IPL _ A group 9_Final

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COOKING OIL INDUSTRY IN 1984 The total cooking oil industry was worth 50 lakh tons. Refined oil accounted for 2 % of this total. Bulk packs comprised of 4/5 th to 5/6 th of the total oil refined market. Remaining was in small packs. Trends -SPRO was stagnant or declining. -Increasing Brand Proliferation -Change in type of oil base used. -Change in nature of promises made to consumers.

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This is a case about IPL, Cooking industry!

Transcript of IPL _ A group 9_Final

Page 1: IPL _ A group 9_Final

COOKING OIL INDUSTRY IN 1984• The total cooking oil industry was worth 50 lakh

tons.• Refined oil accounted for 2 % of this total.• Bulk packs comprised of 4/5th to 5/6th of the total

oil refined market.Remaining was in small packs.

• Trends-SPRO was stagnant or declining.-Increasing Brand Proliferation

-Change in type of oil base used.-Change in nature of promises made to consumers.

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The Problem Definition

•Primary Problem : Difficulty in growing Market share due to Stagnant or Declining Market.▫Hence new brand feasibility is to be tested.

•Secondary Issues: ▫Emergence of New Oil Base▫Loose selling of oil▫Increasing Competition

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Marketing Problem converted to Research Problem and Needs identified ?•Yes! And needs for the same were identified.

•Marketing problem to launch new brand or not?

•Research Problem conversion and need identified:

▫Past preferences and trend taken into account.▫Benefits sought asked (Health and general

perspective).▫Purchase intentions questions asked in the survey.

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Phase I Review

• Secondary data used - for generation of 18 relevant attributes/benefits.

• Discussion with experts - to study those attributes/benefits of Corn as well as Sunflower oil. Deleted the irrelevant ones.

• Study of competitor’s attributes – attributes offered by current SPRO brands

• Appropriate benefits/attributes were then listed for developing concepts for two base oils.

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Phase II Review

• All possible concepts developed.

• Screening by Research team( Discussions with team and experts).

• Irrelevant/not important, Concepts were removed.

• Valid and relevant concepts, for each Corn and Sunflower oil were developed.

Concept 1: health benefits - Sunflower Oil. Concept 2: Money Saver- Sunflower oil. Concept 3: health benefits - Corn Oil. Concept 4: taste and fitness - Corn oil.

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• OBJECTIVE - TO ACESS THE OVERALL OPPORTUNITY IN THE SPRO MARKET.

• TYPE OF SAMPLING - CONVINIENCE SAMPLING(A TYPE OF NON PROBABILITY SAMPLING)

OBSERVATION ON SAMPLING AND SUGGESTIONS

Use of convenience sampling suggests cost saving techniques being employed by the research team. This cost saving, non probability sampling technique is less effective and cannot be used to infer the responses of the entire population.

The number of responses actually obtained hold less relevance.

Sample selection is independent of their income levels. Maintain uniformity in number of responses actually obtained across various communities, age and income group.

Include parameters like quantity of cooking oil being used daily.

Broadening the scope of research to entire cooking oil.

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EVALUATION OF QUESTIONNARE DESIGN• Filter questions used(Q1,2)• Adequate use of visual aids.• Sensitive questions at the end (Q14)• Q9a may not yield an informed answer ,in case

the respondent is unaware of any brands given.

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Suggestions

•Sampling Technique to be changed to Stratified Random Sampling Instead of Convenience Sampling

•Terminating the questionnaire at question 2:▫This could be extended to just one more

question “ List the Reason for not choosing Refined

Oils.” This can give more consumer insights.