integrated and modern complex consists of the following manufacturing Tacilities.,
HOT BRIQUETTED IRON PLANT ESSAR Steel operates the world's largest gas-based hot briquetted iron (HBI) plant with a production capacity of 5.1 "to million tonne per annum (MTPA). The plant
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uses state-of-the-art technology, which. ensures high quality raw material for the steel plant. Essar Steel is one of the world's lowest cost producers of HBI on a per tonne basis. The plant is supported by a captive power plant of 32MW, which operates at 100% capacity. •
Salient features of Essar Steel's HBI plant
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World's largest gas based HBI plant
•
Amongst the lowest per- markets tonne operating costs
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Consistently operating at high capacity
•
Established customer base in both domestic and export
Hot Rolled Coils Essar Steel is the largest steel producer in western India, with a current capacity of 4.6 MTPA at Hazira, Gujarat, and plans to increase this to 9 MTPA. The Indian operations also include an 8 MTPA beneficiation plant at Bailadilla, Chattisgarh, and an 8 MTPA pellet complex at Visakhapatnam.
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The complex also houses the steel plant. and the 1.4 MTPA cold rolling complex. The steel complex has a complete infrastructure setup, including a captive port, lime plant and oxygen plant. The dedicated infrastructure of Hazira Complex includes an independent water supply, power, lime & oxygen plant, a township and a captive port that can handle up to 6 MTPA of cargo, with modern handling equipment including barges and floating cranes.
Process Flow: Hazira Steel Complex
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Cold Rolled I Galvanised Coils & Sheets I SONG GC Sheets Hot Rolled Products
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Essay Steel produces the finest quality of 24 carat Hot Rolled steel in India . Since its introduction, Essar's Hot Rolled steel continues to be a critical input for highly demanding applications. Essar's Hot Rolled Products are available in plates, sheets and coil form.
Application General Engineering, Automobiles, Infrastructure, Oil and Gas pipelines, Line Pipes etc.
Specification and Dimensions Thickness: 1.6mm - 20mm Width: 1250mm -- 2000mm Length: 2500mm - 8000mm
Cold Rolled I Galvanised Coils & Sheets SOMA GC Sheets Chequered Plates 35
Essay's 24 carat steel Chequered Plates are high- friction plates ensuring maximum skid-resistance. These plates are available in tear trop pattern with a maximum bead height of 1.2mm.
Application Multiple uses in flooring, grating over closed gutter/culvert and structural functions.
Specification and Dimensions Thickness: 3mm - 8mm Width: 1250mm Length : 5000 mm
Cold Rolled I Galvanised Coils 0& Sheets SOMA GC Sheets
Shot Blasted Plates Essay Steel's 24 carat Shot Blasted and Primed Plates are not only environmentally-friendly, but can also be directly used to save time and cut costs. They are highly weather- resistant and are available in Red Oxide or Zinc Silicate Primer coating. Application Ship and barge building, pre-fabricated buildings, construction and railway wagons.
Specification and Dimensions 36
Thickness: 8mm 12mm Width: 1500mm Length: 6300mm
ANATOMY OF WORLD “PROJECT” 37
ANATOMY OF WORLD “PROJECT” Each alphabet of project itself has common meaning. It is necessary to know the basic sense of the word before going in to project work. P for Planning It is technique of looking ahead a constructive reviewing of future need so that present action can be adjust in view of the established goods. It is necessary for the arrangement of resources. R for resource These are helpful in promoting and functioning of planning. Resources are the material tangible or intangible which are required for fulfillment of work. 38
0 for Overhead expenses These are the expenses of planning and activities. Expenses are incurred on functioning of task are called overhead expenses.
J for Joint efforts 'These are required and must in order to complete any project successfully, A better completion can be achieved by joint and total efforts of all the persons engaged in the work,
E for engineering This lead to step-by--step construction of plans so that it will be easier to formulate the plans into action.
C for construction Refers to converting of plans into action. Actual work should be done to convert the plans into a productive and meaningful work.
T for Techniques These are need for the successful and better completion of task. Every task re--certain technique of work to be completed.
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ESSAR’S CONDITION IN DOMESTIC & INTERNATIONAL MARKET
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Essar’s Condition in Domestic & International Market
Domestic Essar Steel's complex at Hazira, Gujarat, India is ideally located to serve major domestic markets. Its location in Western India places it close to the highly industrialised western region of India, home to the bulk of the demand for hot rolled steel flat products, Major cold rolling mills and galvanizing mills, along with a host of other industries including the automobile sector, oil and refinery installations, white goods, general engineering, pipes and tubes are located in this region.
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•
Essar operates the widest Hot Strip Mill (HSM) in India (2000 mm)
•
Houses the only mill in India offering skin pass material for high end steel applications
•
Cold Rolling Mill is strategically located adjacent to the Hot Strip Mill, yielding significant competitive advantage, There are certain customised lots and manufacture dimensions that only Essar
can produce to world--class quality standards. It has successfully replaced the highvalue, high-quality imports for cold rolling grades in the country and currently enjoys a healthy market share, Essar's quality in boiler, API, corrosion resistant and pressure vessel grades are well established in the domestic market.
INTERNATIONAL
Essar Steel is India's largest exporter of flat products and it exports about half its production to the demanding Western markets as well as to the growth markets of Asia and the
Middle East, 42
Essar Steel is a significant force in international markets and is recognised the world over as a supplier of high-value hot rolled steel coils. Essay's varied range of products, matches international delivery schedules as well as the quality and pricing parameters.
The emphasis on value-added grades like line pipe grades, LPG grades, high tensile grades, CORTEN and cold rolling grades make Essar a versatile steel manufacturer-, With customised lots and manufacture dimensions only Essar can produce, the company has a distinct advantage in the international markets. Catering to quality conscious niches, Essar Steel competes against top-of--the-league foreign steel producers. For example, its API standard steel and low sulphur steel is made only by a few world-class manufacturers. Essar is constantly developing new segments in overseas markets such as: •
HSLA grades for pre-fabricated structures
•
American Petroleum Institute grade steel for gas pipe lines
•
Wide width coils for cold rolling and general engineering applications
•
11 Thinner and thicker gauge Galvanised
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ADVERTISING AND BRANDING 44
ADVERTISING & BRANDING INDUSTRY OVERVIEW
See the complete list of trends that we analyze. 1)
Introduction to the Advertising and Branding ilft*
Industry
Advertising in the wasG1 about Z) 0-).1 billion in 2008, according to
experts
at
Universal
McCann,
an
Interpublic
company
(www.universalmccann.com). This includes national advertising, which was estimated at $193.0 billion, plus local advertising such as local TV and local newspapers. Worldwide advertising revenues were about $653.9 billion in 2008, again according to Universal McCann. 45
Among the best growth areas in advertising in recent years have been advertising on mobile devices, advertising on movie screens and advertising online. Researchers at Gartner projected mobile advertising to grow to $2.7 billion in 2008 on a worldwide basis, up from $1.7 billion a year earlier. The Cinema Advertising Council estimates that 82% of America's 38,794 cinema screens accept advertising, and that this sector grew 18.5% in 2007 to $539.9 million. GroupM, a unit of global advertising agency giant WPP, estimates that global advertising on the Internet was $54 billion in 2008, and will grow 10% in 2009 to $59 billion. Elsewhere for 2009, all indications point to a decline in advertising expenditures in most sectors. Newspapers are suffering the largest declines in advertising, while radio, TV, magazine and outdoor advertising are all very soft at best. Advertisers of nearly all types have cut their budgets dramatically. Immense cuts in advertising by automobile and financial services companies have been especially hard on the advertising and media industry. Media firms are responding by cutting ad rates in many cases, while cutting their own operating costs where possible. Estimates of size, scope and growth of advertising markets vary from one source to another. GroupM forecasts a 3.2% drop in U.S. national advertising to $156.8 billion for 2009, while Publicis Group's media 46
experts at its ZenithOptimedia unit expect that number to drop 6.2% to 1.61.8. (These numbers do not include local advertising.) GroupM projects a 0.2% decline in total global advertising for 2009, including positive growth in Latin America (+8.1%), Asia-Pacific (+4.2%) and the Middle East/Africa (+8.7%). Advertising is irrevocably linked to media, whether traditional media like the 1.4,411 radio stations in Arnerica (about $19.5 billion in annual revenues), the 3,115 broadcast TV stations plus myriad cable and satellite TV outlets (totaling about $71.6 billion in advertising revenues), the 2,329 daily and Sunday newspapers (about --,38.8 billion in annual advertising revenues) or new media like the tens of Internet magazines, at about $23-1 billion in U.S. advertising revenues; and outdoor advertising, at about $7 billion in the U.S. In addition, there is significant activity in specialty and alternative advertising, everything from ball point pens printed with a message to t-shirts to small airplanes towing advertising banners. Branding, marketing and public relations activities and services generate billions more in revenues. Advertisers are faced with daunting new realities when considering the various media they might use to get their messages across. Traditional media are losing control over their audiences. That means that advertisers can no longer feel secure that their ads on TV, on the radio or in print are 47
going to receive mindshare. Gone are the days when television and radio programmers enjoyed captive audiences who happily sat through ad after ad, or planned their schedules around favorite shows. Consumers, especially consumers in younger demographics, now demand more and more control over what they watch, read and listen to, and thus more control over the advertising they might be exposed to.
Issues and Options Related to Control and Pricing of Entertainment Content: • Free, advertising-supported content versus paid content • Illegal downloads of content versus authorized downloads •
Paid one-time downloads of content for permanent use, versus one time pay-per-view, versus continuing subscription required to view
•
Portability (including the ability for a consumer to download once, and then use a file on multiple platforms and devices including 1Pods) Delayed viewing or listening (such as Video-on-Demand, or
viewing TV programming at the consumer's convenience via TiVo) 48
Nonetheless, for advertisers willing to adapt to today's rapidly evolving environment, there is good news. Effective advertising today targets consumers based on things they are passionate about, rather than simply their age or income bracket. That is, the increasing range of niche media now available enables carefully crafted messages to be designed for and delivered to specific consumer "passionate interest groups." For example, consumers who read Bon Appetit magazine (gourmet food coverage), watch the Food Channel on cable TV and hold Platinum American Express cards are likely to respond to messages that are centered on dining and entertaining well. Obviously, a niche campaign could be created around direct mail to these upscale credit card holders, combined with print ads in the magazine and cable TV ads on the Food Channel. This is a target marketer's dream come true. The product might be fine wines or Viking ranges, but it could just as easily be ads featuring Lexus luxury automobiles shown being used to bring home gourmet food ingredients, drive to a gourmet restaurant or arrive at the Aspen Food Festival. The campaign might be topped off with special ads or an online contest on the Epicurious gourmet foods web site (www.epicurious.com) and links to special offers, contests, how-to-cook streaming video demonstrations or useful news on the advertiser's own web site.
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Blogs, podcasting, cable TV programming on-demand, mobile phone-based news and entertainment programming, satellite radio and online social networks are booming. Never in history have there been so many unique opportunities for targeted marketing based on consumers' tastes, interests, special needs and passions. In act , asking consumers to respond by going to a specific web site page may finally make advertising truly trackable and results-based—long the holy grail of marketers. Cutting-edge cable TV technology makes television advertising directed at specific neighborhoods possible for the first time—a boon to advertising by local retailers, local services and political candidates. Interactive television services are growing rapidly, leading to new opportunities for direct-selling via TV. With interactive cable TV, subscribers can order movies on demand and other unique services. They also have the ability, to respond to direct sales offers via their cable systems. For example, viewers watching a pay-per-view music concert may be able to order souvenirs such as t-shirts via interactive cable. Cable TV offers another unique advantage to direct sellers and other advertisers. Since the cable system knows the address of the cable subscriber, that address information can be matched against demographic databases to create a unique profile of the subscriber based on likely household income,
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value and size of the home and other data. Ads displayed by the cable system can then be custom tailored to match the viewer's profile. Frankly, the use of ads that are intensely targeted to "passion interest groups" is long past-due. By one count, Americans are subjected to 3,000 commercial messages daily—most of which, such as billboards, occur randomly. A study by Yankelovich Partners found that two-thirds of Americans feel "constantly bombarded" by ads and nearly as many respondents felt that these ads have little or no relevance to them. The competition among enterainment delivery platforms has intensified. Satellite radio delivery of subscription -based music and talk programming has reached 19 million subscribers at Sirius XM. Telecommunications companies such as AT&T (formerly known as SBC Communications) are now delivering television programming to the home via telephone wires, battling cable and satellite TV firms for market share. Millions of cell phone owners are subscribing to mobile video, enabling them to watch news, entertainment and sports on color cell phone screens.
Internet Users Fuel Alternative Online Advertising Opportunities: • Active, at-Home U.S. Internet Users (December 2008): 260 million
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• U.S. Broadband Internet Connections (December 2008, home and business): 145 million • Worldwide Internet Users (December 2008): 1.6 billion Source: Plunkett Research, Ltd. estimates Today, elect;-onic offerings such as DVDs, digital video recorders (DVRs), video-on-demand (VOD) and MP3 players have vastly altered the way consumers enjoy entertainment. People watch and listen according to their own desires and whims. Miss the finale to a favorite television show? Rent or buy it on DVD, or record it to watch later. Interested in only one track from a recording artist's new CD? Buy and download just the one song via the Internet at i'Tunes. Love a prime-time drama on a major network but hate commercials? Record the show while ignoring the commercials with a DVR. The implications of these changes are staggering. The business models upon which most media have traditionally run are
becoming
obsolete. Revenue from advertisers is in jeopardy at traditional , while advertising at new media, including
online, is soaring. Television
programming schedules are losing relevance while electronic program guides are becoming more and more vital. Media companies and the
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advertisers that rely on them are being forced to radically change to deal with new technologies and new demands from consumers. Rapid changes in viewing habits are already occurring. Network TV news, radio news and newspapers all find that they have to compete fiercely against Internet-based news content. A large portion of sports programming has migrated away from "free" broadcasts on TV and onto paid cable channels and pay-per-view systems. Meanwhile, media platforms and ad delivery are evolving quickly. Multipurpose cell phones are now used for more and. more entertainment purposes. Game machines are going multipurpose with the ability to connect to the Internet and play DVDs. Broadband to the home has grown to vast, mass-market numbers, while high-speed wireless connections are enhancing the use of entertainment and media on the go. A serious evolution of access speeds and delivery methods will continue at a rapidfire pace, and media companies will be forced to be more nimble than ever. Globally, more and more households are gaining access to the Internet, creating even more opportunities for online advertising. At the same time, millions of people are signing up for cell phone service for the first time, and many of those new cell phones have color screens capable of displaying entertainment and advertising. 53
In magazine publishing, some niche publications have been enjoying high advertising page counts. Fashion magazines and bride's magazines, for example, remain robust. However, news magazines, business magazines and other broad interest advertising clients to online and cable
publications are losing
TV media, and are becoming
thinner than ever. Newspapers are finding it increasingly difficult to compete against Internet news and advertising delivery rivals. In 2008 and 2009, therewere significant closings of major newspapers in the U.S., such as the Denver area's Rocky Mountain News. The Seattle Post only, in March 2009, after slashing the size of its news staff. and frequency of Other newspapers
have reduced L the size printed publication. The
Detroit Free Press put an end to daily home delivery. Classified ads are migrating quickly to web sites such as Craigslist.com. Traditional radio broadcasting is suffering also, finding it increasingly difficult to gather listeners for advertising-based radio programming due to such alternatives as satellite radio and MP3 players. Intelligences stopped making printed editions and went online On a brighter note, advertising, long the main revenue source for much of the media industry, is supporting an entirely new industry: paid Internet search. Google, Yahoo!, AOL and other U.S. Internet sites
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generated more than $25 billion in online advertising revenues in 2008 alone.
OBJECTIVES OF THE STUDY
•
To enhance the knowledge about ESSAR Steel.
•
To enhance the sale of Promotion.
•
Brand Image. 55
•
To find out the reason behind the non-response of customers.
•
To find out the factors affecting consumer behavior in home appliance.
56
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY Research in common parlance refers to knowledge. One can also define
Research as a sciencetific and systematic search for pertinent information on a specific topic. 57
Research Methodology is concerned with the procedure followed to accomplish the task. • METHOD FOR COLLECTION OF DATA • Secondary Data was collected with the help of SAIL employees, from website, from branch office etc. •
Primary Data:-Questionnaire was used for research study was self developed
• Data Collection from dealer and customer • Data processes • Data analysis to reach conclusion
RESEARCH PROCESS
58
RESEARCH DESIGN 59
The first stage of marketing research calls for developing the most efficient plan for getting need to know the cost of the research plan before approving it. Design research approaches instrument and sampling plan. DATA ROURCE The research can gather secondary data primary data both. PRIMARY DATA: Primary data are gathered for specific purpose or for a specific research project. It is very important to know that when the needed data do exit or are dated inaccurate or unreliable the researcher will have to collect Primary data. Most marketing research project involves some Primary data collection. SECONDARY DATA: Secondary data are data that were collected for another purpose and already somewhere. Researcher usually starts their investigation by examining Secondary data to see whether their problems can be partly or wholly solved without collection costly primary data. I this project I have collected primary & secondary data. Primary data: Questionnaire was used for research study was self developed. Data was collected from dealer and later was processed and analyzed to reach conclusion. collecting data through survey. Secondary data: Secondary Data was collected with the help of SAIL employees
from website, from branch office Lucknow etc. collecting data from
company net & books.
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PLACE MARKETING RESEARCH The research was conducted in various of Bara Banki , Bindki Sitapur. Research approaches: primary data can be collected in 3 ways through. •
Focus groups
•
Survey research
•
Behavioral data
Research Instruments: There is mainly one types of research instrument for collecting primary data. •
Questionnaires But in my study I need only questionnaires instruments for collecting primary
data. SAIL is India's largest steel producer with a turnover of Rs. 40,551 crore in 2009-10 It operates and owns five integrated steel plants at Bhilai, Durgapur, Bokaro, Rourkela and Burnpur and three specialty steel plants at Salem, Durgapur and Bhadravati. A subsidiary at Chandrapur produces ferro alloys. It is one of the Largest Producer of Iron Ore in India with 23.-MT productions in the year 09-10. SAII countrywide network comprist 37 Branch Sales Offices, 67 Warehouses, 26 Customer Contact Offices. With total number of dealers reaching 2500, SAIL has its presence in almost all districts of the country. To develop new technology for the steel industry and achieve world standards in quality, SAIL has a well equipped (Research & Development centre for Iron &steel at Ranchi. Besides, it has its in house Centre for Engineering & Technology, the management Training Institute and Safety Organization at Ranchi. The company is presently implementing a massive expansion 61
plan to increase its hot metal crude steel and saleable steel production. The ongoing expansion has beer planned to achieve saleable steel production of 20.23 million tones at a cost of Rs. 37,000 crore (USD 8 billion) approximately by 2012. SAIL has successfully planted seeds of promise, strengthening the nation and touching the lives of millions as largest steel producer of the country. SAIL has been fulfilling responsibilities that came with it.
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DATA ANALYSIS AND INTERPRETATION
1.
Do you know about the Essar steel? 63
Yes 35.2% No. 65.8%
35% know don't 65%
2.
Who according to you are the major competitors operating in your area? 64
35% TATA 20% National 15% ESSAR 30% Jindal
30%
35%
TATA National ESSAR Jindal
15% 20%
3.
Which company’s product you are using right now? 65
40%
Use Tata GC sheet
20%
use Jindal GC Sheet
30%
use National GC Sheet
10%
use Essar GC Sheet
10%
40%
TATA JINDAL
30%
NATIONAL ESSAR
20%
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CONCLUSIONS During the project, I found that marketing research is the not an easy task It needs hard work and proper guidance. I have found so much information about G C Sheets in Retail any office. I found that there is no awareness among the customer in rural are only. 35% customer aware 65% not aware. Customer using the GC sheet right now 40% Tata 20% Jindal 30% National only 10% Essar. Factor behind the decline of sales Low advertisement Low awareness The brand image of Essar steel is not very good in the eyes of customer. I rural areas people are not aware the-Essar steel.
LMITATIONS
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1. It was highly expensive and time consuming.
2. The research is carried out on customers, dealers wholesaler retailers etc. who are human beings. Human beings have a tendency to behave artificially when they know that they are being observed.
3. Subjectivity is the main limitation of the study. It is very difficult to verify the research results.
4. The projects generally took longer time. The time by which the research results are presented market situation can undergo a change.
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BIBLIOGRAPHY
69
BIBLIOGRAPHY
I have benefited from scores of books and articles, for the purpose of preparing this project report. The list of books, periodicals, and web sites used for the purpose are mentioned as
BOOKS
• Marketing Management by PHILIP KOTLER • Research Methodology by PANNEEARSELVUM WEB SUPPORT • www.goole.com • www.godrej.com
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QUESTIONNARIES
1.
2.
3.
Do you know about the Essar steel? (a)
Know
(b)
don't know
Are you use GC sheet? (a)
yes
(b)
No
If any other company provide you the same product at lower rates irrespective of their composition will you switch over?
4.
(a)
Yes
(b)
No.
Do you use any type of advertisement to attract the customer and make them aware about your brand?
5.
(a)
Yes
(b)
No
What is the brand image of your brand in your minds? (a)
Very good
(b)
Good
(c)
Average
(d)
or they are not aware
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6.
According to you how o you think about the quality of your product as compared to its competitors?
7.
8.
9.
10.
(a)
Excellent
(b)
Better
(c)
Good
(d)
Bad
(e)
No comparison.
Are you satisfied with the rates at which you get the commodities? (a)
Very much satisfied
(b)
Satisfied
(c)
average satisfied
(d)
Not satisfied.
Who according to you are the major competitors operating in your area (a)
TT
(b)
S IL
(c)
Essay
(d)
Jindal
Are you satisfied with the essay GC song sheet? (a)
yes
(b)
No
Other facilities which you want from the company?
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