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CHAPTER -1

1.1 INTRODUCTION

Fast Moving Consumer Goods (FMCG) called as Consumer Packaged Goods

(CPG).FMCG products are those products which normally purchased by the consumers at

a regular interval. Activities of FMCG industry are Production, Distribution, Marketing,

Selling, Financing, Purchasing, etc. FMCG industry also actively engaged in Operations,

Supply chain, and in General Management.

FMCG industry is the fourth largest sector with total market size of US$30.1 billion.

Indian FMCG Sector is estimated to grow 60 percent by 2020. FMCG industry provides a

wide range of consumable products. In India the competition among FMCG companies is

gradually increasing and thus investment in FMCG sector is also increasing.

FMCG products include packaged food, dairy products, detergents, coffee, tea, soaps,

tobacco, cigarettes, glassware, paper products, pharmaceuticals, consumer electronics,

plastic goods, printing and stationery, household products, photography, soft drinks, dry

cells, greeting cards, gifts, watches, etc.

The low operational cost, strong distribution networks, new technologies and growth in

competitive FMCG companies etc. are a few things which holds potential in FMCG

industry. Population growth is also a factor which is responsible of success of this

industry.

Leading FMCG companies are Nestle, Reckitt Benckiser, Unilever, Procter & Gamble,

Coca-Cola, Carlsberg, Kleenex, General Mills, Pepsi, Mars, Nirma, Dabur, Himani, Sara

Lee, etc.

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Many MNC presences, established distribution networks, profound competition between

the organized and unorganized segments of FMCG industry and low operational cost,

availability of raw materials, cheaper labour costs favours Indian FMCG sector and

gives distinct advantage.

The FMCG market was put to threefold from US$ 15.6 billion (in 2009) to US$ 37.4

billion (in 2020). Consumption of products like hair wash, jams, skin care, toothpaste,

etc., in India is low and yet an untapped market. The middle class and the rural

population of India offer opportunity to companies to tap consumer for branded products.

There is need of investment in India around US$ 28 billion in the food-processing

industry. Growth may come in FMCG industry from consumer upgrading in the

developed product categories. About 2300 million people were expected to shift to

processed and packaged food category by 2020.

Investment approval of foreign technology agreements with specified norms, up to 100

per cent of foreign stake or 100 per cent for NRI and OCBs (Overseas Corporate Bodies)

investment is allowed in most of the food processing segment. And that will leads 10

percent of annual growth over a 5-year period. FMCG.Male Grooming, Female Hygiene,

Chocolates, Hair care, Household care, and Confectionery are estimated fastest growing

segments, says a HSBC report.

Indias village population is 15.2 percent of world population and rural FMCG market

has not been catered as much. Farm sector can boost rural household incomes, and then

there will be better ground of growth for FMCG companies. A good infrastructure facility

is needed for better supply chain. The low per capita consumption of FMCG products in

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the country, have good possibilities for growth. If the mindset of consumers be changed

to take branded and new products, i.e. if they are capable to take the consumers to

branded products and offer new generation products, then that would be advantageous for

companies in future. The rural household income is growing and its boost purchasing

power but still demand in urban areas is the key growth for FMCG companies.

The urban population and income levels are also increasing and the presence of new

FMCG categories will help the urban areas to maintain its position in terms of

consumption. At present, urban India holds 66 percent of total FMCG consumption, and

rural area holds remaining 34 percent.

In categories such as personal care, fabric care, and hot beverages, rural India holds more

than 40% consumption. In home care, personal care, household care and feminine

hygiene category, urban area growing at marvellous rate. In both rural and urban areas

the processed foods, bakery, and dairy products have long-term growth.

1.11 Characteristics of FMCG Products:

a) Individual items are of small value. But all FMCG products put together account

for a significant part of the consumer's budget.

b) The consumer keeps limited inventory of these products and prefers to purchase

them frequently, as and when required. Many of these products are perishable.

c) The consumer spends little time on the purchase decision. Rarely does he/she

look for technical specifications (in contrast to industrial goods). Brand loyalties

or recommendations of reliable retailer/dealer drive purchase decisions.

d) Trial of a new product i.e. brand switching is often induced by heavy

advertisement, recommendation of the retailer or neighbors/friends.

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e) These products cater to necessities, comforts as well as luxuries. They meet the

demands of the entire cross section of population. Price and income elasticity of

demand varies across products and consumers.

1.2 Profile of DABUR

Dabur (Dabur India Ltd.) is India's largest Ayurvedic medicine manufacturer. Dabur was

founded by Dr SK Burman, a physician in Bengal. He founded Dabur in 1884 (more than

126 years ago) to produce and dispense Ayurvedic medicines. His initial goal was to

successfully produce and market effective medicine for ordinary villagers. Dr Burman

designed Ayurvedic medication for diseases such as cholera and malaria. Soon the news

of his medicines travelled, and he came to be known as the trusted 'Daktar' or Doctor who

came up with effective cures. That is how Dabur got its name - derived from the

Devanagri rendition of Daktar Burman.Dabur's Ayurvedic Specialities Division has over

260 medicines for treating a range of ailments and body conditions-from common cold to

chronic paralysis. Dabur International, a fully owned subsidiary of Dabur India formerly

held shares in the UAE based Weikfield International, which it disposed of on 25th June

2012.

Dabur India Ltd is one of Indias leading FMCG Companies with Revenues of over Rs

6,146 Crore & Market Capitalization of US $5 Billion. Building on a legacy of quality

and experience of over 127 years, Dabur is today Indias most trusted name and the

worlds largest Ayurvedic and Natural Health Care Company.

Dabur India is also a world leader in Ayurveda with a portfolio of over 250

Herbal/Ayurvedic products. Dabur's FMCG portfolio today includes five flagship brands

with distinct brand identities -- Dabur as the master brand for natural healthcare products,

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Vatika for premium personal care, Hajmola for digestives, Real for fruit juices and

beverages and Fem for fairness bleaches and skin care products.

Dabur today operates in key consumer products categories like Hair Care, Oral Care,

Health Care, Skin Care, Home Care and Foods. The company has a wide distribution

network, covering over 5.8 million retail outlets with a high penetration in both urban and

rural markets.

Dabur's products also have a huge presence in the overseas markets and are today

available in over 60 countries across the globe. Its brands are highly popular in the

Middle East, SAARC countries, Africa, US, Europe and Russia. Dabur's overseas

revenue today accounts for over 30% of the total turnover..

The 125-year-old company, promoted by the Burman family, had started operations in

1884 as an Ayurvedic medicines company. From its humble beginnings in the bylines of

Calcutta, Dabur India Ltd has come a long way today to become one of the biggest

Indian-owned consumer goods companies with the largest herbal and natural product

portfolio in the world. Overall, Dabur has successfully transformed itself from being a

family-run business to become a professionally managed enterprise. What sets Dabur

apart from the crowd is its ability to change ahead of others and to always set new

standards in corporate governance & innovation.

a) Dabur had a turnover of approximately US $ 600 Million ( Rs. 2 ,834 Crore)

b) Market Capitalization of over US$ 2.2 Billion (Rs 10,000 Crore), with brands like

Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola and Real

c) The company's growth rate rose from 10% to 40%.

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1.21 Sales promotion

An activity designed to boost the sales of a product or service. It may include an

advertising campaign, increased PR activity, a free-sample campaign, offering free gifts

or trading stamps, arranging demonstrations or exhibitions, setting up competitions with

attractive prizes, temporary price reductions, door-to-door calling, telemarketing,

personal letters on other methods.

In marketing, sales promotion is one of the four aspects of promotion. (The other three

parts of the promotional mix are advertising, personal selling, and publicity/public

relations.) Sales promotions are non-personal promotional efforts that are designed to

have an immediate impact on sales.

Sales promotion involves short-term incentives to encourage buyers to purchase a

product. It's aim is to encourage immediate purchase of a product. If used too often

however, sales promotion can create a situation where consumers will not buy unless

there is a bonus offer. This will result in loss of profit for the company.

More than any other element of the promotional mix, sales promotion is about action. It

is about stimulating customers to buy a product. It is not designed to be informative a

role which advertising is much better suited to.

Sales promotion can be directed at:-

The ultimate consumer (a pull strategy encouraging purchase)

The distribution channel (a push strategy encouraging the channels to stock the

product). This is usually known as selling into the trade

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1.22 SALES PROMOTIONAL TOOLS OF DABUR FOODS

a) Price promotions

b) Coupons

c) Gift with purchase

d) Competitions and prizes

e) Money refunds

f) Point-of-sale displays

g) Free samples

h) Contest /demos

i) Festival Sales

j) Retailer coupons

k) Multi-packs

l) Special price for twos

m) Allowances for additional shelf space

n) Merchandising

o) Sales contest

p) Incentives

q) Awards & prizes

r) Premium gifts

s) Sales Meetings

t) Samples/product sampling

u) Contests & Sweepstakes

v) Exchange Offers/buyback

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w) Refund / Rebate

x) Price / Bonus Packs

1.23 MISSION

To maximize shareholders value, by offering superior quality nature based products, that

contributes in improving consumers life in Personal care, Health Care and foods.

1.24 VISION

"Dedicated to the health and well-being of every household"

1.25 PRINCIPLES OF DABUR

A).OWNERSHIP

We accept personal responsibility, and accountability to meet to meet business need

B).PASSION FOR WINNING

We all are leaders in our area of responsibility, with a deep commitment to deliver
results We are determined to be the best at doing what matters most.

C).PEOPLE DEVELOPMENT

People are our most important asset. We add value through result driven training,

and we encourage & reward excellence.

D).CONSUMER FOCUS

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We have superior understanding of consumer needs and develop products to

fulfill them better.

E).TEAM WORK

We work together on the principle of mutual trust & transparency in a boundary-

less organisation. We are intellectually honest in advocating proposals, including

recognizing risks.

F).INNOVATION

Continuous innovation in products & processes is the basis of our success.

G).INTEGRITY

We are committed to the achievement of business success with integrity. We are

honest with consumers, with business partners and with each other

H).CORE VALUES

a) Ownership: This is our company. We accept personal responsibility, and

accountability to meet business needs.

b) Passion for Winning: We all are leaders in our area of responsibility, with a deep

commitment to deliver results. We are determined to be the best at doing what

matters most.

c) People Development: People are our most important asset. We add value through

result driven training, and we encourage & reward excellence.

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d) Consumer Focus: We have superior understanding of consumer needs and

develop products to fulfill them better.

e) Team Work: We work together on the principle of mutual trust & transparency in

a boundary-less organization. We are intellectually honest in advocating

proposals, including recognizing risks.

f) Innovation: Continuous innovation in products & processes is the basis of our

success

Dabur world wide

Dabur have spread itself wide and deep to be in close touch with their overseas

consumers.

a) Offices and representatives in Europe , America and Africa.

b) A special herbal health care and persona; care range successfully selling in the

market of Middle East , Far East and several European Countries.

c) Inroads in to European and American markets that have good potential due to

resurgence of the back to nature movement.

d) Export of Active pharmaceutical Ingredients (APIs) manufactured under strict

international quality benchmarks to Europe , Latin America , Africa and other

Asian countries.

e) Export of food and textile grade natural gums extracted from traditional plant

sources

1.26 MILESTONES OF SUCCESS

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1) 1884 Birth of Dabur

Dr. S. K. Burman launches his mission to make health care products in Calcutta.

2) 1896 Setting up a manufacturing plant

With growing popularity of Dabur products, Dr. Burman expands his operations

by setting up a manufacturing plant for mass production of formulations.

3) EARLY 1900s Ayurvedic medicines

Dabur enters the specialized areas of nature based Ayurveda medicine, for which

standardized drugs are not available in the market.

4) 1919 Establishment of research laboratories

The need to develop scientific processes and quality checks for mass production

of traditional Ayurvedic medicines leads to establishment of research laboratories.

5) 1920

Dabur expands further with new manufacturing units at Narendrapur and

Daburgram. The distribution of Dabur products spreads to Bihar and the North-

East.

6) 1936 Dabur India (Dr. S.K. Burman) Pvt. Ltd.Dabur becomes a full-fledged

company - Dabur India (Dr. S. K. Burman) Pvt. Ltd

7) 1972 Shift to Delhi

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Dabur's operations shift to Delhi. A new manufacturing plant is set up in

temporary premises in Faridabad on the outskirts of Delhi.

8) 1979 sahibad factory / Dabur research & development (DRDC)

Commercial production starts in the new Sahibabad factory of Dabur, one of the

largest and best equipped production facilities for Ayurvedic medicines. Launch

of full-fledged research operations in pioneering areas of health care with

establishment of the Dabur Research & Development Centre (DRDC).

9) 1986 Public Limited Company

Dabur becomes a Public Limited Company. Dabur India Ltd. comes into being

after reverse merger with Vidogum Limited.

10) 1992 Joint venture with Agrolimen of Spain

Beginning a new chapter of strategic partnerships with international businesses,

Dabur enters into a joint venture with Agrolimen of Spain. This new venture is

to manufacture and market confectionery items in India.

11) 1993 Cancer treatment

Dabur enters the specialised health care area of cancer treatment with its

oncology formulation plant at Baddi in Himachal Pradesh.

12) 1994 Public issue

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Dabur India Ltd. raises its first public issue. Due to market confidence in the

Company, shares issued at a high premium are oversubscribed 21 times.

13) 1996 3 separate divisions

For better operation and management, 3 separate divisions are created according

to their product mix - Health Care, Products Division, Family Product Division &

Dabur Ayurvedic Specialities Limited.

14) 1997 Foods Division / Project STARS

Dabur enters full-scale in the nascent processed foods market with creation of a

Foods Division. Project STARS (Strive to Achieve Record Successes) is initiated

to give a jump-start to the Company and accelerate its growth performance.

15) 1998 Professionals to manage the Company

With changing demands of business and to inculcate a spirit of corporate

governance, the Burman family inducts professional to manage the company. For

the first time in the history of Dabur, a non family professional CEO sits at the

helm of the company.

16) 2000 Dabur India Ltds turnover crosses the Rs 1,000 CroremarDabur establishes

its market leadership status with a turnover of Rs.1,000 crores. From a small

beginning and upholding the values of its founder, Dabur now enters the august

league of large corporate businesses.

17) 2003 Dabur demerges Pharma Business

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Dabur India approved the demerger of its pharmaceuticals business from the

FMCG business into a separate company as part of plans to provide greater focus

to both the businesses.

18) 2005 Dabur aquires Balsara

As part of its inorganic growth strategy, Dabur India acquires Balsara's Hygiene

and Home products businesses, a leading provider of Oral Care and Household

Care products in the Indian Market, in a INR 143 Crore all cash deal.

19) 2005 Dabur announces Bonus after 12 yearDabur India announces issue of 1:1

bonus share to its shareholders (i.e. one share for every one share held.)

20) 2006 Dabur crosses $2bn market Cap, adopts US GAAP

Dabur India crosses the $2 billion mark in market Capitalisation. The company

also adopted US GAAP in the line with the commitment to follow Global Best

Practices and adopt highest standards of transparency and governance.

21) 2006 Approves FCCB/GDR/ADR up to $200 million

Moving forward on the inorganic growth path Dabur India decides to raise upto

$200 million from the international market through bonds, FCCBs, GDR, ADR,

QIPs or any other securities.

22) 2007 Dabur India announces its foray into the organised retail business through a

wholly-owned subsidiary, H&B Stores Limited. Dabur goes on to further invest

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INR 140 Crores by 2010 to establish its presence in the retail market in India with a

chain of stores on the Health & Beauty format.

2007 Dabur Foods Merged With Dabur India

Dabur India decides to merge its wholly owned subsidiary Dabur

Foods Limited with itself to exact synergies and unlock operational efficiencies.

23) 2008 Acquires Fem Care Pharma

Dabur India acquires Fem Care Pharma, a leading player in the women skin care

market. Besides an entry into the high growth skin care market with an established

brand named Fem, this transaction also offers Dabur a strong platform to enter newer

product categories and markets.

24) 2009 Dabur Red Paste joins 'Billion Rupee Brand' club

Dabur Red Paste becomes Dabur's 9th billion rupee brand by crossing the billion

rupee turnover mark within 5 years if its launch

25) 2010

Dabur makes its first overseas acquisitionDabur makes its first overseas

acquisitions by buying Hobi Kozmetik Group, a leading personal care products

company in Turkey, for $69 Million. This is followed in succession by the

acquisition of 100% equity in Namaste Laboratories LLC of the US for $100

Million.

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26) 2011 Dabur enters professional skin care market

Dabur enters professional skin care market with the launch of Oxylife

Professional Facial Kit, created exclusively for professional use. The range is

further expanded with the launch of facials and a body bleach under the brand

Fem.

2011 Dabur India acquires 30-Plus from Ajanta Pharma

Dabur India Limited acquires Ajanta Pharma's over-the-counter brand '30-Plus'

27) 2012 Dabur crosses Billion-Dollar Turnover MarkDabur India Ltd. surpasses the

billion-dollar turnover mark during the 2011-12 fiscal to end the year on a high note with

net sales of INR 5283.17 Crores.

28) 2014 Market Capitalisation crosses the $5-Billion mark.

29)2015 Brand Real, Vatika and Amla cross the Rs. 1,000 Crore turnover mark

30)2016 Dabur Gulabari and Dabur Lal Dant Manjan clock a turnover of Rs. 100

Crore each

1.27 Dabur Products

Dabur Health Care Product Range

1. Health Supplements

a) Dabur Chyawanprash

b) Dabur Chyawanshakti

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c) Glucose-D

2. Digestives

a) Hajmola Yumstick

b) Hajmola Mast Masala

c) Anardana

d) Hajmola

e) Hajmola Candy

f) Pudina hara

g) Dabur Hingoli

3. Natural Cures

a) Shilajit Gold

b) Nature Care

c) Ring Ring

d) Itch Care

e) Back-aid

f) Shankha Pushpi

g) Dabur Balm

h) Sarbynastrong

4. Dabur Baby Care Product Range

Baby Care

a) Dabur Lal Tail

b) Dabur baby Olive oil

c) Dabur Janma Ghunti

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5. Dabur Personal Care Product Range

A. Hair Care-Oil

a) Amla Hair Oil

b) Amla Light Hair Oil

c) Vatika Hair Oil

d) Anmol Sarson Amla

B. Hair Care- Shampoo

a) Anmol Silky Black Shampoo

b) Vatika Henna conditioning Shampoo

c) Vatika Anti-Dandruff Shampoo

C. Skin Care

a) Gulabari

b) Vatika Fairness Face Pack

6. Dabur Oral Care Product Range

a. Oral Care

a) Dabur Red Gel

b) Babool Toothpaste

c) Dabur Red Toothpaste

d) Dabur Lal Dant Manjan

e) Dabur Binaca Toothbrush

7. Dabur Foods Product Range

A.Real

a) Real Fruit Juice

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b) Real Active

8. Homemade

9. Lemoneez

Natural Lemon Juice

10. Honey

Pure Natural Honey

11. Capsico

A fiery red-pepper sauce

12. Dabur Ayurveda Product Range

a) Dashmularishtha

b) Ashokarishtha

c) Lauhasava

d) Mahanarayan Tail

e) Juritap

f) Madhuvani

g) Lavan Baskar.

1.28 The Top 10 companies in FMCG sector

1. Hindustan Unilever Ltd.

2. ITC (Indian Tobacco Company)

3. Nestl India

4. AMUL

5. Dabur India

6. Asian Paints (India)

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7. Cadbury India

8. Britannia Industries

9. Procter & Gamble Hygiene and Health Care

10. Marico Industries

The companies mentioned above are the leaders in their respective sectors. The personal

care category has the largest number of brands, i.e., 21, inclusive of Lux, Lifebuoy, Fair

and Lovely, Vicks, and Ponds. There are 11 HUL brands in the 21, aggregating Rs.

3,799 crore or 54% of the personal care category. Cigarettes account for 17% of the top

100 FMCG sales, and just below the personal care category. ITC alone accounts for 60%

volume market share and 70% by value of all filter cigarettes in India.

The foods category in FMCG is gaining popularity with a swing of launches by HUL,

ITC, Godrej, and others. This category has 18 major brands, aggregating Rs. 4,637

crore. Nestle and Amul slug it out in the powders segment. The food category has also

seen innovations like softies in ice creams, chapattis by HUL, ready to eat rice by HUL

and pizzas by both GCMMF and Godrej Pillsbury. This category seems to have faster

development than the stagnating personal care category. Amul, India's largest foods

company has a good presence in the food category with its ice-creams, curd, milk,

butter, cheese, and so on. Britannia also ranks in the top 100 FMCG brands, dominates

the biscuits category and has launched a series of products at various prices.

In the household care category (like mosquito repellents), Godrej and Reckitt are two

players. Goodknight from Godrej, is worth above Rs 217 crore, followed by Reckitt's

Mortein at Rs 149 crore. In the shampoo category, HUL's Clinic and Sunsilk make it to

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the top 100, although P&G's Head and Shoulders and Pantene are also trying hard to be

positioned on top. Clinic is nearly double the size of Sunsilk

Dabur is among the top five FMCG companies in India and is the herbal specialist. With

a turnover of Rs. 19 billion (approx. US$ 420 million) in 2005-2006, Dabur has brands

like Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola and Real. Asian Paints is

enjoying a formidable presence in the Indian sub-continent, Southeast Asia, Far East,

Middle East, South Pacific, Caribbean, Africa and Europe. Asian Paints is India's largest

paint company, with a turnover of Rs.22.6 billion (around USD 513 million). Forbes

Global magazine, USA, ranked Asian Paints among the 200 Best Small Companies in

the World

Cadbury India is the market leader in the chocolate confectionery market with a 70%

market share and is ranked number two in the total food drinks market. Its popular

brands include Cadbury's Dairy Milk, 5 Star, Eclairs, and Gems. The Rs.15.6 billion

(USD 380 Million) Marico is a leading Indian group in consumer products and services

in the Global Beauty and Wellness space.

The Rs.85, 000 crore FMCG market in India is growing at a fast pace despite of the

economic downtrend. The increasing disposable income and improved standard of

living in most tier II and tire III cities are spearheading the FMCG growth across the

nation. The changing profile and mind set of the consumers has shifted the thought to

Value for Money from Money for Value.

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Over the years companies like HUL, ITC and Dabur have improved performance with

innovation and strong distribution channels. Their key categories have strengthened their

presence and outperformed peers in the FMCG sector. On the contrary, Colgate

Palmolive and Britannia Industries are strong in single product category i.e. tooth -

Pastes and Biscuits. In addition companies have been successful in reviving their

presence in the semi-urban and rural market

1.29 Market Share of Dabur

Figure no. 1.1 Market Share of Dabur

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1.30 ORGANISTION STRUCTURE OF DABUR

Dabur India Ltd.


Corporate Office

Chairman
(Vivek C Burman)

Executive Director (Operations) Unit Heads


Chief Executive Officer
Sunil Duggal

Heads (Marketing)

Head Head Head Head


(Finance & Commercial) (Human Resources) (Quality Control) (Mfg. & Shop Maintenance)
Regional Managers)
Branch Manager
Marketing Executives Manager (Accounts)
Customer Support Asst. Manager (Comm
(Comm)) Assistant Manager Assistant Manager
HR Manager
Accounts Officer Senior Officers Senior Officers
Officers HR Executive
Assistants Sr. Executive (Stores) Officers / Supervisors Officers / Supervisors
HR Sup.

Figure 1.2 organization structure of Dabur

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1.31 SWOT ANALYSIS

Strengths :

a) Products present in over 60 c0untries and distribution through 5000 distributors

and 2.8 millin outlets.

b) Strong Brand Image and Product Development Strength.

c) Strong Distribution Network and an Extensive Supply Chain.

d) It has welfare activities in health care, education and other socio-economic

activities.

e) Has focus markets in GCC, Egypt, Nigeria, US, Nepal etc.

Weaknesses :

a) Fake products sold under the name of their brands.

b) Dabur products has stiff competition from big domestic players and international

brands.

Opportunities :

a) Tap rural markets and increase penetration in urban areas.

b) Mergers and acquisitions to strengthen the brand.

c) Increasing purchasing power of people thereby increasing demand.

Threats :

a) Intense and increasing competition amongst other FMCG companies.

b) FDI in retail thereby allowing international brands.

c) Competition from unbranded and local products.

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1.3 Objectives of the study:

a) To study an impact of sales promotion on consumer buying behavior.

b) To study the association between the sales promotion and the consumer buying

behavior.

1.4 Scope of the study:

The scope of the study is limited to Delhi/NCR in terms of the region covered to conduct

the study. Since simple random sampling was not practically possible, convenience

sampling is used in this study. It will cover mainly sales promotion, methods for sales

promotion, parties involved for sales promotion,sales promotion strategy and its related

concepts. This topic has studied in FMCG sector in Indian industry. Dabur Company

have been selected for the research study and their comparative study has been carried

out.

1.5 Methodology:

This would be a descriptive research wherein quantitative research technique will be

used. Primary method of data collection will be used in this study. However due to

limited resources convenience sampling method will be used and a relatively smaller

sample size will be chosen for the study. Total sample size of 150 is planned for the

study. A standardized questionnaire will be used to understand and study the influence of

childrens preference and parents acceptance to childrens suggestions. However,

necessary modifications will be incorporated in the questionnaire as per the local

conditions and for that reliability and validity will be checked for accepted questionnaire.

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Shopping malls, food points, eateries, recreational parks will be used to meet the parents

and children. Telephone and emails will not be used for filling up the questionnaires.

1.6 Hypothesis of the Study :

Null Hypothesis

H0: There is no significant association between the sales promotion and the consumer

buying behavior.

Alternative hypothesis

H1: There is significant association between the sales promotion and the consumer

buying behavior.

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CHAPTER 2

2.1 LITERATURE REVIEW

The chapter deals with the literature review of various researches conducted in the same

field. Literature review is an evaluative reports of information found in the literature

related to the selected area of study. The review should describe, summarize, evaluate

and clarify the literature. It should give a theoretical base for the research and help

determine the nature of the research

Dr C Abdul Majeed(2015) said that Sales promotion may be directed to consumers,

business buyers, sales force and traders or channel members. Consumer directed

promotion schemes are the most widely researched topic. Studies involving different

tools of consumer promotion, their impact on consumers decision, behavioural response

and perception, etc. were done on many occasions. The whole studies were classified into

four broad categories as Studies on Consumer Promotions, Sales People Promotions,

Trade Promotions and Other Studies Related to Promotions. A sub division of the

consumer sales promotion literature in to Impact Study,

marketing faculty members of the Indian Institute of Management, Ahmedabad. Priya Jha

Dang, Abraham Koshi and Dinesh Sharma presented an empirical view of various sales

promotions launched in the market for the period, 1996-2003. Preeta Hemang Vyas

examined the ratio of incentives and outlays when consumers buy fast moving consumer

goods under various sales promotion offers. In another study the same author attempted

to study consumer preference with regard to sales promotion in FMCG category. In 2004,

Preeta Vyas reviewed recent contributions in the area of sales promotion through Meta-

analysis. Along with Kureshi Sonal, the same author conducted some other studies on

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sales promotion. K.M. Krishnakumar conducted the only study in Kerala on sales

promotion. The researcher studied consumers perception about sales promotion strategy

adopted by marketers of fast moving consumer goods in Kerala.

Paridhi Bhandari(2012) stated in her research that Sales promotion is one of the most

important and bewildering promotional tools of modern marketing management. It is

bewildering because of its typically tagged effects and also the difficulty of isolating its

effect from other elements in the marketing mix. It could be referred to as a catch all

for those short term marketing activities which act as an incentive to stimulate quick

buyers action such as coupons, sweep take, context, premium, free samples, trading

stamp Sales promotion is a sub-section of the total promotional and communication mix.

The term promotion in its broadest sense means to move forward. In the business field; it

is referred to as the communication activities of advertising, personal selling, publicity

and sales promotion. The blend of these promotional activities is referred to as the

promotion mix or tools. The components of the product communication include the brand

name, product design, package colour, product size and shape, trademark, label, task, and

so on. She concluded that Promotion activities induce customers to consume products on

the market thus increasing consumption rate and the sales volume. There is a strong

relationship between sales promotion and the customers buying behaviour. As per this

study sales promotional activities do have impact on customers buying behaviour.

Dr James Manalel(2007) The researchers in this study propose to explore whether the

phenomenal growth of sales promotion as a promotional tool in marketing products in

India is perceived favorably by the consumers and examine the differential effect, if any,

of two types of sales promotion namely cash discount and free gift on consumers

28
perception. The study finds ample evidence to conclude sales promotion schemes are not

perceived favorably by respondents and there is no differential effect between two types

of promotional schemes Viz. cash discount and free gifts. In summary the conclusion

drawn from the study are :- The customers are not perceiving sales promotion scheme

favorably.There is no differential effect on consumer perception about type of schemes

Viz. cash discount and free gift

Dr Vibhuti(2014) said that In the present era of globalisation needs and wants of

consumers changes with time.The fast moving consumer goods (FMCG) sector

contributes a lot to the growth of Indias GDP.Therefore it is neccesary to identify the

changes in consumer buying behaviour towards FMCG products.The motive of this paper

is to identify the factors affecting consumer buying behviour towards FMCG products

and finally effecting their decision making process.The data for this study has been

collected through questionnaire and findings have been theoretically presented.The paper

reveals that consumer behaviour is largely effected by place,product,price,promotion, and

pshychological factors.However effect of these factors also differ from product to

product. On the other hand, the same technologies enable consumer to find more

information about products and services, including prices, more easily, efficiently, and,

for the most part, from the comfort of their own homes. Finally to conclude we can say

almost every FMCG company has been riding the waves of growth in the last 20 years

and it won't be any different in the future. The winners however will innovate more

complex but significantly insightful models and use technology to create flexible supply

chain, innovative products and communication ideas and satisfy even more consumer

requirements.

29
Jabir Ali and Sanjeev Kapoor(2014) The purpose of this paper is to develop a

marketing strategy for a modern food/grocery market based on consumer preferences and

behaviour. The preferences of the consumers clearly indicate their priority for

cleanliness/freshness of food products followed by price, quality, variety, packaging, and

non-seasonal availability. The consumers preference of marketplace largely depends on

the convenience in purchasing at the marketplace along with the availability of additional

services, attraction for children, basic amenities and affordability. Results suggest that

most of the food and grocery items are purchased in loose form from the nearby outlets.

Fruits and vegetables are mostly purchased daily or twice a week due to their perishable

nature, whereas grocery items are less frequently purchased.

Paragi kuntal shah and Bijalnishantmethta (2012) in their article effect of sales

promotion and their availability on consumers buying behaviour: a perspective on

personal care products opined that todays personal care customers are greatly influence

of advertisement. The sales promotions immediately hit the sales volume and face the

competitions. The sales promotion stimulate to consumers buying behaviour in such as

sales promotions advertisement, buy one get one free and store communications.

Gopal das (2011) in his study effect of retail sales promotion on buying behaviour of

customers: an empirical study said that price promotions are increasing consumers

buying behaviours. This paper highlighted sales promotion such as direct price discount,

buy one get one free, buy one get another product free, media advertisement, store

publicities are stimulate consumers buying decision in FMCG products.

Robert P.Hamlin and Andreainshch (2011) in their paper Retailer branding of

consumers sales promotion this paper indicate that food industry customers are like

30
price promotions. The price cut immediate hit the sales as well as create demand in food

products. The researcher said that manufactures and retailers are may have power

relationships. This paper maximum highlighted promotions are coupons, price discount

and 20 percentage price offers

Abhigyan bhattacharjee (2011) described FMCG products influenced to Medias are

both visual and print medias. Advertisement and Medias as well as publicities are

creating new demand of products. It is suitable for both rural and urban areas.

According to Brassington and Pettitt (2000)and Dewhirst and Davis (2005)FMCG

products are usually frequently purchased and are low priced, thus, requiring mass

distribution and marketing communication focusing on their functional and psychological

benefits. Typical products that fall into the classification of fast moving consumer goods

include soap, toothpaste, tea, milk, sugar, bread, jam and lunch wrap, among others.

Steele & Ingall (2004)defines FMCG as those retail goods which have a short shelf life,

either as a result of high consumer demand or because the product deteriorates rapidly.

Accordingto Baron, Davies, and Swindley (1991), FMCG refers to low-priced items

which are used rapidly with a single or limited number of consumptions (as opposed to

consumer durable or consumer service).

Coulthart (2007)defines FMCG as a name for a category of products which have a quick

turnover and a relatively low cost. Loettner (2006)defines FMCG as consumer products

that have a fast turnover and a relatively low price, and include food and beverages as

well as frequently purchased consumer products such as toiletries, cosmetics, cleaning

products and pharma

31
ceuticals. According to (Paul 2006) Fast Moving Consumer Goods (FMCG) (also known

as repeat-purchase packaged goods) refers to consumer non-durable goods required for

daily or frequent use.

Kagure (2010)dissertation was an exploratory survey on the evaluation of the

effectiveness of sales promotion in the FMCG industry in Kenya whose key objectives

were; to establish how firms allocated marketing budgets, what objectives they sought to

achieve through sales promotions as well as whether and how these firms in Kenya

evaluated the effectiveness of sales

promotion as a marketing strategy and the challenges faced in the process. The most

important conclusion was that, while all companies claimed to be evaluating the

effectiveness of their sales

promotion, the evaluation seemed superficial or less than objective owing to the fact

thatmajority did not have well established tools or systems to carry out adequate detailed

analysis. Another finding from the study was that a big proportion (89%) of 44 all FMCG

companies engaged in sales promotions. A conclusion deduced from this finding was that

the firms acknowledged the importance of, and actually carried out sales promotions

regularly as part of their marketing strategy. Above the line and below the line promotion

strategies are important for FMCG marketing, although the greater emphasis is placed on

the former than the latter. Above the line promotion makes use of the traditional media

while below the line are non-traditional promotional activities such as short-term

incentives

32
Akula, Ravi (2008) has focused on Co-Branding as a modern Strategy in Marketing.

Marketers need to capture share of mind and share of heart through innovative tools and

techniques. Brands with unreliable dimensions of attributes, benefits, values, culture,

personality and users have the actual power to generate wealth. Brands which are tough

in these magnitude command respectable place in terms of sales, status, image etc., in the

market. This keeps marketers on toes to successfully communicate their brand and its

value. Co-branding is done with a variety of combinations among individual brands,

regional brands, national brands, world brands, family brands or with subtle product like

service ensuring synergistic outcome and win-win situation for customers, brands and

companies.

Bagla, Ashish and Gupta, Vivek (2008) have said that Promotion of brands in rural

places requires the extraordinary measures. Due to the social and economic backward

state the personal selling efforts have a challenging role to play in this regard. The Indian

reputed Industries have the advantages, over multinational companies in this regard. The

sturdy Indian brands have strong brand equity, consumer demand-pull and capable and

dedicated dealer network which have been created over a long period. The rural market

has a hold strong country shops, which influences the sale of diverse products in rural

market. The companies are frustrating to trigger growth in rural areas. Companies are

finding the fact that rural people are better in position with disposable income. The low

interest rate of loan facility has increased the affordability of buying the high priced

products by the rural population. Marketer need to understand the price compassion of a

consumer in a rural area.

33
Begonoa Alvarez and Rodolfo Vazquez Casielles(2004) This study evidences the

inuence that sales promotion has on brand choice behaviour. Establishments wish to

inuence consumers buying behaviour, and thus they launch strong promotional

campaigns or introduce changes in their price policies, among other actions. However,

they are not always capable of achieving their goal, since, although they may reach their

objective in the short term, when the longer term is considered there are undesirable

consumer actions. The results show that it is necessary to consider the products

promotional state at the moment of purchase as an explanatory element of the process.

Promotion is a tool that can help manufacturers and/or retailers in the achievement of

their objectives (try the brand, help to decide what brand to buy, etc.). Immediate price

reduction is the technique that exerts greatest inuence on the brand choice process. It is

possible that the consumer perceives a promotion, for example, coupons or rebates, but

does not modify his or her behaviour. In this case, manufacturers and/or retailers will be

investing their resources in promotional actions that do not have any effect on the

consumer.

34
CHAPTER 3

DATA PRESENTATION AND ANALYSIS

Introduction

This chapter covers the statistical analysis on data collected using the research

instrument. Analysis of the data was carried out using both MS Excel and SPSS

(Statistical Package for Social Sciences) to understand the level of customer attitude

towards free sample in Delhi region. The customer attitude is analyzed on the basis of

various variables such as gender, age, occupation, and income.

Variable 1: Sales Promotion (Independent Variable)

Variable 2:Consumer buying behaviour (Dependent Variable)

Correlation is a technique used to find out the relationship between the two variables.

Correlation can be positive and negative as well. The positive correlation shows that there

is a positive relationship among the variables and negative correlation shows that there is

no relationship among them. Correlation is computed into what is known as the

correlation coefficient which ranges between -1 and +1.

Regression is a statistical measure used in Finance, investing and other disciplines that

attempt to determine the strength of the relationship between one dependent variable and

a series of other changing variables (known as independent variables). The two types of

regression are linear and multiple linear regression. In this research I used a linear

regression. Linear regression uses one independent variable X to explain or predict the

outcome of the dependent variable Y.

35
3.1 Data Presentation

3.11 Gender of respondents

Gender In figures In Percentage (%)

Male 78 65%

Female 42 35%

Table no. 3.1: Gender of respondents

Gender
Male Female

78

42

Male Female

Figure no3.1: Gender of Respondents

Interpretation: Out of 120 respondent 78 are male and 42 are female respondents,

therefore researcher has major responses from male respondents over the female

respondents

36
3.12 Age of Respondents

Age In figures Percentage (%)

20-30 68 57%

31-40 27 22%

41-50 15 13%

Above 50 10 8%

Table no. 3.2: Age of respondents

Age
20-30 31-40 41-50 Above 50

68

27
15
10

20-30 31-40 41-50 Above 50

Figure no. 3.2: Age of Respondents

Interpretation: Out of 120 respondents 68 respondents were between the age group of

20-30 years, 27 respondents were from the age group of 31-40 years, 15 respondents

were from the age group 41-50 years, and 10 respondents were of the age group of 50

years and above.

37
3.13 Marital status

Marital status In figures Percentage (%)

Married 44 37%

Unmarried 76 63%

Table no. 3.3: Martial status

Marital Status
Married Unmarried
76

44

Married Unmarried

Figure no. 3.3: Martial status

Interpretation: Out of 120 respondents 44 respondents are married and 76 respondents

are Unmarried.

38
3.14 Location

Location In figures Percentage (%)

North-Delhi 22 18%

South-Delhi 27 23%

East Delhi 40 33%

West Delhi 31 26%

Table no. 3.4: Location

Location
North-Delhi South-Delhi East Delhi West Delhi

40

31
27
22

North-Delhi South-Delhi East Delhi West Delhi

Figure no.3.4 Location Of Respondents

Interpretation: Out of 120 Respondents 22 respondents are living at North Delhi , 27

respondents are living at South Delhi , 40 respondents are living at East Delhi and 31

respondents are living at West Delhi

39
3.15 Profession

Profession In figures Percentage (%)

Business 10 8%

Service 43 36%

Student 64 53%

Other 3 3%

Table no3.5: Profession

Profession
Business Service Student Other

64

43

10
3

Business Service Student Other

Figure no. 3.5: Profession of respondents

Interpretation: Out of 120 respondents 43 respondents belong to service as a Profession,

10 respondents are business class 64 respondents were students and 3 respondents are

belong to other

40
3.16 Qualification

Qualification In figures Percentage (%)

Senior Secondary 4 4%

Graduation 42 41%

Post-Graduation 54 52%

Others 3 3%

Table no. 3.6: Qualification

Qualification
Senior Secondary Graduation Post Graduation Others

54

42

4 3

Senior Secondary Graduation Post Graduation Others

Figure no 3.6 : Qualification of Respondent

Interpretation: Out of 120 respondent 4 are from Senior Secondary 42 are from

Graduation 54 are from Post-Graduation and 3 from others.

41
3.17 Income

Income In figures Percentage (%)

0-2,50,000 78 50%

2,50,001-5,00,000 18 32%

5,00,001-7,50,000 6 13%

7,50,001 and above 14 5%

Table No. 3.7 : Income

Income
0-2,50,000 2,50,001-5,00,000 5,00,001-7,50,000 7,50,001 and above

78

18
14
6

0-2,50,000 2,50,001-5,00,000 5,00,001-7,50,000 7,50,001 and above

Figure no. 3.7: Income Group of respondents

Interpretation: Out of 120 respondent of Income group, income level between 0-

250000 is 66. Income level between 250001-500000 is 37. Income level between

500001-750000 is 16, and above 750000 the number of customer were 6.

42
3.2 Reliability Testing

The Researcher has adopted a self-Designed Questionnaire therefore reliability testing

has been conducted to calculate the value of cronbach alpha and confirm the reliability of

the questionnaire used. The output of the same is as follows :

Sales promotion :

Reliability Statistics

Cronbach's Alpha Cronbach's Alpha Based on N of Items

Standardized Items

.770 .764 14

Table no. 3.8 Reliability Statistics of sales promotion

Consumer Buying Behaviour :

Reliability Statistics

Cronbach's Alpha Cronbach's Alpha Based on N of Items

Standardized Items

.745 .733 10

Table no. 3.9 Reliability statistics of consumer buying behaviour

43
Interpretation: If the value of cronbach alpha is more than 0.7 then the questionnaire

used is standardized. Since the value of cronbach alpha, i.e.0.762, is greater than 0.7

therefore, the questionnaire used is a standardized questionnaire.

3.3 Hypothesis Testing

The tests used for testing the various hypotheses are Karl Pearsons coefficient of

Correlation and Regression. The tests have been applied using SPSS.

3.31 Hypothesis-1:

To study the impact of sales promotion on consumer buying behaviour in FMCG with

special reference to Dabur, Karl Pearsons coefficient of Correlation and Regression is

used. The coefficient of Correlation and Regression is used to determine whether there

are any significant differences between the means of two or more independent (unrelated)

groups.

H01: There is no significant impact of Sales Promotion on Consumer Buying Behaviour.

Ha1: There is significant impact of Sales Promotion on Consumer Buying Behaviour.

Descriptive Statistics

Mean Std. Deviation N

Consumer Behaviour 2.9583 .50672 120

SalesPromotion 3.2358 .56614 120

Table no. 3.10 Descriptive statistics of sales promotion on consumer buying

44
Interpretation: This table indicates that the mean for Consumer Behaviour is 2.9583 and

mean for Sales promotion is 3.2358. The standard deviation for Consumer Behaviouris

0.50672 and for Sales promotionare 0.56614. The total number of respondents is 120.

Correlations

ConsumerBehavi SalesPromotion

our

ConsumerBehaviour 1.000 .528


Pearson Correlation

SalesPromotion .528 1.000

ConsumerBehaviour . .000
Sig. (1-tailed)

SalesPromotion .000 .

ConsumerBehaviour 103 103


N

SalesPromotion 103 103

Table no. 3.11 Correlation of Sales Promotion on Consumer Buying Behaviour

Interpretation: The Pearson coefficient of correlation, i.e. R, is 0.528 which signifies

that there is positive correlation between the two variables, i.e., dependent and

independent.

45
Model Summary

Mode R R Adjuste Std. Error Change Statistics

l Squar d R of the R Square F df1 df2 Sig. F

e Square Estimate Change Chang Change

.52
1 .279 .272 .43246 .279 39.039 1 101 .000
8a

a. Predictors: (Constant), SalesPromotion

Table no. 3.12 Model Summary

Interpretation: The above table shows that R Square is 0.279 and adjusted R2 is 0.272. It

shows that the impact of Sales promotion is significant with 0.279 and consumer buying

behaviour is more influencing.

ANOVAa

Model Sum of df Mean F Sig.

Squares Square

Regressio
7.301 1 7.301 39.039 .000b
n
1
Residual 18.889 101 .187

Total 26.190 102

a. Dependent Variable: ConsumerBehaviour

b. Predictors: (Constant), SalesPromotion

Table no. 3.13 Anova

46
Interpretation: The above table shows that the value of F is statistically significant.

Coefficientsa

Model Unstandardized Standardize t Sig.

Coefficients d

Coefficients

B Std. Error Beta

(Constant) 1.429 .248 5.753 .000

1 SalesPromoti
.473 .076 .528 6.248 .000
on

a. Dependent Variable: ConsumerBehaviour

Table no. 3.14 Coefficients

Interpretation: The table shows the value of constant to be 1.429 and B for perception

of consumers as 0.473 under un standardized coefficient therefore, the regression

equation formed is:

The table shows the value of constant to be 1.429 and B for impact of sales promotion

as 0.473 under UN standardized coefficient therefore, the regression equation formed is:

where, Y (Preference) is dependent variable and X (Perception) is independent variable.

This equation shows that 1 unit change in perception will result in 0.473 times change

in preference.

47
Chapter 4

SUMMARY AND CONCLUSIONS

Introduction

The present chapter aims to recollect the various phases of the study. A summary of the

research with the main findings has also been presented. Revisiting of objectives is

essential to understand whether the purpose and aim of research has been achieved.

Limitations of the study have been pointed out. Recommendations based on the study

have also been presented. Finally, the chapter throws light on directions for future

research.

4.1 Findings of the Study

To make the theoretical contribution of this research easier to follow, the findings will be

presented according to the research objectives outlined in the introduction.

a) There is significant difference in the attitude of Consumer towards the cash

discount as a sales promotion scheme with respect to Family, Income, Gender

Educational Qualification.

b) Family Income group of 0-2,50,000 has very strongly rated Cash Discount as

sales promotional scheme.

c) No significant difference has been found in the attitude as per area of residence

towards Sales Promotion among all respondents from Delhi.

d) According to the research there is positive significant effect of brand Sales

Promotion and Consumer Buying Behaviour.

e) People have positive image of Dabur and its product and they are loyal towards

the products.

48
f) According to the research there is difference between older and younger people

because they are of different ages with different perception.

g) The study indicates the responses drawn from majority customer are falling in the

age group of 20-30 years.

h) Researcher found positive consumer attitude towards buying behaviour for Dabur

Products. Consumers motivated through various kinds of Sales promotion

Discount, Free Gift, various Schemes.

i) The researcher found a significant relationship among all the variables, i.e Sales

promotion and Consumer Buying Behaviour

4.2 Limitation of study:

In spite of the best efforts there are always some problems or limitations associated with

market research that cannot be removed but can be minimized only.

a) One of the major limitations of the study is that it is confined to only Delhi.

b) Due to limited available time, convenience sampling was used.

c) The sample size for conducting research is 120 which are very small as compared

to total customer in universe, which is large enough. So deduction drawn from the

project cant be generalized.

d) As due to busy schedule of respondents there is a chance of error if they are

having no time to read the questions carefully and might be some questions are

interpreted by them in different way.

e) As this research is based upon responses of random consumers, so some wrong

responses may become part of error.

49
These limitations may have effect on findings of the work but not up to large extent and

thus do not affect the findings of the work very significantly. Some of the respondents

didnt like to share their views due to busy schedule.

4.3 Scope for further study:

a) Further studies can be conducted to identify which Sales Promotion have more

influence either male and female.

b) The sample size can be increased that will enhance the quality of result obtained.

c) Study can be conducted in broader geographical area.

d) The Questionnaire can further include more criteria for analyzing the attitude of

consumer.

50
CHAPTER - 5

RECOMMENDATIONS

Introduction

This chapter includes the recommendations of the research project undertaken which

includes that the various suggestions given to the retail stores so that the suggestions

helps them to adopt certain tactics which when implemented on customers will be able to

maintain the customer satisfaction of the retail stores. The selected retail stores need to

identify and undergo some suggestions being recommended in order to retain their

customers by providing more facilities in the existing mobile banking services.

The recommendations of the study thus conducted after all the tests and analysis are as

follows:-

a) Sales Promotional schemes preferences do vary with Family income, Gender and

Educational Qualification. So demographic variable become important in

formulation of Sales promotion schemes.

b) International products with Price off and Local products with gift/%extra are most

preferred, so marketers should think carefully about sales promotion schemes on

these type of products Middle class consumers purchasing power is growing and

over the years this class would be big chunk of the Indian population, so, by the

years business will much depend on this class. This fact will attract International

players to India and Domestic players should cater this class very efficiently, so

that they will face less competition by International Companies.

c) Television is most preferred knowledge source and it reaches mass level, so, this

medium should be considered as very effective medium to reach to customers.

51
d) Immediate benefits consider better than delayed benefits, so, marketer should

offer sales promotions considering this as well.

e) Focus on growing core brands across categories.

f) Reaching out to new geographies areas.

g) Improve operational efficiencies by leveraging technology.

h) Be the preferred company to meet the health and personal grooming needs of our

target consumers with safe, efficacious, natural solutions by synthesizing the deep

knowledge of ayurveda and herbs with modern science.

i) Provide consumers with innovative products within easy reach.

52
BIBLIOGRAPHY

Journals :

a) Dr C Abdul Majeed(2015) The Effect of Sales Promotion of FMCG on

Consumers Trial Purchase Behaviour, Volume-I, Issue-VII, August 2015, PP.

56-65.

b) Paridhi Bhandari(2012) A Case Study On Consumer Buying Behaviour toward

selected FMCG Product,USRM volume2 issue 8PP.1168-1182

c) Dr James Manalel(2007) Sales And Advertisement Relationship for selected

companies opterating in india,Volume 69 PP.213-225

d) Dr Vibhuti(2014)in the present era of globalisation needs and wants of consumers

changes with time,Volume85PP.84-92.

e) Dr Suparn Sharma(2009) the economic effects of advertisement expenses

volume5 issue 5Aug PP.29-34

f) Paragi kuntal shah and Bijalnishantmethta (2012) effect of sales promotion

and their availability on consumers buying behaviour Volume73PP.73-82

g) Gopal das (2011) Effect of retail sales promotion on buying behaviour of

customers, Volume34 PP. 42-61

h) Robert P.Hamlin and Andreainshch (2011) Retailer branding of consumers

sales promotionVolume1 Issue 7 PP.58-66

i) Kagure (2010) the effectiveness of sales promotion in the FMCG

industry,Volume3 Issue 5 PP.38-45

j) Jabir Ali and Sanjeev Kapoor(2014)Buying Behaviour for Consumer For Food

Products In An Emerging Economy, Vol. 112 No. 2, 2010 PP.109-124

53
k) Begonoa Alvarez and Rodolfo Vazquez Casielles(2004)Consumer Evaluation

Of Sales Promotion;The Effect On Brand Choice Vol. 39 No. 1/2, 2005 pp. 54-70.

l) Bennet R. & S. Rundle-Thiele (2004), Customer satisfaction should not be the

only goal.Vol. 18(7), 514523.

54
Annexure A

Questionnaire

I, Dheeraj Rustagi, student of Gitarattan International Business School (GIBS), affiliated

to Guru Gobind Singh Indraprastha University (GGSIPU), New Delhi, am undertaking a

research project titled "Impact Of Sales Promotion On Consumer Buying Behavior

In FMCG With Special Reference To Dabur India Limited ", as a part of our

academic curriculum. I would request your cooperation in the form of honest responses.

I assure you that the data given by you will only be used for academic and research

purpose and will be kept confidential.

General Information

Name: __________________________ (Optional)

Gender: Male ( ) Female ( )

Marital Status: Married ( ) Unmarried ( )

Age: 20-30 ( ) 31-40 ( ) 41-50 ( )

Above 50 ( )

Location: North Delhi ( ) South Delhi ( ) East Delhi ( )

West Delhi ( )

Profession: Business ( ) Service ( ) Student ( )

Others ( )

Qualification: Senior secondary ( ) Graduation ( )

Post-Graduation ( ) Others ( )

55
Income: 0- Rs 2,50,000 ( ) Rs 2,50,001-Rs5,00,000 ( )

Rs 5,00,0001- Rs 7,50,000 ( ) Rs 7,50,001 and above ( )

SNO Modules Strongly Disagree Neutral Agree Strongly

Disagree Agree

1 Cash discount is the good

choice as a sales promotion

technique.

2 Cash discount on Dabur

products is not a good

choice as scheme.

3 Generally Dabur products

with sales promotion

schemes are better.

4 Dabur sales promotion

schemes are designed

considering customer

needs.

5 Sales promotion schemes

distract to purchase good

products.

6 Usually buy Dabur

56
products with sales

promotion scheme.

7 Think quite little about

sales promotion schemes

of Dabur.

8 Getting satisfaction after

purchase with sales

promotion scheme.

9 Generally know about the

sales promotion schemes

of Dabur products which

you purchase.

10 It is good to know about

the sales promotion

schemes before making the

final purchase.

11 You generally dont want

to know about sales

promotion schemes of

Dabur.

12 Sales promotion schemes

make product attractive

13 Good products of Dabur

57
have often sales

promotion.

14 You believe that sales

promotion schemes makes

good impression on

products.

15 You enjoy to avail cash

discount on purchase.

16 Usually dont care about

the cash discount while

purchasing the Dabur

products.

17 Free gifts with Dabur

products doesnt have

good quality.

18 There is no use of free gifts

with purchased products.

19 Dont need of free gift with

my purchase product of

Dabur.

20 Prefer to wait to take the

advantage of the schemes

of Dabur.

58
21 Normally buy a Dabur

product when it is on

discount.

22 Never pay attention to the

schemes of Dabur.

23 Dabur schemes are

beneficial to me.

24 Dont care about the sale

promotion schemes while

purchasing the Dabur

products.

59
Annexure B

Datasheet of Respondent

60
61
62
Thank you for your valuable time

63
Annexure C

Keywords & their Meaning

S No Key Words Meaning


A
1 Anova Analysis the variance is a collection of statistical
models used to analyze the difference among
group meals
2 Acquisition An acquisition is a corporate action in which a
company buys most, if not all, of another firm's
ownership stakes to assume control of it.
3 Advertisement A notice or announcement in a public medium.
Promoting a product, service, or event.
4 Aggregate Demand sum of all final goods and services produced in an
economy, expressed as the total amount of money
exchanged for those goods and services.
B
5 Buying To acquire in exchange for money or its
equivalent.
6 Brand Switching A Situation in which someone changes from
buying one Brand of a Product to buying a
different Brand
C
7 Convenience sampling Is made up of people who are easy to reach.
8 Categories Classification of division on any field.
9 Conclusion The end or finish of an event process, or text.
D

10 Data Facts and statistics collected together for reference


or analysis.
11 Demographic Relating to the structure of population.

64
12 Descriptive Research Descriptive research is used to describe
characteristics of a population or phenomenon
being studied.
13 Description A spoken or written account of a person, object.
14 Elasticity of Demand How sensitive the demand for a good is to changes
in other economic variables, such as the prices and
consumer income.
F

15 Finding To action of finding someone or something

16 FDI Foreign direct investment (FDI) is an investment


made by a company or individual in one country in
business interests in another country,
G

17 Globally Pertaining to the entire globe rather than a specific

I
18 Idea A though or suggestion as to a possible course of
action.
19 Innovation Purchase of translating an idea
20 Interpretation The action of explaining the meaning of someone.
21 Intention an aim or plan
M
22 Methodology a system of methods used in a particular area of
study or activity
23 Merger A Merger is a deal to unite two existing companies
into one new company.
24 Marketing the action or business of promoting and selling
products or services, including market research and
advertising

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P
25 Promotion Promotions refer to the entire set of activities,
which communicate the product, brand or service
to the user. The idea is to make people aware,
attract and induce to buy the product, in preference
over others.
26 Product An article or substance that is manufactured or
refined for sale.
27 Penetration Provide goods to the customer at low price.
28 Primary data consists of a collection of original primary data
collected by the researcher
29 Push Strategy A push promotional strategyinvolves taking the
product directly to the customer via
whatever means, ensuring the customer is aware of
your brand at the point of purchase.
30 Pull Strategy Pull strategy is a strategy that involves promotion
of marketing efforts to the final consumer.
31 Personal Selling Personal Selling is where the Business uses Sales
Force to sell the Product after meeting face to face
with the Customer.
Q
32 Quantitative Research Quantitative methods emphasize objective
measurements and the statistical, mathematical, or
numerical analysis of data collected through polls,
questionnaires, and surveys, or by manipulating
pre-existing statistical data using computational
techniques.
33 Questionnaire A set of printed or written questions with a choice
of answers, devised for the purposes of a survey or
statistical study.

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34 Quantity the amount or number of a material or abstract
thing
R
35 Reliability Consistency and validity of test results determined
through statistical methods after repeated trials
36 Relevance important to the matter at hand
37 Research investigate systematically
38 Regions an area
S
39 Sales Promotion Sales promotions are the set of marketing activities
undertaken to boost sales of the product or service.
40 Sample a small part or quantity intended to show what the
whole is like
41 Standardized Cause (something) to conform to a standard.
42 Secondary Refers to data that was collected by someone other
than the user.
43 Significance The quality of being worthy of attention;
importance.
44 Simple Random A simple random sample is a subset of a statistical
population in which each member of the subset has
an equal probability of being chosen.
T
45 Tools Performance of an obligation.
46 Techniques Skill or ability in a particular field.
47 Validity the state or quality of being valid

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