1.

1 OVERVIEW OF INDUSTRY AS WHOLE FMCG INDUSTRY

The vital statistics of the confectionery segment seem more promising than the conventional FMCG categories such as toilet soaps or detergents. While toilet soaps and detergents already reach over 90 per cent of the households, both chocolate and sugar confectioneries have abysmally low penetration levels. ORG-MARG estimates suggest that chocolates penetrated just five per cent of the Indian households in 2000. On the other hand, sugar-boiled confectionery reaches 15 per cent of the households, leaving ample room for growth. Even considering the urban market alone, the category reaches just 22 per cent of the urban customers. This category, therefore, has considerable potential to grow before it reaches saturation point -- as have traditional FMCG products such as soaps and detergents. Chocolates and sugar-boiled confectionery boast of even lower penetration levels than biscuits, which reach 56 per cent of the households. The Indian confectionery market is segmented into sugarboiled confectionery, chocolates, mints and chewing gums. Sugar-boiled confectionery, consisting of hard-boiled candy, toffees and other sugar-based candies, is the largest of the segments and valued at around Rs 2,000 crore. Nutrine Confectionery and Parry Confectionery dominate the organised segment, apart from the Indian arms of MNCs such as Perfetti India and Warner Lambert.

Cadbury India and Nestle India also made a foray into this segment five years ago and have a small presence. Chocolates make up a 22,500-tonne market, which is valued at Rs 400 crore and dominated mainly by listed players Cadbury India and

Nestle India. But slipping volumes however, despite its unmistakable potential, the major players in the confectionery industry have not fared too well in recent times in terms of sales growth. Take the chocolate segment. Cadbury India, which derives nearly 76 per cent of its revenues from chocolates and sugar confectionery, has seen its top line growth wind down from 19 per cent in 1999 to 12 percent in 2000 and further to 7 per cent in the first six months of 2001. Nestle India has managed to report healthier sales and profit growth, but this is more on account of the contribution from milk, coffee and culinary products rather than sugar or chocolate confectionery. The only listed player in sugar-boiled confectionery has not done too well either. Parrys Confectionery, a leading player in sugar-boiled confectionery, has reported shrinking sales volumes in 1998-99 and 1999-2000, after robust financial performance in earlier years. Screeching to a halt these topline numbers only reflect the ground realities. Industry sources estimate that the 22,500-tonne chocolate market, which grew at a robust 12 per cent per annum until 2000, grew by just three per cent in that year. Several factors appear to behind this slowdown. As with all other FMCG products, the demand for confectionery products appears to have been hit by the economic slowdown and the consequent shrinkage in customer spending. Confectionery products are impulse foods and thus appear to have borne the brunt of a cutback in customer spending over the past couple of years, while staple foods have continued to exhibit healthy growth rates. This is evident from ORG-MARG figures, which suggest that the annual per capita consumption of chocolates actually fell from 312 grams in 1999 to 307 grams in 2000, while that for sugar boiled confectionery fell from 621 grams to 579 grams (source: ORG-MARG Milestone Papers: The Growth Inertia). Branded staples such as atta and salt registered a healthy increase in per capita consumption over this period.

No price hikes Despite fairly aggressive promotional efforts by marketers, the overall penetration level for chocolates registered no increase between 1999 and 2000. Consumption of chocolates could have been impacted by the selling price increases that marketers affected between 1999 and 2000. In 1999 and 2000, selling prices of key chocolate brands were pegged up by 5-15 per cent, partly reflecting a spike in cocoa prices in that period. This probably contributed to the sales growth for the year. However, with cocoa prices falling sharply in the second half of 2000, marketers were forced to maintain selling prices of most products, holding back value growth in sales. Cadbury India, the market leader in the chocolate segment (market share 71.9 per cent) saw the growth in its chocolate portfolio slow to 6 per cent in the April 2000 to April 2001 period, from nine per cent the previous year. This was mainly due to the healthy double-digit growth rates in its flagship brand -- Cadbury's Dairy Milk. Brands such as 5 Star and Perk stagnated in 2000-01. Nestle India's chocolate portfolio (comprising of KitKat, Munch and Charge commanding a total market share of 24.7 per cent) slowed even more dramatically, registering less than one per cent growth between April 2000 and April 2001. Though Nestle's recent launch, Munch, has been a success, the low-priced brand has moderated the value growth in Nestle's portfolio. Wooing adults now The avenue for growth appears to lie in taking advantage of the low penetration level for chocolates by roping in new customers. The chocolate majors attempted to do this by repositioning chocolate, earlier targeted at children, as a snack food for adults. Cadbury's chocolate-coated wafer Perk and Nestle's Charge and Munch were essentially sold on this platform. Though products such as Perk did succeed initially (Cadbury India claims to have added eight million new customers in 2000), growth in this segment appears to be petering out. Both Perk and KitKat (the chocolate-coated wafer which is central to Nestle's chocolate portfolio), have shown signs of stagnation in 2001, actually reporting negative growth rates for a few of the months. Banking on smaller editions Of late, the chocolate majors have been rejigging their products to launch chocolates in the Rs 10 and Rs 5 price points. Mimicking the trend in other FMCG products, the chocolate majors have been relaunching their conventional chocolate brands in smaller unit packs, hoping that this will prompt more frequent purchases and pep up volume growth. It is early days yet to judge if this has indeed pepped up volume growth in the segment. However, the chocolate 3

majors do not have much to lose. Unlike the low unit pack versions of products such as shampoos, the low unit packs of chocolates do not cost less on a per gram basis than their normal versions. In most cases, the grammage offered under the low priced packs, has been brought down in the same proportion as the price, leaving realisations for the chocolate majors untouched.

1.2 CUSTOMER PREFERENCE

All marketing starts with the customer. So customer is a very important person to a marketer. Customer decides what to purchase, for whom to purchase, why to purchase, from where to purchase, and how much to purchase. In order to become a successful marketer, he must know the liking or disliking of the customers. He must also know the time and the quantity of goods and services, a customer may purchase, so that he may store the goods or provide the services according to the likings of the customers. Gone are the days when the concept of market was let the buyers beware or when the market was mainly the sellers market. Now the whole concept of customers sovereignty prevails. The manufacturers produce and the sellers sell whatever the customer likes. In this sense, customer is the supreme in the market. As customers, we play a very vital role in the health of the economy local, national or international. The decision we make concerning our consumption behavior affect the demand for the basic raw materials, for the transportation, for the banking, for the production; they effect the employment of workers and deployment of resources and success of some industries and failures of others. Thus marketer must understand this. Preference (or "taste") is a concept, used in the social sciences, particularly economics. It assumes a real or imagined "choice" between alternatives and the possibility of rank ordering of these alternatives, based on happiness, satisfaction, gratification, enjoyment, utility they provide. More generally, it can be seen as a source of motivation. In cognitive sciences, individual preferences enable choice of objectives/goals. The study of the customer preference not only focuses on how and why customers make buying decision, but also focuses on how and why customers make choice of

the goods they buy and their evaluation of these goods after use. So for success of any company or product promotion it is very necessary to depart its concentration towards customer preference.

FACTORS AFFECTING CUSTOMER PREFERECE CUSTOMER RESEARCH: Customer research deals with customer and their problems and solution to the problems. In this I came to know about the customers need and expectation levels regarding products and ascertainable levels of customer satisfaction. PRODUCT RESEARCH: Under product research I came to know about the modification which customers wants as to the quality, packing, shape, color, and quantity etc of their favorite chocolate. PRICING RESEARCH: This includes ability to consume, to pay for the product, how much a person can spend on his/her favorite chocolate. In this I have tried to find out customers price expectations and reactions. ADVERTISING RESEARCH: Under this I have concluded that whether the advertisement appeals the customers or not. This also includes evaluating and selecting the proper media-mix and measuring advertising effectiveness

COMPANY PROFILE
AMUL (Gujarat Cooperative Milk Marketing Federation)
Thirty years ago the milk producers of Gujarat had come together and decided to create their own organization to enhance the marketing capacity of the dairy Cooperative milk marketing federation Limited (GCMMF Ltd.). Mr. V. Kurien was the founder of this co-operative society and this society had been formed in a small village of Gujarat named Anand. Gujarat Cooperative Milk Marketing Federation (GCMMF Ltd) is a Indias largest food product marketing organization. It is a state level apex body of milk cooperative in Gujarat, which aims to provide remunerative return to the farmers and also serve the interest of customers by providing quality products, which are good value for money. Member No. of Producer Member: No. of Village Societies : Total Milk handling capacity Milk collection (Total-2004-2005) Milk collection (Daily Average 2004-2005) Milk Drying Capacity: Cattel feed manufacturing Capacity: 12 district cooperative milk producers union 2.36 million 11.333 6.9 million liters per day 1.81 billion liters 4.97 million liters 511 metric Tones per day 2340 Mitts per day

AMULS HISTORY Amul birth is indelibly linked to the freedom movement in India. It was Sardar Vallabhbhai Patel who said that if the farmers of India are to get economic freedom then they must get out of the clutches of the middlemen. The first Amul cooperative was the result of a farmers meeting in Samarkha (Kaira district, Gujarat) on 4 January 1946, called by Morarji Desai under the advice from Sardar Vallabhai Patel, to fight rapacious milk contractors. It was Sardars vision to organize farmers, to have them gain control over production, procurement and marketing by entrusting the task of managing these to qualified professionals, thereby eliminating the middlemen, the 6

bane in farmers prosperity.The decision was taken that day in January 1946. Milk producers cooperatives in villages, federated into a district union, and should alone handle the sale of milk from Kaira the government run Bombay Milk Scheme. This was the origin of the Anand pattern of cooperatives. The colonial government refused to deal with the cooperative. The farmers called a milk strike. After fifteen days the government capitulated. This was the beginning if Kaira District Cooperative Milk Producers Union Ltd., Anand registered on 14 December 1946. Mr. V.Kurien was the founder of this cooperative society. This society had been formed in a small village of Gujarat named Anand. Originally the Anand pattern included dairy cooperative societies at the level. Inspired by the Kaira Union, similar milk unions came up in the other districts too. In 1973, in order to market their product more effectively and economically, they formed the GCMMF Ltd. GCMMF become the sole marketer of the original range of Amul products including milk powder and butter. That range has since grown to include ice cream, ghee, cheese, chocolates, shrikhand, paneer, and so on. These products have made Amul a leading food brand in India. The brand name AMUL, has taken from the Sanskrit Amoolya, meaning priceless, was suggested by a quality control expert in Anand. The first products with the Amul brand name were launched in 1955. Since then, they have been in use in millions of home in all parts of India and beyond. Today Amul is a symbol of many things: of high quality products sold at reasonable price, availability, and service. Amul is the brand name of two million farmers, members of 10,000 village dairy cooperative societies throughout Gujarat. This is the heart of Amul; it vis what is so special about the Amul saga. Amul in 1946 was really an effort to carve out a truly Indian company that would have the involvement of millions of Indians and place direct control in the hands of the farmers. It was a mandate for producing, owning and marketing and above all, building your own truly Indian Brand. Amulss birth was thus a harbinger of the economic independence of our farmer brethren. ORGANIZATIONAL STRUCTURE

BOARD OF DIRECTOR

MANAGING DIRECTOR

CHIEF GENERAL MANAGER

GENERAL MANAGER

ASSISTANT GENERAL MANAGER

EXECUTIVE

DEPUTY EXECUTIVE

ASSISTANT EXECUTIVE

SENIOR EXECUTIVE

JUNIOR EXECUTIVE

FIELD SALES REPRESENTATION

DISTRIBUTION CHANNEL

MEMBER UNION (PLANT)

DEPOT GODOWN

DISTRIBUTOR

RETAILERS

CUSTOMER

The Three-tier "Amul Model"

The Amul Model is a three-tier cooperative structure. This structure consists of a Dairy Cooperative Society at the village level affiliated to a Milk Union at the District level which in turn is further federated into a Milk Federation at the State level. The above three-tier structure was set up in order to delegate the various functions, milk collection is done at the Village Dairy Society, Milk Procurement & Processing at the District Milk Union and Milk & Milk Products Marketing at the State Milk Federation. This helps in eliminating not only internal competition but also ensuring that economies of scale is achieved. As the above structure was first evolved at Amul in Gujarat and thereafter replicated all over the country under the Operation Flood Programme, it is known as the Amul Model or Anand Pattern of Dairy Cooperatives. Responsible for Marketing of Milk & Milk Products Responsible for Procurement & Processing of Milk Responsible for Collection of Milk Responsible for Milk Production Village Dairy Cooperative Society (VDCS) The milk producers of a village, having surplus milk after own consumption, come together and form a Village Dairy Cooperative Society (VDCS). The Village Dairy Cooperative is the primary society under the three-tier structure. It has membership of milk producers of the village and is governed by an elected Management Committee consisting of 9 to 12 elected representatives of the milk producers based on the principle of one member, one vote. The village society further appoints a Secretary (a paid employee and member secretary of the Management Committee) for management of the day-to-day functions. It also employs various people for assisting the Secretary in accomplishing his / her daily duties. The main functions of the VDCS are as follows:

Collection of surplus milk from the milk producers of the village & payment Providing support services to the members like Veterinary First Aid, Artificial

based on quality & quantity

Insemination services, cattle-feed sales, mineral mixture sales, fodder & fodder seed sales, conducting training on Animal Husbandry & Dairying, etc.

Selling liquid milk for local consumers of the village Supplying milk to the District Milk Union 10

Thus, the VDCS in an independent entity managed locally by the milk producers and assisted by the District Milk Union. District Cooperative Milk Producers Union (Milk Union) The Village Societies of a District (ranging from 75 to 1653 per Milk Union in Gujarat) having surplus milk after local sales come together and form a District Milk Union. The Milk Union is the second tier under the three-tier structure. It has membership of Village Dairy Societies of the District and is governed by a Board of Directors consisting of 9 to 18 elected representatives of the Village Societies. The Milk Union further appoints a professional Managing Director (paid employee and member secretary of the Board) for management of the day-to-day functions. It also employs various people for assisting the Managing Director in accomplishing his / her daily duties. The main functions of the Milk Union are as follows:

Procurement of milk from the Village Dairy Societies of the District Arranging transportation of raw milk from the VDCS to the Milk Union. Providing input services to the producers like Veterinary Care, Artificial

Insemination services, cattle-feed sales, mineral mixture sales, fodder & fodder seed sales, etc.

Conducting training on Cooperative Development, Animal Husbandry &

Dairying for milk producers and conducting specialised skill development & Leadership Development training for VDCS staff & Management Committee members.

Providing management support to the VDCS along with regular supervision of Establish Chilling Centres & Dairy Plants for processing the milk received Selling liquid milk & milk products within the District Process milk into various milk & milk products as per the requirement of State Decide on the prices of milk to be paid to milk producers as well on the prices

its activities.

from the villages.

Marketing Federation.

of support services provided to members. State Cooperative Milk Federation (Federation)

11

The Milk Unions of a State are federated into a State Cooperative Milk Federation. The Federation is the apex tier under the three-tier structure. It has membership of all the cooperative Milk Unions of the State and is governed by a Board of Directors consisting of one elected representative of each Milk Union. The State Federation further appoints a Managing Director (paid employee and member secretary of the Board) for management of the day-to-day functions. It also employs various people for assisting the Managing Director in accomplishing his daily duties. The main functions of the Federation are as follows:

Marketing of milk & milk products processed / manufactured by Milk Unions. Establish distribution network for marketing of milk & milk products. Arranging transportation of milk & milk products from the Milk Unions to the Creating & maintaining a brand for marketing of milk & milk products (brand Providing support services to the Milk Unions & members like Technical Pooling surplus milk from the Milk Unions and supplying it to deficit Milk Establish feeder-balancing Dairy Plants for processing the surplus milk of the Arranging for common purchase of raw materials used in manufacture / Decide on the prices of milk & milk products to be paid to Milk Unions. Decide on the products to be manufactured at various Milk Unions (productConduct long-term Milk Production, Procurement & Processing as well as Arranging Finance for the Milk Unions and providing them technical knowDesigning & Providing training on Cooperative Development, Technical & Conflict Resolution & keeping the entire structure intact.

market.

building).

Inputs, management support & advisory services.

Unions.

Milk Unions.

packaging of milk products.

mix) and capacity required for the same.

Marketing Planning.

how.

Marketing functions.

12

We[who?] move to the year 2008. The dairy industry in India and particularly in the State of Gujarat looks very different. India for one has emerged as the largest milk producing country in the World. Gujarat has emerged as the most successful State in terms of milk and milk product production through its cooperative dairy movement. The Kaira District Cooperative Milk Producers Union Limited, Anand has become the focal point of dairy development in the entire region and AMUL has emerged as one of the most recognized brands in India, ahead of many international brands. Today, we have around 176 cooperative dairy Unions formed by 1,25,000[quantify] dairy cooperative societies having a total membership of around 13 million farmers on the same pattern, who are processing and marketing milk and milk products profitably, be it Amul in Gujarat or Verka in Punjab, Vijaya in Andhra Pradesh or a Nandini in Karnataka. This entire process has created more than 190 dairy processing plants spread all over India with large investments by these farmers institutions. These cooperatives today collect approximately 23 million kgs. of milk per day and pay an aggregate amount of more than Rs.125 billion to the milk producers in a year.

RANGE OF THE PRODUCT (PRODUCT MIX)

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Bread spreads: Amul Butter Amul Lite Low Fat Bread spread Amul Cooking Butter

Cheese Range: Amul Pasteurized Processed Cheddar Cheese Amul processed Cheese Spread Amul Pizza (Mozzarella) Cheese Amul Shredded Pizza cheese Amul Emmental Cheese Amul Gouda cheese Amul malai Paneer (cottage cheese), Frozen, Refrigerated and Tinned Utterly Delicious Pizza

Curd Products: Yogi Sweetened Flavored Dahi (Dessert) Amul masti Dahi (Fresh cured) Amul Butter Milk Amul lassee

Milk Drink: Amul cool flavored Milk

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Amul Cool Kesar Amul Cool Elachi Amul Cool Coffee Amul Cool Rose Amul Cool Strawberry Amul Cool Mango

Health Beverage: Amul Shakti White Food

Mithaee Range (Ethnic Sweets): Amul Shrikhand (Mango, Saffron, Almond Pistachio, Cardamon) Amul Amrakhand Amul Mithaee Gulabjamuns Amul Mithaee Gulabjamuns Mix Amul Mithaee Kulfi Mix Avsar Ladoos

UHT Milk Range: Amul Shakti 3% fat Milk Amul taaza 1.5% fat Milk Amul Gold 4.5% fat Milk

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Amul Lite Slim & Trim Milk 0% fat Milk Amul Shakti Toned Milk Amul Fresh Cream Amul Snowcap Softy Mix

Chocolate & Confectionery: Amul Milk Chocolate Almond Bar Chocozoo

Milk Powder: Amul Full Cream Milk Powder Amulya Dairy Whitener Sagar Skimmed Milk Powder

Fresh Milk: Amul Taaza Toned Milk 3% fat Amul Gold Full Cream Milk 6% fat Amul Shakti Standardized Milk 4.5% fat Amul Slim & Trim Double Toned Milk 1.5% fat Amul Saathi Skimmed Milk 0% fat

Composition:

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Milk Fat 2% Sugar 55% Total Fat 32.33% (Milk Fat + Cocoa Fat) Cocoa Solids 7.5% Milk Solids 20%

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MARKET PRESENCE (SALES) Sales Turnover 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 Rs. (Million) 13790 15540 18840 22192 22185 22585 23365 27457 28941 29880 30150 35654 400412 441210 485410

COMPETITORS INFORMATION
Cadbury The story of Cadbury Dairy Milk started way back in 1905 at Bournville, U.K., but the journey with chocolate lovers in India began in 1948. The pure taste of 18

Cadbury Dairy Milk is the taste most Indians crave for when they think of Cadbury Dairy Milk. The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of Cadbury Dairy Milk with a variety of ingredients and are very popular amongst teens & adults. Recently, Cadbury Dairy Milk Desserts was launched, specifically to cater to the urge for 'something sweet' after meals. Cadbury Dairy Milk has exciting products on offer - Cadbury Dairy Milk Wowie, chocolate with Disney characters embossed in it, and Cadbury Dairy Milk 2 in 1, a delightful combination of milk chocolate and white chocolate. Giving customers an exciting reason to keep coming back into the fun filled world of Cadbury. Cadbury Dairy Milk has been the market leader in the chocolate category for years. And has participated and been a part of every Indian's moments of happiness, joy and celebration. Today, Cadbury Dairy Milk alone holds 30% value share of the Indian chocolate market..In the early 90's, chocolates were seen as 'meant for kids', usually a reward or a bribe for children. In the Mid 90's the category was re-defined by the very popular `Real Taste of Life' campaign, shifting the focus from `just for kids' to the `kid in all of us'. It appealed to the child in every adult. And Cadbury Dairy Milk became the perfect expression of 'spontaneity' and 'shared good feelings'. The 'Real Taste of Life' campaign had many memorable executions, which people still fondly remember. However, the one with the "girl dancing on the cricket field" has remained etched in everyone's memory, as the most spontaneous & un-inhibited expression of happiness. This campaign went on to be awarded 'The Campaign of the Century', in India at the Abby (Ad Club, Mumbai) awards. In the late 90's, to further expand the category, the focus shifted towards widening chocolate consumption amongst the masses, through the 'Khanewalon Ko Khane Ka Bahana Chahiye' campaign. This campaign built social acceptance for chocolate consumption amongst adults, by showcasing collective and shared moments. More recently, the 'Kuch Meetha Ho Jaaye' campaign associated Cadbury Dairy Milk with celebratory occasions and the phrase "Pappu Pass Ho Gaya" became part of street language. It has been adopted by customers and today is used extensively to express joy in a moment of achievement / success.The interactive campaign for "Pappu Pass Ho Gaya" bagged a Bronze Lion at the prestigious Cannes Advertising Festival 2006 for 'Best use of internet and new media'. The idea involved a tie-up with Reliance India Mobile service and allowed students to check their exam results using their mobile service and encouraged those who passed their examinations to celebrate with Cadbury Dairy Milk. The 'Pappu 19

Pass Ho Gaya' campaign also went on to win Silver for The Best Integrated Marketing Campaign and Gold in the Customer Products category at the EFFIES 2006 (global benchmark for effective advertising campaigns) awards. Cadbury Dairy Milk emerged as the No. 1 most trusted brand in Mumbai for the 2005 edition of Brand Equity's Most Trusted Brands survey. During the 1st World War, Cadbury Dairy Milk supported the war effort. Over 2,000 male employees joined the armed forces and Cadbury sent books, warm clothes and chocolates to the front. Nestle Nestl India is a subsidiary of Nestl S.A. of Switzerland. With six factories and a large number of co-packers, Nestl India is a vibrant Company that provides customers in India with products of global standards and is committed to long-term sustainable growth and shareholder satisfaction. The Company insists on honesty, integrity and fairness in all aspects of its business and expects the same in its relationships. This has earned it the trust and respect of every strata of society that it comes in contact with and is acknowledged amongst India's 'Most Respected Companies' and amongst the 'Top Wealth Creators of India'.

PROFILE OF CADBURYS
Cadbury began its operations in 1948 by importing chocolates and then re-packing them before distribution in the Indian market. After 59 years of existence, it today has five company-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi, 20

Mumbai,

Kolkota

and

Chennai).

The

corporate

office

is

in

Mumbai.

Currently Cadbury India operates in three sectors viz. Chocolate Confectionery, Milk Food Drinks and in the Candy category. In the Chocolate Confectionery business, Cadbury has maintained its undisputed leadership over the years. Some of the key brands are Cadbury Dairy Milk, 5 Star, Perk, clairs and Celebrations. Cadbury enjoys a value market share of over 70% the highest Cadbury brand share in the world! Their flagship brand Cadbury Dairy Milk is considered the "gold standard" for chocolates in India. The pure taste of CDM defines the chocolate taste for the Indian customer. In the Milk Food drinks segment their main product is Bournvita - the leading Malted Food Drink (MFD) in the country. Similarly in the medicated candy category Halls is the undisputed leader. The Cadbury India Brand Strategy has received consistent support through simple but imaginative extensions to product categories and distribution. A good example of this is the development of Bytes. Crispy wafers filled with coca cream in the form of a bagged snack, Bytes is positioned as "The new concept of sweet snacking". It delivers the taste of chocolate in the form of a light snack, and thus heralds the entry of Cadbury India into the growing bagged Snack Market, which has been dominated

21

until now by Salted Bagged Snack Brands. Bytes was first launched in South India in 2003. Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, it has worked with the Kerala Agriculture University to undertake cocoa research and released clones, hybrids that improve the cocoa yield. Today, Cadbury is poised in its leap towards quantum growth and new categories of business, namely gums, mints, snacking and gifting. It is a part of the Cadbury Schweppes Group, world's No.1 Confectionery Company. CADBURY WORLD WIDE Cadbury is the world's largest confectionery company and have a strong regional presence in beverages in the Americas and Australia. With origins stretching back over 200 years, today their products - which include brands such as Cadbury, Schweppes, Halls, Trident, Dr Pepper, Snapple, Trebor, Dentyne, Bubblicious and Bassett - are enjoyed in almost every country around the world. We employ around 60,00 people. Their heritage starts back in 1783 when Jacob Schweppe perfected his process for manufacturing carbonated mineral water in Geneva, Switzerland. And in 1824 John Cadbury opened in Birmingham selling cocoa and chocolate. These two great household names merged in 1969 to form Cadbury Schweppes plc. Since then they have expanded their business throughout the world by a programme of organic and acquisition led growth. Concentrating on their core brands in beverages and confectionery since the 1980s, they have strengthened their portfolio through almost fifty acquisitions, including brand icons such as Mott's, Canada Dry, Halls, Trident, Dentyne, Bubblicious, Trebor, Bassett, Dr Pepper, 7 Up and Snapple.

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It employ 60,000 people in over 200 countries Worlds No 1 Confectionery company World's No 2 Gums company World's No 3 beverage company

Cadbury Brands: Chocolates Snacks Beverages Candy SNACKS: Bytes BEVERAGES Bournvita CANDY Halls CHOCOLATES Dairy Milk 5 Star Perk Celebrations Temptation Eclairs

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Gems DAIRY MILK

The Milk began in 1948.

story

of

Cadbury Dairy started way back in 1905 at Bournville, U.K., but the journey with chocolate lovers in India

The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of Cadbury Dairy Milk with a variety of ingredients and are very popular amongst teens & adults. Cadbury Dairy Milk has exciting products on offer - Cadbury Dairy Milk Wowie, chocolate with Disney characters embossed in it, and Cadbury Dairy Milk 2 in 1, a delightful combination of milk chocolate and white chocolate. Giving customers an exciting reason to keep coming back into the fun filled world of Cadbury. Today, Cadbury Dairy Milk alone holds 30% value share of the Indian chocolate market. 5 STAR

the second largest after Cadbury Dairy Milk with a market share of 14%, Cadbury 5 Star moves from strength to strength every year by increasing its user base. Launched in 1969 as a bar of chocolate that was hard outside with soft caramel nougat inside, Cadbury 5 Star has re-invented itself over the years to keep satisfying the customers taste for a high quality & different chocolate eating experience. 24

One of the key properties that Cadbury 5 Star was associated with was its classic Gold colour. And through the passage of time, this was one property that both, the brand and the customer stuck to as a valuable association. More recently, to give customers another reason to come into the Cadbury 5 Star fold, Cadbury 5 Star Crunchy was launched. The same delicious Cadbury 5 Star was now available with a dash of rice crispies. PERK Cadbury launched Perk in 1996. With its light chocolate and wafer construct, Cadbury Perk targeted the casual snacking space that was dominated primarily by chips & wafers. With the rise of more value-for-money brands in the wafer chocolate segment, Cadbury Perk unveiled two new offerings - Perk XL and XXL. In 2004, with an added dose of 'Real Cadbury Dairy Milk' and an 'improved wafer', Perk became even more irresistible

CELEBRATIONS

Cadbury Celebrations was aimed at replacing traditional gifting options like Mithai and dry- fruits during festive seasons. Cadbury Celebrations is available in several assortments: An assortment of chocolates like 5 Star, Perk, Gems, Dairy Milk and Nutties and rich dry fruits enrobed in Cadbury dairy milk chocolate in 5 variants, Almond magic, raisin magic, cashew magic, nut butterscotch and caramels.

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The super premium Celebrations Rich Dry Fruit Collection which is a festive offering is an exotic range of chocolate covered dry fruits and nuts in various flavours and the premium dark chocolate range which is exotic dark chocolate in luscious flavours. TEMPTATION

Cadbury Temptations is a range of delicious premium chocolate in five flavours variants - Roast Almond Coffee, Honey Apricot, Mint Crunch, Black Forest and Old Jamaica.

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RESEARCH METHODOLOGY
3.1 OBJECTIVES:
PRIMAY OBJECTIVE: TO ANALYZE THE CONSUMER ATTITUDE TOWARDS AMUL AND CADBURYS CHOCOLATES

SECONDARY OBJECTIVE: TO KNOW CUSTOMER PREFERENCE TOWARDS CHOCOLATES TO GET MORE INFORMATION ON AMUL AND CADBURYS TO KNOW PERCEPTIONS OF CUSTOMERS TOWARDS AMUL AND CADBURYS TO COMPARE AMUL CHOCOLATES WITH ITS COMPETITORCADBURYS TO MAKE AN ANALYSIS OF THE SHORTCOMINGS OF AMUL CHOCOLATE COMPARED TO ITS COMPETITORS

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3.2 RESEARCH DESIGN:

A research design is the arrangement of conditions for collections and analysis of data in a manner that aims to combine relevance to the research problem with economies in a procedure. I have used descriptive research design for my research. Descriptive Research Descriptive research includes surveys and fact findings enquiries of different kinds. It basically gives a description of the state of affairs as it exists at present. A researcher has no control over the variables so they can only report what has happened or what is happening. We can also use the survey method for this purpose.

3.3 SAMPLE ELEMENT/UNIT:

The primary data was collected through survey that was systematically carried in north-east region of Delhi. The data was collected through questionnaire. The responses of the respondents were recorded in the questionnaire prepared for them.

QUESTIONNAIRE SURVEY: STRUCTURED

Extent Extent refers to the area from the respondents belong. We have conducted the research mainly on the people of Delhi, that too specifically, north-east region. Time frame Time frame is the time spent on research. The time frame for our research is 8 weeks. Sampling technique Sampling technique refers to the technique or procedure the researcher would adopt in selecting items for the sample. We have used judgmental sampling for our research because gathering information from every individual is not possible.

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Sample size Sample size refers to the number of respondents. To get a clear view we have conducted our research on 100 people.

LIMITATIONS OF THE RESEARCH Since the sampling was done in Delhi only it does not represent the entire picture of Indian market. The questionnaire might have been filled without much attention to the questions due to lack of time by the respondents. Incase of Primary data, respondents were not very much interested in filling the questionnaire and sometimes it was difficult to contact or meet the clients, because of their work schedules and personal reasons. There may be biasness against some personal preferences and which would have led to unjustified responses from the respondents. The only limitation in this survey is that survey on the big scale could not be done due to time constraint Biasness in responses

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CONCEPTUAL DISCUSSION/LITERATURE REVIEW

FACTORS AFFECTING CUSTOMERS BEHAVIOUR OF CHOCOLATES FACTORS GRAND AVERAGE 4.6 3.2 4.2 3.79 3.16 3.71 3.59 3.07 2.92 3.59 RANK 1 7 2 3 8 4 5 9 10 5

TOTAL FLAVOR/TASTE 335 PRICE 235 QUALITY 307 PACKAGING 277 FORM 231 BRAND 271 IMAGE 262 COLOR 224 SHAPE 213 QUANTITY 262

FACTORS AFFECTING CUSTOMER BUYING BEHAVIOUR 1. Perceptual Filter Perception is how we see ourselves and the world we live in. However, what ends up being stored inside us doesnt always get there in a direct manner. Often our mental makeup results from information that has been consciously or subconsciously filtered as we experience it, a process we refer to as a perceptual filter. To us this is our reality, though it does not mean it is an accurate reflection on what is real. Thus, perception is the way we filter stimuli (e.g., someone talking to us, reading a newspaper story) and then make sense out of it. Perception has several steps.

Exposure sensing a stimuli (e.g. seeing an ad) Attention an effort to recognize the nature of a stimuli (e.g. recognizing it is an ad) 30

Awareness assigning meaning to a stimuli (e.g., humorous ad for particular product) Retention adding the meaning to ones internal makeup (i.e., product has fun ads)

How these steps are eventually carried out depends on a persons approach to learning. By learning we mean how someone changes what they know, which in turn may affect how they act. There are many theories of learning, a discussion of which is beyond the scope of this tutorial, however, suffice to say that people are likely to learn in different ways. For instance, one person may be able to focus very strongly on a certain advertisement and be able to retain the information after being exposed only one time while another person may need to be exposed to the same advertisement many times before he/she even recognizes what it is. Customers are also more likely to retain information if a person has a strong interest in the stimuli. If a person is in need of new car they are more likely to pay attention to a new advertisement for a car while someone who does not need a car may need to see the advertisement many times before they recognize the brand of automobile. Marketing Implications: Marketers spend large sums of money in an attempt to get customers to have a positive impression of their products. But clearly the existence of a perceptual filter suggests that getting to this stage is not easy. Exposing customers to a product can be very challenging considering the amount of competing product messages (ads) that are also trying to accomplish the same objective (i.e., advertising clutter). So marketers must be creative and use various means to deliver their message. Once the message reaches customer it must be interesting enough to capture their attention (e.g., talk about the products benefits). But attending to the message is not enough. For marketers the most critical step is the one that occurs with awareness. Here marketers must continually monitor and respond if their message becomes distorted in ways that will negatively shape its meaning. This can often happen due in part to competitive activity (e.g., comparison advertisements). Finally, getting the customer to give positive meaning to the message they have retained requires the marketer make sure that customers accurately interpret the facts about the product.

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2. Knowledge is the sum of all information known by a person. It is the facts of the world as he/she knows it and the depth of knowledge is a function of the breadth of worldly experiences and the strength of an individuals long-term memory. Obviously what exists as knowledge to an individual depends on how an individuals perceptual filter makes sense of the information it is exposed to. 3. Attitude In simple terms attitude refers to what a person feels or believes about something. Additionally, attitude may be reflected in how an individual acts based on his or her beliefs. Once formed, attitudes can be very difficult to change. Thus, if a customer has a negative attitude toward a particular issue it will take considerable effort to change what they believe to be true. ANALYSIS OF CUSTOMER PREFERENCE Step -1 Idea Generation and Screening Create a multi-disciplinary team. Identify a product champion. Identify a project team. Team Activities Benchmark product category. Identify competition. Evaluate trends. Define Customer benefit. Establish product differentiation. Estimate barriers to entry. Complete Idea Brief

Research & Development Department Conduct literature search.

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 Production

Evaluate relevant competitive product. Evaluate Ideas for fundamental technical needs and expertise. Estimate possible resources required for feasibility. Estimate likely time schedules. Legal, regulatory and environmental issues.

Estimate possible manufacturing approach. Estimate capital and lead time.

Stage-2: Deliverables Concept Brief Marketing Finance Verify final cost with all pertinent cost assumption. Define and test customer concepts. Complete detailed market analysis. Refine product positioning. Capture customers' voice. Develop business plan. Refine sales estimate. Product Concept Description. Core Benefit Promise. Relevant Market Research. Available Benchmarks. Technical Requirements. Barriers. Financial Requirements. Resources.

Time 33

Total man days to launch. Sales sample requirement date. Earliest start date of project. Proposed date of launch.

Decision Demand Estimation How to estimate market potential for a product category? 1. Search into secondary sources of data Through the material available in-house. Through secondary data sources available at various libraries GAU, SPU and contact respective librarians Through Marker Research Cell for available information. Through Internet through search engines like YAHOO.COM, ROCKETMAIL.COM or any other. Through syndicated market research reports like MRUC, ORG Progress with development. Hold/Shelve/Recycle. Demand Estimation Formats

like IRMA, etc. 2. 3. 4. 5. Send market estimation circular to Depot In charge. Seek information from our advertising agencies viz, dCA, FCB ULKA, MUDRA. Compile the collected information in a presentable manner from macro to micro. Analyze the material and prepare the market demand report.

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Price Working How to prepare a Price Working for the given product? 1. 2. 3. Get the product specification approval from Quality assurance. Send the product specification to the production unit and ask for the ex factory cost from them. Get the information on CST (Central Sales Tax), LST (Local Sales Tax), and STNM (Sales Tax Normalization Margin in %) and other levies applicable from Commercial Department. 4. 5. 6. 7. 8. 9. Get the information on transportation charges and freight and insurance, applicable from Commercial department. Collect the margin structure for competing brands. Decide on the GCMMF Margin, WD Margin and Retailer Margin. Prepare at least 3 options varying the WD and Retailer Margin. Get the approval of GPM, AGM (Mktg.), D.M. (Commercial), AGM (Commercial) and MD on the final option. Send the approved copy of price working to commercial department for issue of circular to depots in the standard format. Packaging Material To ensure the packaging material requirement of a given product 1. An indent is raised by Purchase department for the annual requirement of the packaging material on the basis of the marketing plan. Purchase department decides on the following. . Packaging material type Tin, Rexi or Refill. Packaging material options and filling trials. Filled packaging material trials plus shelf life study is done. Engineering drawing is obtained from Unions. Engineering drawing costing received from suppliers. Decide on Primary, Secondary, Tertiary configuration packing. A copy of the Engineering drawing is send to the Ad Agency. Ad Agency decides on the Printability test such as suitability for Offset Printing.

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 A meeting of Ad Agency and Supplier is scheduled wherein the two discuss the feasibility of design and printing on the required surfaces. Agency parallel finalizes pack design after meeting the statutory requirements. 2. 3. 4. 5. A trial test run packs from supplier through purchase department. Checking for the defects, getting it corrected and getting the approval on the final version of the trial pack from the relevant departmental heads. Request is made to the purchase department to issue RAL (Rate Approval Letter) to Member Union. Follow up is done with the purchase department for timely supply of packaging material to member Unions as per the production schedule. Advertising Brief An advertising brief essentially contains the following. 1. 2. 3. 4. 5. 6. Industry Scenario Existing competition and individual market shares of major players SWOT analysis of competitor brands and GCMMFS product Rationale of the product launch / Marketing Objective Market Size and Roll out Plan Product characteristics contain: Introduction/Background Manufacturing Process, Product Composition, Shelf life, Advantages, Applications, Unique Selling Proposition, Pack configuration (Outer and Inner packaging), Gross weight and Net weight, Nutritional Facts and MRP of GCMMFS product. 7. 8. 9. 10 Distribution strategy Target Audience/Segments Positioning Strategy Communication strategies, the message sought to be delivered and the media vehicles needed for delivering the same

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11.

Deliverables expected form the agency like Pack design, Press Campaign, Hoarding designs, Electronic (TV) Campaign, Point Of Purchase promotion tools like Danglers, Posters, Streamers, Stickers, Banners, and Backing Sheets etc.

12.

Time schedule. Typically agency provides 2-3 options. Seeing the cold war in the chocolate industry the company had to decided to

go one step ahead Chocolate.

to beat the competition and to promotion activity to Amul

CUSTOMER FOCUSED MARKETING The logical strategic point is to understand how logistical competency contributes to marketing performances. Firms guided by market opportunity view satisfaction of the customer as the motivation behind of the entire activities. The objectives of marketing initiatives are to penetrate chocolate market and generate profitable transaction. This posture often referred to as the marketing concept emerged as part of the buyer-dominated market hence the attention is directed to their fundamental concepts.

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CUSTOMER SATISFACTION
Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is seen as a key performance indicator within business In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy

MANAGING CUSTOMER SATISFACTION

As markets shrink, companies are scrambling to boost customer satisfaction and keep their current customers rather than devoting additional resources to chase potential new customers. The claim that it costs five to eight times as much to get new customers than to hold on to old ones is key to understanding the drive toward benchmarking and tracking customer satisfaction.

Measuring customer satisfaction is a relatively new concept to many companies that have been focused exclusively on income statements and balance sheets. Companies now recognize that the new global economy has changed things forever. Increased competition, crowded markets with little product differentiation and years of continual sales growth followed by two decades of flattened sales curves have indicated to today's sharp competitors that their focus must change. Competitors that are prospering in the new global economy recognize that measuring customer satisfaction is key. Only by doing so can they hold on to the customers they have and understand how to better attract new customers. The competitors who will be successful recognize that customer satisfaction is a critical strategic weapon that can bring increased market share and increased profits. The problem companies face, however, is exactly how to do all of this and do it well. They need to understand how to quantify, measure and track customer satisfaction. Without a clear and accurate sense of what needs to be measured and how to collect,

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analyze and use the data as a strategic weapon to drive the business, no firm can be effective in this new business climate. Plans constructed using customer satisfaction research results can be designed to target customers and processes that are most able to extend profits. Too many companies rely on outdated and unreliable measures of customer satisfaction. They watch sales volume. They listen to sales reps describing their customers' states of mind. They track and count the frequency of complaints. And they watch aging accounts receivable reports, recognizing that unhappy customers pay as late as possible--if at all. While these approaches are not completely without value, they are no substitute for a valid, well-designed customer satisfaction surveying program. It's no surprise to find that market leaders differ from the rest of the industry in that they're designed to hear the voice of the customer and achieve customer satisfaction. In these companies: Marketing and sales employees are primarily responsible for designing (with customer input) customer satisfaction surveying programs, questionnaires and focus groups. Top management and marketing divisions champion the programs. Corporate evaluations include not only their own customer satisfaction ratings but also those of their competitors. Satisfaction results are made available to all employees. Customers are informed about changes brought about as the direct result of listening to their needs. Internal and external quality measures are often tied together. Customer satisfaction is incorporated into the strategic focus of the company via the mission statement. Stakeholder compensation is tied directly to the customer satisfaction surveying program. A concentrated effort is made to relate the customer satisfaction measurement results to internal process metrics.

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To be successful, companies need a customer satisfaction surveying system that meets the following criteria: The system must be relatively easy to design and understand. It must be credible enough that employee performance and compensation can be attached to the final results. It must generate actionable reports for management.

Understanding differing customer attitudes The most basic objective of a customer satisfaction surveying program is to generate valid and consistent customer feedback (i.e., to receive the voice of the customer, which can then be used to initiate strategies that will retain customers and thus protect the most valuable corporate asset--loyal customers). As it's determined what needs to be measured and how the data relate to loyalty and repurchase, it becomes important to examine the mind-set of customers the instant they are required to make a pre-purchase (or repurchase) decision or a recommendation decision. Surveying these decisions leads to measures of customer loyalty. In general, the customer's pre-purchase mind-set will fall into one of three categories--rejection (will avoid purchasing if at all possible), acceptance (satisfied, but will shop for a better deal), and/or preference (delighted and may even purchase at a higher price). This highly subjective system that customers themselves apply to their decisions is based primarily on input from two sources: The customers' own experiences--each time they experience a product or service, deciding whether that experience is great, neutral or terrible. These are known as "moments of truth." The experiences of other customers--each time they hear something about a company, whether it's great, neutral or terrible. This is known as "word-ofmouth."

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MEASURING CUSTOMER SATISFACTION

Organizations are increasingly interested in retaining existing customers while targeting non-customers; measuring customer satisfaction provides an indication of how successful the organization is at providing products and/or services to the marketplace. Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and product/service to product/service. The state of satisfaction depends on a number of both psychological and physical variables which correlate with satisfaction behaviors such as return and recommend rate. The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the organization's products.

CUSTOMER SATISFACTION IN 7 STEPS: 1. Encourage Face-to-Face Dealings This is the most daunting and downright scary part of interacting with a customer. If you're not used to this sort of thing it can be a pretty nerve-wracking experience. Rest assured, though, it does get easier over time. It's important to meet your customers face to face at least once or even twice during the course of a project. My experience has shown that a client finds it easier to relate to and work with someone they've actually met in person, rather than a voice on the phone or someone typing into an email or messenger program. When you do meet them, be calm, confident and above all, take time to ask them what they need. I believe that if a potential client spends over half the meeting doing the talking, you're well on your way to a sale. 2. Respond to Messages Promptly & Keep Your Clients Informed This goes without saying really. We all know how annoying it is to wait days for a response to an email or phone call. It might not always be practical to deal with all

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customers' queries within the space of a few hours, but at least email or call them back and let them know you've received their message and you'll contact them about it as soon as possible. Even if you're not able to solve a problem right away, let the customer know you're working on it. 3. Be Friendly and Approachable A fellow SitePointer once told me that you can hear a smile through the phone. This is very true. It's very important to be friendly, courteous and to make your clients feel like you're their friend and you're there to help them out. There will be times when you want to beat your clients over the head repeatedly with a blunt object - it happens to all of us. It's vital that you keep a clear head, respond to your clients' wishes as best you can, and at all times remain polite and courteous. 4. Have a Clearly-Defined Customer Service Policy This may not be too important when you're just starting out, but a clearly defined customer service policy is going to save you a lot of time and effort in the long run. If a customer has a problem, what should they do? If the first option doesn't work, then what? Should they contact different people for billing and technical enquiries? If they're not satisfied with any aspect of your customer service, who should they tell? There's nothing more annoying for a client than being passed from person to person, or not knowing who to turn to. Making sure they know exactly what to do at each stage of their enquiry should be of utmost importance. So make sure your customer service policy is present on your site -- and anywhere else it may be useful. 5. Attention to Detail (also known as 'The Little Niceties') Have you ever received a Happy Birthday email or card from a company you were a client of? Have you ever had a personalised sign-up confirmation email for a service that you could tell was typed from scratch? These little niceties can be time consuming and aren't always cost effective, but remember to do them. Even if it's as small as sending a Happy Holidays email to all your customers, it's something. It shows you care; it shows there are real people on the other end of that

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screen or telephone; and most importantly, it makes the customer feel welcomed, wanted and valued. 6. Anticipate Your Client's Needs & Go Out Of Your Way to Help Them Out Sometimes this is easier said than done! However, achieving this supreme level of understanding with your clients will do wonders for your working relationship. 7. Honour Your Promises It's possible this is the most important point in this article. The simple message: when you promise something, deliver. The most common example here is project delivery dates. Clients don't like to be disappointed. Sometimes, something may not get done, or you might miss a deadline through no fault of your own. Projects can be late, technology can fail and sub-contractors don't always deliver on time. In this case a quick apology and assurance it'll be ready ASAP wouldn't go amiss.

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DATA ANALYSIS AND INTERPRETATION

1. Which type of chocolate do you like most? A. CANDY B. BAR C. TOFFEY D. ALL
MOST POPULAR KIND OF CHOCOLATE
9% 8%

17%

Canndy Bar Toffey All

66%

Fig.1 Interpretation:The red colour segment in the pie chart indicates the most popular bar, which is consumed by the customer with 66 %. The yellow colour segment shows that toffee is the second most popular chocolate, which is consumed with 17 % with the customers. The blue colour segment indicates candy, which is liked by people with 08 %. The last green segment indicates that only 09 % people like all the chocolates.

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45

2. Whats in your mind while purchasing chocolate? A. FLAVOUR B. GIFT C. BOTH

CUSTOMER PERCEPTION WHILE PURCHASING

30%

4%

66%

Flavour Gift Both

Interpretation:The customers while purchasing the chocolates have different prefences, as shown in the pie chart the blue segment shows that 66 % of the customers purchases chocolates with their preferred flavours. The red segment shows that only 04 % of the customers prefer gifts as chocolates. The yellow segment shows that 30 % of the customers prefers both the flavours and gift while purchasing chocolates.

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3. At which time do you like to eat chocolate? A. AFTER MEAL B. PARTY/BIRTHDAY C. ANY TIME

TIME FOR CHOCOLATE 4% 8%

After meal Party/Birthday Any Time

88%

Interpretation:There are various time periods where the demand changes for the chocolates. The yellow segment of the chart with 88 % shows that the customers prefer chocolates at any time. The red segment shows that 08 % of the customers like chocolates during parties or birthdays. The blue segment indicates that only 04 % of the customers like chocolates after their meals.

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4. Which type of flavor/taste do you like the most? A.MILKY B.COFFEE C. FRUIT AND NET D. MILKY -+COFFEE E. MILKY+FRUIT +NUT F. COFFEE+FRUIT+NUT G.ALL FLAVOUR PREFERANCE 2% 6% 8% 12% 2% 26% 22% 22%

Milky Coffee Fruit-n-Nut Milky+Coffe Milky+Fruit-n-Nut Coffee+Fruit-n-Nut All Other

Interpretation:-This analysis shows the demand of the chocolate with the preferred flavours. According to the survey 22 % of the customers prefer milky flavour,26 % of the customers prefer coffee flavour,22% of the customers like the fruit n nut flavour,2% of the customers like the milky And coffee flavour, 12 % of the customers kike milky and fruit n nut flavour,8% prefer coffee and fruit n nut flavour,2% of the customers like all the flavours,and only 6% of the customers prefer other flavours.

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5. Which chocolate do you like the most? A. AMUL B. CADBURYS C. NESTLE D. OTHERS

FIRST PREFERANCE OF CHOCOLATE

13%

6%

15% Amul Cadbury Nestle Other 66%

Interpretation:The customers have different first preference of chocolate. The red shows that 66% of the customers prefer Cadbury as their first preference, the blue shows that 15% of the customers prefer amul as the first preference,the yellow shows that 13% like nestle as their first preference, and only 6% customers prefer other as their first preference.

6. WHICH PACK OF CHOLOLATES YOU PREFER THE MOST? 49

A. SMALL B. BIG C. FAMILY PACK

Pack of Chocolate Prefered

60 50 40 30 20 10 0

48 28 19 SMALL BIG FAMILY PACK

Number of Consumers

1 Pack

According to the above analysis it is concluded that out of sample of 95 people who eat chocolates likes to buy big pack. Family pack is mostly preferred by aged people only.

7.What is the reasonable price of chocolates you prefer the most?

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D. Below Rs 5 E. 5-10 F. 10-20 G. 20-30 H. Above 30

Reasonable Price 60 50 40 30 20 10 0 51 23 6 4 1Price 11

Below5 5 to 10 10 to 20 20 to 30 Above 30

According to the above analysis it is concluded that the consumer thinks 10-20 Rs is the reasonable price of a chocolate. So it must be worthwhile to know this as it may effect the sale of chocolates.

Number of Consumers

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8. How much do you spend in chocolate in a week? A. Below Rs 50/b. Rs 50-100 c. Above Rs 100/-

WEEKLY PURCHASE(IN RS/-)

10% 20% 70% Below Rs/- 50 Rs/- 50 -100 Above Rs/- 100

Interpretation:This analysis shows the purchasing power of the customers in a week. this shows that.70% customers spend Rs. 50 on chocolate,20% customers spend Rs 50-100 on chocolate,10%of the customers spend above Rs. 50 on chocolate.

9. Do you aware about Amul products ..? If yes ,which of the products?

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A. Amul Milk chocolate B. Almond Bar C.Bindaaz D.Fundoo E.Chocozoo

AWARENESS OF AMUL CHOCOLATE IN CUSTOMER

10% 5% 4% 58%
Amul Milk Chocolate Almond Bar Bindaaz Fundoo Chocozoo

23%

Interpretation This analysis shows that 58% of the customers are all well aware about the amul milk chocolates. 23% customers are well aware about the almond bar.10% customers are welkl aware about the chocozoo,5% customers are well aware about the fundoo,4% customers are aware about the bindaz.

FINDINGS
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88% Customer Prefer Chocolate At Anytime, Only 8% Customer like Chocolate During Party or Birthday, Only 4% Customer Like Chocolate After Meal.

According to Survey 22% Customer Prefer Milky Flavor, 26% Prefer Coffee, 22% Prefer Fruit-n-Nut, 2% Prefer Milky and Coffee,12% Prefer Milky and Fruit-n-Nut, 8% Prefer Coffee and fruit-n-Nut,2% prefer All Flavors and only 6% Prefer Other Flavors

66% customer prefer Cadbury as a first preference 15% customer prefer Amul as a first preference,13% customer prefer Nestle as a first preference,6% customer prefer Other as a first preference

38% customer prefer Cadbury as a second preference, 28% customer prefer Nestle as a second preference,20% customer prefer Amul as a second preference,14% customer prefer other as a second preference

70% customer spend below Rs/-50 on chocolate 20% customer spend Rs/-50100 on chocolate,10% customer spend above Rs/-50 on chocolate.

58% customer are well aware about the Amul milk chocolate,23% customer are well aware about the Almond Bar,10% customer are well aware about the Chocozoo,5% customer are well aware about the Fundoo,4% customer are well aware about the Bindaaz.

RECOMMENDATIONS/SUGGESTIONS
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The amul chocolates are the 1st preference of the customers due to its great taste, less price,high quality and high quantity.

The Cadburys chocolates is the 2nd preference due to its high price and less quantity.

The company should try to build some feed back mechanism from the retailer to check the wholesalers intervention in the AMULS distribution area because the wholesaler try to hamper the goodwill as well as the other benefit of the company and their most important part of distribution channel.

During my project this fact become clear that the customer are not well aware about the all product item of amul chocolate so through the strong advertisement company should try to increase the awareness of the AMUL chocolate.

The company should start promotion campaign at the micro-level by increasing the visit of companys representatives to the retailers.

The company should work collaboratively with the distributors in effective manner towards focusing on the area where there is a potential market for AMUL Chocolate and target that area.

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ANNEXURE
QUESTIONNIARE

Name Age Place. 1. Do you eat chocolate? Yes No

Occupation.. Monthly income.

2. Which type of chocolate do you like most? Candy Toffee Bar

3. Whats in your mind while purchasing chocolate? Flavor Gift both

4. At which time do you like to eat chocolate? After meal Birthday party any time

5. Which type of flavor/taste do you like the most? Milky coffee Fruit-n-Nut Other

6. Which chocolate do you like the most? Name a) .. b) ..

7. How much do you spend in chocolate in a week? Below 50 8. Do you aware about ? Yes Amul milk chocolate Almond Bar Bindaaz Fundo Chocozoo No 50-100 Above 100

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9.Have you tasted Amul chocolate? Yes Milk chocolate Almand Bar Bindaaz Fundo Chocozoo . . . . No . . . .

10.If yes give point (1-10)for each? Milk chocolate Almand Bar Bindaaz Fundo Chocozoo .. . . .. .

11.How you come to know about Amul chocolate? By electronic media Any other . 12.Give point(1-10)for following chocolate? Taste Price packaging Cadbury Nestle Amul By print media By retailer By Display

13.Any suggestion ?

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BIBLIOGRAPHY
BOOKS: KOTLER PHILIP MARKETIG MANAGEMENT NEW DELHI

PRENTICEHALL OF INDIA. KOTHARI C.R. RESEARCH METODOLOGY

SEARCH ENGINE : www.google.com www.yahoo.com

WEB SITE : www.amul.com

MAGAZINES : BUSINESS WORLD BUSINESS TODAY

PREOIDICAL: ECONOMIC TIMES TIMES OF INDIA(DELHI EDITION)

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