1

To understand the effect of Promotional Activities

and Transfer of Technology on building of Brand
IFFCO.














By

Akash Gupta









June 2014
2
To understand the effect of Promotional Activities
and Transfer of Technology on building of Brand
IFFCO.








By

Akash Gupta






Under the guidance of


Shri. Arun Dalal Dr. Parijat Upadhyay
Deputy General Manager (Marketing) Assistant Professor
IFFCO Ltd. IMT, Ghaziabad




June 2014
3
Certificate of Approval


The following Summer Project Report titled "To understand the effect of promotional
activities and transfer of technology on building of brand IFFCO" is hereby approved as
a certified study in management carried out and presented in a manner satisfactory to warrant
its acceptance as a prerequisite for the award of Post-Graduate Diploma in Management
for which it has been submitted. It is understood that by this approval the undersigned do not
necessarily endorse or approve any statement made, opinion expressed or conclusion drawn
therein but approve the Summer Project Report only for the purpose it is submitted.

Summer Project Report Examination Committee for evaluation of Summer Project Report

Name Signature



1. Faculty Examiner _______________________ ___________________


2. PG Summer _______________________ ___________________
Project Co-coordinator













4
Certificate from Summer Project Guides


This is to certify that Mr. Akash Gupta, a student of the Post-Graduate Diploma in
Management, has worked under our guidance and supervision. This Summer Project Report
has the requisite standard and to the best of our knowledge no part of it has been reproduced
from any other summer project, monograph, report or book.







Dr. Parijat Upadhyay Shri. Arun Dalal
Assistant Professor Deputy General Manager (Marketing)
IMT, Ghaziabad IFFCO Ltd.
IFFCO Sadan, C-1, Distt, Centre,
Date Saket Place, New Delhi-110017.

Date














5
Acknowledgement

I have taken efforts in this project. However, it would not have been possible without the kind
support and help of many individuals and organizations. I would like to extend my sincere
thanks to all of them.
I am highly indebted to Shri. Arun Dalal for their guidance and constant supervision as well
as for providing necessary information regarding the project & also for their support in
completing the project.
I would like to express my gratitude towards my father, Mr. Ajit Gupta & member of IFFCO
for their kind co-operation and encouragement, which helped me in completion of this
project.
I would like to express my special gratitude and thanks to Mr. Parijat Upadhyay, Assistant
Professor, IMT Ghaziabad for giving me such attention and time.
My thanks and appreciations also go to my colleague in developing the project and people
who have willingly helped me out with their abilities.



Akash Gupta
IMT Ghaziabad














6
Abstract

The effect of promotional activity and transfer of technology on the
brand building of IFFCO

By
Akash Gupta

The growth in fertilizer consumption over the last five decade has only significant due to the
reason that it partially fulfills the nutrients requirement of the crop. The nutrient removal is 3-
6 times higher leading to nutrient mining. Occurrence of multi nutrient deficiency leading to
poor soil health and stagnation in productivity of crops. Promotional Activities conducted by
IFFCO provide the necessary knowledge about the latest technique, product and best
cultivation practice so that the production efficiency could be increased without the
degradation of the soil health. However, the main purpose of this research is to know the
effect of promotional activities and transfer of technology on the building of brand IFFCO.

This study used a survey method to know the perception of the farmers towards the company
and how they feel about the promotional activities that are been carried out by IFFCO. The
research has been done in 8 different villages of Haryana as Haryana being one of the main
consumers of fertilizer in the country.

The major findings are:
Promotional Activities has a huge effect on building of brand IFFCO, most of the
farmers feel that the promotional activities conducted by IFFCO have created a huge
difference in their living and in their production output and hence it has created a
positive image of IFFCO in the mind of farmer.
Most of the farmers prefer the IFFCO products over the products other companies, as
they feel more safe and secure while using IFFCO fertilizer. They have a complete
faith and trust in IFFCO products.
There is always a huge participation during a promotional program conducted by
IFFCO as the programs provide vital information about the latest technology, increase
in yield, cost saving technique, soil health increasing technique etc.
7
IFFCO has a huge network through its own Farmer Service Center and Cooperative
Societies through which reach and availability of IFFCO product is unlimited. This
helps the farmer in procurement of fertilizer without much effort.
Relation with the member of society plays a major role in perception of IFFCO. The
field officer plays a vital role in creating the image of IFFCO and currently they are
doing a tremendous job in their area.
Most of the farmers know about the latest products of IFFCO and their benefits
through the knowledge gain by IFFCO promotional program or by the IFFCO
officials, which is helping them to create proper use of all the products available in the
market in balanced manner.

Major data source is the information and feedback taken by 92 farmers in different villages of
farmer. The survey provided an in-depth knowledge of the effectiveness of promotional
programs and its effect on building of brand IFFCO.

















8
Table of Contents


Page

Acknowledgement 5
Abstract 6-7
Table of Contents 8
List of Figures 9
List of Appendices 10
List of Abbreviations 11

I Introduction 12

1.1 Company Profile 12
1.1.1 Mission of the company 12
1.1.2 Vision of the Company 13
1.1.3 Plants of IFFCO 13
1.1.4 Diversification and Joint Ventures 13
1.2 Background to the problem 14
1.3 Farmer Development and better agriculture practice 15

II Research Design 16

2.1 Research Questions 16
2.2 Data Collection 17
2.3 Data Analysis 17
2.4 Literature Review 18

III Research Methodology 20

3.1 Data Analysis and Result 22
3.2 Other Findings 25

IV Scope and Limitation of the Research 31

V Conclusion and recommendations 32

References 33
Appendices 34








9
List of Figures

Figure No. Description Page

1. Demographics of the sample population 21
2. Motivation for using Broadcasting at the time of sowing for 25
applying phosphatic fertilizer
3. Motivation for using seed cum fertilizer drill for applying 26
phosphatic fertilizer
4. Motivation for using soil testing facility 26
5. Motivation for buying fertilizer from cooperative society 27
6. Motivation for buying fertilizer from IFFCO Centers (FSC) 27
7. Action of farmer when society is unable to fulfill its requirements 28
8. Fig 8:Awareness of Fertilizer quantity in different crops 28
9. Fig 9:Awareness of IFFCO Products 29
10. Fig 10: Reason for shift to IFFCO product 29
11. Fig 11:Participation in IFFCO promotional programs 30
12. Fig 12:Customer Ranking 30




























10
List of Appendices


No. Description Page

1 Variable Data Set 34
2 Cronbachs Alpha Reliability Test 34
3 K-S Test for Normalization 35
4 Chi-Square Test: Hypothesis 1 36
5 Chi-Square Test: Hypothesis 2 37
6 Chi-Square Test: Hypothesis 3 37
7 Chi-Square Test: Hypothesis 4 38
8 Chi-Square Test: Hypothesis 5 39









































11
Abbreviations


1. FSC- Farmers Service Center
2. NPK- Nitrogen Phosphorus Potash fertilizer
3. DAP- Di-ammonium Phosphate fertilizer
4. WSF- Water Soluble Fertilizer
5. SOP- Sulphate of Potash fertilizer
6. IRDP- Integrated Rural Development Program


12
Introduction

Company Profile
The Indian Farmers Fertiliser Cooperative (IFFCO)
is one of the worlds largest fertilizer manufacturers.
They started with 57 cooperative societies and now
they have almost 39824 societies in 29 states and
union territories. The company was registered on Nov 3, 1967 as a Multi unit cooperative
society with the primary engagement in manufacturing and distribution of fertilizers.

Mission of the Company:
IFFCO's mission is "to enable Indian farmers to prosper through timely supply of reliable,
high quality agricultural inputs and services in an environmentally sustainable manner and to
undertake other activities to improve their welfare"
To provide to farmers high quality fertilizers in right time and in adequate quantities
with an objective to increase crop productivity.
To make plants energy efficient and continually review various schemes to conserve
energy.
Commitment to health, safety, environment and forestry development to enrich the
quality of community life.
Commitment to social responsibilities for a strong social fabric.
To institutionalize core values and create a culture of team building, empowerment
and innovation which would help in incremental growth of employees and enable
achievement of strategic objectives.
Foster a culture of trust, openness and mutual concern to make working a stimulating
and challenging experience for stakeholders.
Building a value driven organization with an improved and responsive customer
focus. A true commitment to transparency, accountability and integrity in principle
and practice.
To acquire, assimilate and adopt reliable, efficient and cost effective technologies.
Sourcing raw materials for production of phosphatic fertilizers at economical cost by
entering into Joint Ventures outside India.
To ensure growth in core and non-core sectors.
A true Cooperative Society committed for fostering cooperative movement in the
country.
13
Vision of the Company:
To augment the incremental incomes of farmers by helping them to increase their crop
productivity through balanced use of energy efficient fertilizers, maintain the environmental
health and to make cooperative societies economically & democratically strong for
professionalized services to the farming community to ensure an empowered rural India.

Plants of IFFCO:
IFFCO have five strategic locations for production and distribution of different kinds of
fertilizer throughout the country.
Ammonia Urea complex at Kalol, Gujrat
NPK/DAP plant at Kandla, Gujrat
Ammonia-Urea unit at Aonla, Uttar Pradesh
Ammonia-Urea unit at Phulpur, Uttar Pradesh
NPK/DAP and Phosphoric acid fertilizer unit at Paradeep, Orissa

Diversification and Joint Ventures:
IFFCO has made several strategic investment and holdings in several joint ventures:
Indian Potash Ltd. (IPL) in India
Industries Chimiques su Senegal (ICS) in Senegal
Oman India Fertiliser Company (OMIFCO) in Oman
Jordan India Fertiliser Company (JIFCO)
Kisan International Trading, FZE in Dubai
GrowMax Agri Corp. in Peru
IFFCO-Tokio General Insurance (ITGI)
National Commodity and Derivative Exchange (NCDEX)
National Collateral Management Services Ltd. (NCMSL)
IFFCO Chattisgarh Power Ltd. (ICPL)
IFFCO Canada enterprise Ltd. in Canada
IFFCO Kisan Sanchar Ltd. (IKSL)
Universal Commodity Exchange (UCX)





14
Background to the problem

Agriculture has undergone a lot of transformation since its development from subsistence
agriculture to agriculture as a commercial enterprise of the past decade. The execution of
promotional programs has also undergone a change according to the changing needs of
farmer and change in the environment so as to grow the production in the agriculture sector
and generate better opportunities of the farmers to have a better life. Different promotional
activities have been done by disjoint effort of different stakeholders. There is no main
organization to measure, collaborate the individual efforts for a complete holistic impact over
the agriculture sector. Their continuous efforts for awareness creation, application and
feedback of their respective agro inputs have created an effective marketing program.
Fertilizer industry as a main input supplier, has the in the top league in transfer of farm
technologies and knowledge about the product to the farmers through different initiatives.
This is done to achieve higher yields levels and have a sustainable livelihood, ensure
countrys food security in the long run. The Fertilizer industry with the help of Countrys
agriculture department helps by aiding and abetting the farmers choice for the best quality
fertilizer and implementation of modern cultivation technology and practices for a higher
yield of crops.
Agro-Scientists have developed various farm technologies, which are location and soil
specific to increase the productivity of soil, hence higher production of crops. Over the age
these technologies have undergone tremendous improvements in order to meet the
requirements of the farmers.

The growth in fertilizer consumption over the last five decade has only significant due to the
reason that it partially fulfills the nutrients requirement of the crop. The nutrient removal is 3-
6 times higher leading to nutrient mining. Occurrence of multi nutrient deficiency leading to
poor soil health and stagnation in productivity of crops. Some of the issues that require
continuous attention are:
Crop based approach to promote fertilizer user
Ensuring timely availability of fertilizer products in adequate quantity according to
the requirement of the farmer
Proper transmission of information through effective communication channels
Strengthening the effectiveness of transfer of technology

Promotional programs are done by different stakeholders of agriculture industry to bridge the
gap between a sustainable and effective technology generation, for the complete transfer to
15
the farmer. IFFCO has been playing a major role in Farmers Education and extension of farm
technologies, which has been the mandate of all the promotional activities for quite a long
time, but the main issue is to check the efficiency and effectiveness of these promotional
programs that are carried out by IFFCO. Are these promotional programs and transfer of
technology really helping the farmers in creating a positive image about IFFCO? Are these
activities helping to help farmers in a way that they believe in IFFCO? How these activities
are helping the IFFCO in their brand building?

Farmer Development and better agricultural practice

Fertilizer promotion, farmer development and agricultural extension programs are an integral
part of IFFCOs marketing activity, however they also help in improving farming techniques.
The promotional activities carried out by IFFCO for the farmers are:
Training programs carried for the farmers at the manufacturing plants of IFFCO
where the farmer are provided a land on which best agriculture practices are taught to
him by the experts.
Village adoption program is carried in which a village is adopted for a period of 3 to
5 years for their all-round development with thrust on increasing the crop
productivity and introducing the best practices to the farmers.
Farmers meeting, field days and crop seminars is carried in which farmers are
provided information about latest technology, yield increasing methods, balanced
fertilizers, green manure, hybrid crops and many more by the officials/scientist from
agricultural universities, research institutes and government departments.
Soil sampling camps and mobile soil testing laboratories with audio-visual aid, which
help educating farmers on balanced and proper use of fertilizers.
Two plot demonstrations are carried out in which small area of farmers land is
divided into two parts, one of which is fed with the fertilizer that the farmer uses
regularly and the other part is fed with the fertilizer according to the recommendation
by the agriculture department according to the land. The difference in yield
demonstrates the effectiveness of balanced fertilization.






16
Research Design

Despite of the strong foothold in the agriculture sector, IFFCO still has the mixed customer
perceptions. This is a research undertaken to analyze the effect of promotional activities and
transfer of technology on building of brand IFFCO and the perception of farmers through
measurement of 2 parameters: customer awareness, brand image. These parameters have been
measured by conducting surveys to record the response of farmers. Customer awareness is the
one of the key factors, which describes awareness level of the farmer with the IFFCO product
and best cultivation practices; brand image defines the perception about IFFCO in the mind of
farmers. Questions pertaining to the following situations were framed in the questionnaire and
responses were collected from farmers. The results of the survey were subjected to a variety
of test methodology ranging from reliability to hypothesis testing. These tests were conducted
in order to perfectly determine the effect of promotional activities on building the brand
IFFCO. The results are summarized and can also be used for future development and
improvement of promotional activities by IFFCO to improve the perception of farmers.
On the basis of the above explanation I have come with the following objective

Research objective: To understand the effect of promotional activities and
transfer of technology on building of brand IFFCO

In simple terms I want to analyze the impact of promotional activities on farmers and on their
perception about IFFCO. I went through various researches done in this stream and out of
many variables I narrowed down to 2 variables to measure customer perception and customer
satisfaction. Thus I came up with following research questions.

Research Questions
1. What is the effect of promotional activities and transfer of technology on Brand
Image of IFFCO?
2. What is the effect of promotional activities and transfer of technology on
consumer awareness?

This is a quantitative research
This is because research has been done on how promotional activities and transfer of
technology affects the perception of the customers about IFFCO. I have derived my
conclusions and findings on existing theory and hence this research is a quantitative research.

17
Type of Research Design
This is a causal research design.
This is because it follows the cause and effect relationship. The causes are basically how the
promotional activities and transfer of technology help the customers, provide benefit to the
customer and the effect is basically the impact on the perception of the customer and their
level of awareness.


Data Collection
I collected the date through survey, seeking responses from the farmers of villages in
Haryana, India.
The factors on which the questionnaire was based are:

1. Acceptance (how many people use IFFCO products)
2. Knowledge (how much they know about the best farming practices)
3. Effectiveness (effectiveness of technology transfer)
4. Customer Service
5. Customer perception


Data Analysis

The data was analyzed using three methods:
Reliability tests
Central Tendency test
Hypothesis testing










18
Literature Review

Promotional Activities and transfer of technology has gained great significance as a function
and more & more companies focus a huge proportions of their budgets on these activities.
IFFCO has a wide spectrum of promotional activities carried out to cover varying local
conditions. Farmer meeting demonstrations, trainings, village adoption program and special
programs have become the core activities. Use of balanced fertilization and increased
efficiency of fertilizer use has been the main agenda for carrying out the promotional
activities. Use of IT system, cell phones and social media has helped the organization in
dissemination of information also in the most remote location. This initiative taken by IFFCO
to educate the farmer about the best cultivation practices has created a huge difference in the
yield output of agricultural products. The farmers also feel that these activities and other
camps have helped in creating a better life and sustainable income for them and their family.

1. As per My Simon Kwok & Mark Uncles the sales promotions are more effective
when they provide benefit to the end consumer and also described that even having
cultural differences in the society, the effectiveness of promotion program is not
affected.
2. According to Dr. A. Roy, Promotional programs are the means to reach the farmers
and sales point personnel for spreading of information about agricultural technology,
fertilizers particularly.
3. According to Aparna Mahajan with Kate Ives, IFFCO is doing far great more than is
perhaps expected in terms of improving business-community relationship.
Furthermore the initiative that stands out is agricultural extension and farmer
development programs and actively encourages learning through various programs.
4. According to Jaswinder Singh et al, there is requirement of enhancement in
agricultural field, which can provide solution to lot of programs. A lot of factors
account for proper growth of crops and a motivation is also required for farmers,
which can be provided by extension programs.
5. As per Isaac Minde et al, promoting the use of fertilizer and hybrid seeds includes
matching the supply and demand constraints through which the usage rates remain
low, especially for small land holding farmers. Inputs must be affordable, available,
profitable and easy to use without creating untenable financial risks.

6. Dr. D.K. Bhatt provided vital insight about thee promotional and other development
programs organized by IFFCO for the benefit of farmers. Dissemination of
19
agriculture technology from lab to land for a wide implementation and adoption is
very important and IFFCOs contribution towards the services for farmers
community with the help of national and international organizations have create a lot
of difference in the minds of farmer.
7. A survey was conducted of farmers to study the awareness level of use of fertilizers,
its economics and also attitude/ purchase behavior of farmers which concluded
farmers background and behavioral aspect are very important for policy consideration
at both micro and macro levels for improving fertilizer marketing system.
8. As per Nilabja Ghosh, the government policies would be in popularizing the use of
fertilizer at farmer level through information dissemination, varietal improvement,
sales subsidies and risk coverage.
9. Farhad Sahed et al carried out a survey in Iran about the promotion and
communication tools, which stated that promotion and communication tools are one
of the most important part of every marketing strategy and plan. They also studied the
effectiveness of these marketing strategies as these plans are very expensive and
usual companies dont have a sufficient budget.

Thus my literature review helped in finalizing the variables I used to measure the
effectiveness and thereby come to conclusion whether promotion and transfer of technology
is a fading past or a booming reality with a great scope in building of a brand. This review
helped me in analyzing the Indian Agriculture sector and IFFCO promotional activities.














20
Research Methodology

My research is a form of a quantitative research, which follows a casual research design
format where in I have examined the effect of promotional activities on Building of brand
IFFCO. The basic method I followed here was to identify two major parameters to form the
research questions, which can be related to Brand building of IFFCO. The two variables that I
choose are:

1. Brand image
2. Customer awareness

The process we went through was the survey method in which I identified 5 factors, which
will affect the main parameters as follows:
1. Brand image
Acceptance
Customer perception
Customer service
2. Customer Awareness
Knowledge
Effectiveness

Thus on the basic of above factors, questionnaire was designed and were asked to the sample
population through a survey on ground and total of 92 respondent were surveyed from
different villages of Haryana. A total of 10 villages were covered to collect the data. The
sampling technique used was simple random sampling technique wherein each element of the
society has the equal right to be the part of the sample population. A survey was distributed in
the village through the village coordinator and then response of the survey was duly filled. I
also segmented the sample population as per age, area of land that they acquire for farming
and qualification. Following are some charts regarding the sample population. I then
conducted various test on the response collected from the sample population by editing and
coding the data.


21




Fig 1: Demographics of the sample population








2%
16%
61%
21%
Age pattern
18-25
26-35
36-45
45 and above
50%
4%
46%
Education
Education
beyond High
School
Graduate
Elementary
Schooling
35%
43%
22%
Land Acquisition patern
less than 2
hectare
2-5 hectare
larger than 5
hectare
97%
3%
The product they currently use
IFFCO
Others
22
Data Analysis and Results

After completing survey and interview of 92 respondents, various test on the data sample
were applied to reach the conclusion. The variables were coded for the purpose of analysis
using SPSS. (Ex-1)

I started the test for reliability in form of Cronbachs Alpha, which I knew the benchmark rate
id 0.60

Hypothesis for Reliability: Cronbachs Alpha test: (Ex-2)

H0: Sample population is reliable.
H1: Sample population is not reliable

Alpha value 0.718

Therefore I can see that there is a favorable level of reliability in our data sample collected, as
it is higher than the benchmark alpha

Next, check for validity of data, which is done through the content validity test. I use my
literature review for content validation.

Hypothesis for Normalization testing: Kolmogorov Smirnov test to check the normality. (Ex-
3)

H0: The variables follow normal distribution

H1: The variables do not follow normal distribution

P-value: 0.000

Thus, reject H0.
This shows that the data is not normal and is ordinal in nature, thus I use non-parametric test
to evaluate the data.


23
To check the dependency of variable on the sample, I used the Chi-square test.
Hypothesis for Non-parametric, Quantitative research: Chi-Square Test:

1. H0: Acceptance is independent of Promotional Activities of IFFCO
H1: Acceptance is not independent of Promotional Activities of IFFCO

P-value: 0.000(EX-4)
Thus, reject H0

Therefore, I can say that the Acceptance of IFFCO product is affected by the
Promotional Activities of IFFCO

2. H0: Customer Perception is independent of promotional activities of IFFCO
H1: Customer Perception is not independent of promotional activities of IFFCO

P-value: 0.000(EX-5)

Thus, reject H0

Therefore I can say that customer perception is dependent on the promotional
activities of IFFCO.


3. H0: Customer Service is independent of promotional activities of IFFCO
H1: Customer Service is not independent of promotional activities of IFFCO

P-value: 0.000(EX-6)

Thus, reject H0

Therefore I can say that customer service given to the farmers by IFFCO officials is
dependent on the promotional activities of IFFCO.


4. H0: Knowledge is independent of promotional activities of IFFCO
H1: Knowledge is not independent of promotional activities of IFFCO

24
P-value: 0.000(EX-7)

Thus, reject H0

Therefore I can say that knowledge given to the farmers by IFFCO officials is
dependent on the promotional activities of IFFCO.


5. H0: Effectiveness is independent of promotional activities of IFFCO
H1: Effectiveness is not independent of promotional activities of IFFCO

P-value: 0.000(EX-8)

Thus, reject H0

Therefore I can say that effectiveness of technology transfer from the labs to farms
given to the farmers by IFFCO officials is dependent on the promotional activities of
IFFCO.

Thus I can say that all null hypotheses are rejected therefore all the factors are
affected by promotional activities of IFFCO. Therefore I cans say that both the
research questions are answered by the parameters so we can say that customer
perception and customer awareness are affected by promotional activities of IFFCO.












25
Other Findings:

The conducted survey helped me to gain an in-depth knowledge about the different aspects of
this industry. Few more findings that could be drawn out of the survey have been listed here.

75% of farmers who use SEED CUM FERTILIZER DRILL are motivated by
IFFCO promotional activities
There are two methods of applying the phosphatic fertilizer in the farm, one is the old
fashioned, less effective way i.e. broadcasting at the time of sowing and the other way is
using a seed cum fertilizer drill, which is a specially designed machine to get maximum
efficiency of the fertilizer and hence maximum output.
Through the survey, I came to know that still 50% of the farmers still use the old method of
cultivation because this practice has been carried out in their societies for years. There has
been a shift in this thinking and many farmers are moving towards the new technology and
using seed cum fertilizer drill for applying the phosphatic fertilizers.



This change in thinking of farmer and the shift towards a better technique of farming has been
due to the different promotional activities carried out by IFFCO. Approximately 74% farmers
that use seed cum fertilizer drill is due to information provided by different IFFCO activates.


0%
2%
0%
20%
76%
2%
Fig 2:Motivation for using Broadcasting at the time of sowing for
applying phosphatic fertilizer
IFFCO OFFICIALS
IFFCO PROMOTIONAL ACTIVITIES
INFORMATION FROM THE STATE
AGRICULTURE OFFICIALS
KRISHI VIGYAN KENDRA
SELF MOTIVATED
FARMERS SERVICE CENTER IFFCO
26



Soil testing facility-94% are motivated due to IFFCO promotional Activities
Soil testing facility is the technique in which the soil of the land is collected and tested for
deficiency of macronutrients and micronutrients. This soil testing facility is provided by
IFFCO for free of cost whereas district agriculture authorities, Krishi Vigyan Kendra and
other government body charge a minimal amount for this service or provide free of cost at
some villages.
Through the survey, currently 87% of the farmer population is using the soil testing facility
out of 94% said that the motivation behind using the soil testing facility was IFFCO
promotional programs. Farmers usually get information from many sources like agriculture
department and Krishi Vigyan Kendra.


18%
35%
0%
9%
23%
16%
Fig 3:Motivation for using seed cum fertilizer drill for applying
phosphatic fertilizer
IFFCO OFFICIALS
IFFCO PROMOTIONAL ACTIVITIES
INFORMATION FROM THE STATE
AGRICULTURE OFFICIALS
KRISHI VIGYAN KENDRA
SELF MOTIVATED
FARMERS SERVICE CENTER IFFCO
94%
46%
70%
11%
26%
80%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
DUE TO IFFCO
PROMOTIONAL
ACTIVITIES
INFORMATION
FROM THE STATE
AGRICULTURE
OFFICIALS
FERTILIZER
SALESMAN OF
SOCIETY
KRISHI VIGYAN
KENDRA
SELF MOTIVATED FARMERS
SERVICE CENTER
IFFCO
Fig 4:Motivation for using soil testing facility
27
Availability of fertilizer and relation with the society are the main reason for
increased sales
Farmers can buy fertilizer from three sources:
Cooperative Societies
IFFCO centers (FSC)
Private Dealer
According to the result of survey 56% farmers prefer to buy IFFCO products from the IFFCO
centers and 46% prefer to buy from cooperative societies due to its strong network even in a
remote village.
Motivation for purchasing of fertilizer from cooperative society is due to its network,
availability of stock, credit facility option and relation with the society.



Motivation for buying fertilizer from IFFCO center (FSC) is due to availability of stock and
relation with center. There is no credit facility available at IFFCO centers.



0%
20%
40%
60%
80%
100%
120%
QUALITY CREDIT FACILITY AVAILABILITY OF
STOCK
RELATION WITH THE
SOCIETY
Fig 5:Motivation for buying fertilizer from cooperative society
0%
20%
40%
60%
80%
100%
120%
QUALITY AVAILABILITY OF STOCK RELATION WITH THE
SOCIETY
Fig 6:Motivation for buying fertilizer from IFFCO Centres (FSC)
28
87% Fertilizer requirement fulfillment
According to the survey conducted, the distribution channel of IFFCO, 13% demand is not
met, meets 87% of the farmers need. If the cooperative society or the IFFCO center is unable
to fulfill the demand of farmer, then the action carried out by the farmer is show in the
diagram below.




100% self motivated for quantity of fertilizer to applied for different crops
My finding in this scenario is that as most of the farmers are doing farming from generation,
they know how much fertilizer they need to apply to obtain the desired result. Still they
appreciate the efforts of IFFCO in updating their knowledge about new technology and best
cultivation practices.


12%
29%
18%
41%
Fig 7:Action of farmer when society is unable to fulfill its
requirements
Use Whatever is available with
the society
Would go to other society,
purchase the product of some
other company
purchase the product of some
other company
Wait for the product
64%
80%
29%
34%
45%
36%
42%
38%
100%
0% 50% 100% 150%
AGRICULTURE DEPARTMENT OFFICIALS
IFFCO PROMOTIONAL PROGRAMS
IFFCO OFFICIALS(F.O.)
FERTILIZER SALESMAN
T.V.,RADIO, NEWSPAPERS
SMS
KRISHI VIGYAN KENDRA
FARMERS SERVICE CENTER IFFCO
SELF MOTIVATION
Fig 8:Awareness of Fertilizer quantity in different crops
29
100% Awareness about IFFCO Products
According to the result of the survey, farmers have complete knowledge about UREA, DAP,
NPK (12:32:16) and WSF (18:18:18) and awareness about other products are also increasing
with the help of IFFCO promotional activities and information from the IFFCO centers
(FSC).




12% increase in farmers using IFFCO products
According to the survey conducted, there has been a shift of 12% farmers from product of
other companies to IFFCO products. This shift is due to the following reasons:




0% 20% 40% 60% 80% 100% 120%
UREA
DAP
NPK (12:32:16)
WSF(18:18:18)
UREA PHOSPHATE
SOP
BORON
ZINC SULPHATE
SULPHUR BENTONITE
Fig 9:Awareness of IFFCO Products
47%
20%
17%
17%
Fig 10: Reason for shift to IFFCO product
Availabilty of product
Credit facility available
Influence of the promoitional activity
Realtion with the society/dealer
30
More than 90% participation in IFFCO promotional programs
Farmers have shown lot of enthusiast and participation during each and every promotional
program. The reason for less participation in a particular program is due to its low frequency
and not due to low participation.




87% farmers marked IFFCO as their First preference for buying fertilizers
87% of the farmers have given IFFCO as their first preference for buying fertilizer and rest
13% has given their second preference for IFFCO products.



0% 20% 40% 60% 80% 100%
TRAINING PROGRAMS
VILLAGE ADOPTION PROGRAM
FARMERS MEETING
FIELD DAY
CROP SEMINAR
CAMPAIGNS
SOIL SAMPLING
INTRODUCTION OF HYBRID CROPS
GREEN MANURE
TWO PLOT DEMONSTRATIONS
BIO COMPOST
WATER SOLUBLE FERTILIZER
BIO FERTILIZER
Fig 11:Participation in IFFCO promotional programs
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1st 2nd 3rd
Fig 12:Customer Ranking
SFC(SHRIRAM)
IFFCO
NFL-KISAN UREA
KRIBHCO
CHAMBAL FERTILIZER
IPL
31
Scope and Limitation of the Research

I have made every effort to make my research as comprehensive and complete to answer my
research question however there has been certain limitations to my research which are due
factors as lack of availability of time, lack of availability of complete information and various
similar factors. Thus I have listed down the scope and limitations to the following:

My primary target for my research were farmers living in North India but due to lack
of time and resources, I was able to survey only the farmers in Haryana, India. Thus
the scope of the report is limited only to Haryana and the results may vary if when
taking the finding from parts of India.
Next limitation came in form of the variables that I chose for the research. My scope
of research restricted me to only two major parameters of brand building i.e. customer
perception and customer awareness. However other research design could have
included various other factors like customer satisfaction, return on investment and
many more. Thus when I answer my research objective with only two questions, the
answer could have been different if more variables were selected.
My sampling technique involve random sampling but in the villages where IFFCO
promotional activities are been conducted. Most of the responses are from the farmers
of the adopted village and the result may change if responses from all villages are
accepted.
Another limitation is that the research is based on sampling technique rather than
census. There is obvious difference between the found result and actual. In other
words, the perception of our sample may not be the same as the perception of the
whole population.











32
Conclusion and Recommendations

Thus by conducting the research, I can to a conclusion that there is a positive impact of the
promotional activities on the brand building of IFFCO in term of customer perception and
customer awareness. This is linked to the research objective. The research also shed light on
the effectiveness of the promotional activities that are been carried out by IFFCO. During the
research, one of the finding is that farmers think that these programs help them a lot in
learning about new techniques and best cultivation practices and they feel grateful to IFFCO
for providing such services.

Following are some recommendation that I suggest:

1. Farmers are very enthusiast to learn about new techniques and technology, so more
and more promotional program should be conducted
2. New areas other than the adopted village should be selected for spreading the
information
3. More emphasis should be provided to the farmers to use the best cultivation practices
like using seed cum fertilizer drill and soil testing facility
4. Incentives should be provided to farmers and the promoter so that engagement level
is increased
5. The promotional activity should also be conducted at packs level so that they could
disseminate the information to the villages connected to them
6. Company should increase

There is a huge dependency of brand image and brand building on the promotional activities
and transfer of technology, so therefore the company should invest more in promotional
activities that are been conducted.








33
Reference:

Muthusamy, A. & Karpagalakshmi, S. (Dec, 2011), A study of sales trend and cost
structure of Indian Fertilizer Industry, Management Insight, Vol.VII, No.2.
Sharma, Vijay Paul & Thaker, Hrima (Feb 2010), Economic Policy Reforms and
Indian Fertilizer Industry, Center for Management in Agriculture (CMA), Indian
Institute of Management, Ahmedabad.
Sing, Jaswinder et al (2013), A questionnaire on survey of problem facing by
agriculture field using data mining, International Journal of Computer Technology &
Application, Vol 4 (2), 295-301
Minde, Issac; Jayne, T.S.; Crawford, Eric; Ariga, Joshua; and Gavereh, Jones (Nov
2008), Promoting Fertilizer use in Africa: current issues and empirical evidence from
Malawi, Zambia and Kenya, Regional Strategic Analysis and Knowledge Support
System, South Africa
Bhatt, D.K. (April 2006), IFFCO in the service of Farmers, Indian Journal of
Fertilisers, Vol. 2 (1), pp.11-20
Roy, A. (2013), Reorientation of Promotional Programs- IFFCOs Experience
Mahajan, Aparna with Ives, Kate, a case study on IFFCO-Enhancing Business-
Community Relations, New Academy of Business, University of TERI.
Ghosh, Nilabja, Promoting Bio-Fertilizers in Indian Agriculture, Institute of
Economic Growth, University Enclave, Delhi
Roy, A. (2010), Agricultural services and Promotional Activities 2007-2008/2008-
2009, IFFCO publication, New Delhi.
45
th
Annual Report 2012-2013, IFFCO Limited.
Nath, Ashish (2011), Technology Transfer & R&D in the Indian Chemical Industry,
The Indian Journal of Industries Relations, Vol. 47, No. 1, July 2011.
Mason, Roger B. (2008), Word of mouth as a promotional tool for turbulent markets,
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Food Distribution Research, Volume 433, Issue 1





34
Appendices

Ex-1.Variable Data Set




Ex-2. Cronbachs Alpha Reliability Test




35



Ex-3. K-S Test for Normalization










36
Ex-4. Chi-Square Test: Hypothesis 1

























37
Ex-5. Chi-Square Test: Hypothesis 2







38





EX-6. Chi-Square Test: Hypothesis 3












39

Ex-7. Chi-Square Test: Hypothesis 4





Ex-8. Chi-Square Test: Hypothesis 5




40