Project Report on "Analysis of Buying Behavior Toward Hard Drinks"

8/8/2019 Project Report on "Analysis of Buying Behavior Toward Hard Drinks"

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ACKNOWLEDGEMENT

Some works are so typical that are impossible for a person to complete it

alone. Summer Internship Project is one of them. I would not be able to complete my work

without the help of my respected Company Guide, Faculty Guide, my college and workplace

colleagues and my family members. So it is my obligation to thank all of them.

I have had the honour of having been associated & working under the able & stimulating

guidance of Mr. Rakesh Dhawan (Head of Sales & Marketing) and Mr. Manoj Bhardwaj

(Area Sales Manager), MANAV BREWERIES Pvt. Ltd. for giving me an opportunity of

working and proving my worth in the corporate world.

I would like to thanks Ms. Rekha Saraswat Who not only played the role of my friend,

Philosopher and Guide at G.N.I.T. (Management Institute) but also mentored me at every stage

of my project work. I would like to extend my heartily thanks to entire Faculty of MBA

Department for their constant cooperation and support to take decision during the course of my

training. Indeed I shall remain ever grateful to them.

Also I would like to thanks the help and assistances rendered to me during the period of the

project by all those whose name could not be mentioned.

The experience I gained during this research report is of immense importance to me

academically and more so professionally. It helped me a lot in making a strong base in the field

of marketing.

And finally I would like to offer my heartiest prayer to the Goddes Gayatree, who has given me

mental and spiritual strength to complete this project work.

Indresh Kumar

MBA IIIrdSemester

Roll No.-0927270045

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PREFACE

Its a thing of massive gratification for me to present this project report on the topic Buying

behavior of distribution channel completed in an unrivaled organization.

I know that even this area in which I have a little knowledge, I do not know enough. There are

new task in these area for which tarn not yet equipped with tested, proven approaches and tools.

New area of challenge and new technology problems has arisen; where I have done some little

work so for and where I have so for only ignorance rather than even a modicum of knowledge.

This project attempts to identify and define areas related to consumer buying behavior of hard

drinks. By this project I attempt to know about preferences of consumers of different hard drinksbrands. By this practical training I am able to equip the manager with the understanding, the

thinking, the knowledge, and the skills for today and also for tomorrows market exigency.

Initially I was just having the bookish knowledge about all marketing policies, practices and

functions, but after joining this organization, I got most of practical knowledge. I have come to

know, what actually happens in the organizations.

Through it is not possible to have the information of all the spheres in the market, in such a very

short period , I tried to get more and more about all functions and practices applied in practical

working, I have particularly stresses on.

This project report has been painstakingly and thoroughly prepared to cover extensively various

facets both as well as the field of hard drinks.

Since customers are the most important asset of any organization, there is increased emphasis on

the need for understanding people in a manner to satisfy them through quality of service. This

project is intended for a wide audience. It will be useful to not only the student of management

and preference of consumers, but also the people in any other field and management practitioners

who want to understand and enrich their understanding of consumers preferences.

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CONTENTS

S. N. CONTENT PAGE No.

1. Acknowledgement 1

2. Preface 2

3. Executive Summary 5

4. Theoretical Framework 6-7

5. Introduction

Hard Drink

Process of Making Hard Drink

History of Hard Drink

Why Hard Drink better than Milk

Top 10 Reasons Hard drink is good for your Health

Other Distilleries

The Liquor Industry in India

Overview of Indian Hard Drink Market

Market Segmentation

Determinants of growth of Indian Hard drink Market

Future Growth

8

8-12

13-19

20-21

22-23

24-25

26

27-29

29-30

31

32-33

33-35

6. Review of the Literature

Buying Behavior and Types

Buying Process

Black Box Model

36

36-37

38-40

41

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7. Research Methodology 42-43

8. Data Collection Method 44

9. Objective and Scope of study 45-46

10. History and Company Profile

Company Profile

Product Profile

Competitors

47

47-58

59-60

61-68

11. Marketing Strategy 69

12. Formulation of marketing Strategy

Marketing Mix

Sales Promotion

Advertisement Method

Distribution Channel

Channel Oriented Behavior

Factor Influencing Marketing Strategy

Marketing Activity at MBPL

70

70-74

75

76

77

78

79-83

84

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13. Data Analysis and Interpretation

Top 10 Wholesaler in Haryana Hard Drink Market

85-104

97

14. Finding and Recommendation 105

15. SWOT Analysis of MBPL 106

16. Conclusion 107

17. Limitation 108

18. Bibliography 109

19. Annexure

Questionnaire111-114

EXECUTIVE SUMMARY

The objective of the project is to know the consumers preferences for hard drinks, to study theMarket potential of available brand of hard drinks and an introduction of Target hard drinkswhich is re launched in all over Haryana, and policy adopted by the company for advertisement,sales, promotion and marketing. The company MANAV BREWERIES has interests in varioussector and they provide consistent quality to meet requirement.

This report clearly mentions objective of the study and the research methodology utilized inwhich primary data. The data collection method used is structured questionnaire in which thetype of question used is multiple choices.

The report contains a detailed view of the tasks, which have been undertaken to analyze of harddrinks. Various sets of questionnaire have been prepared to know the preference of consumersabout the hard drinks. The research area is whole Haryana. The project reveals one of theimportant findings like more and more advertisement and to provide scheme of retailers toincrease the sale in retail outlets and to provide competitive price to wholesaler for success there-launch product.

A detailed survey of the wholesaler and retailer was carried to find out their preferences forHARD DRINKS. The details of the methodology are stated below.

Area is Haryana, research design Exploratory and descriptive, sources of information is primarydata. Data collection method structured non designed questionnaire.

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Types of questions used open ended and close ended. Sampling method is Random Sampling.

In this study I found that most of the wholesaler and retailer prefer to sale those brandwhich are more demanded by the customer and the most important thing retailer can sale anybrand in their outlets if company provide a better scheme.

THEORETICAL FRAMWORK

In the late 1820s Edward Dyer moved from England to set up the first brewery in India at

Kasauli (later incorporated as Dyer Breweries in 1855) in the Himalaya Mountains, near Shimla,

producing Asia's first hard drinks called Lion. The brewery was soon shifted to nearby Solan

(close to the British summer capital Shimla), as there was an abundant supply of fresh spring

water there. The Kasauli brewery site was converted to a distillery which Mohan Meakin Ltd.

still operates. Dyer set up more breweries at Shimla, Murree, Rawalpindi and Mandalay.

Indian Liquor and hard drinks industries share common characteristics arising form a

similar policy framework. Country liquor, Indian made Foreign Liquor (IMFL) and hard drinks

are state subject, with each state controlling the duty structure and distribution. Incidence of

import and export duties results in high cost of interstate movements which has resulted in eachstate having attributes of a separate market.

Hard drink is the world's oldest and most popular alcoholic beverage. Some of the

earliest known writings refer to the production and distribution of hard drinks. It is produced by

the fermentation of sugars derived from starch-based materialthe most common being malted

barley; however, wheat, corn, and rice are also widely used, usually in conjunction with barley.

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Hard drink is one of the world's oldest beverages, possibly dating back to the 6 th millennium BC,

and is recorded in the written history of ancient Egypt and Mesopotamia. The earliest Sumerian

writings contain references to hard drinks. A prayer to the goddess Ninkasi known as "The

Hymn to Ninkasi" serves as both a prayer as well as a method of remembering the recipe for

hard drinks in a culture with few literate people.

The main objective of this study is to find out the behavior of distribution channel

towards Bear Market. What is strategy adopted by the company to re-launch the product. The

design of research project is the plan that ties the data collected to questions or hypothesis posed,

thereby linking the data to the conclusions to be drawn. Marketing research projects are either

exploratory or conclusive in nature depending on the objectives. In this exploratory research has

been conducted in finding the extent of acceptance of newly launched Genius Prestige whisky,

its strengths and weakness through customers and retailers.

The industry's representations for removing hard drinks restrictions are

straight and simple: Hard drinks are only an agrifood. Arguing that it has neither fat nor

cholesterol the hard drinks manufacturers' body has told the government that an average bottle ofhard drinks gives four vital minerals and five important constituents of vitamin B and proteins.

Raw material for hard drinks is malt, the same as for health drinks Maltova and Horlicks.

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INTRODUCTION

Hard drink

Hard drinks are the world's oldest and most popular alcoholic beverage. Some of the earliest

known writings refer to the production and distribution of hard drinks. It is produced by the

fermentation of sugars derived from starch-based materialthe most common being malted

barley; however, wheat, corn, and rice are also widely used, usually in conjunction with barley.

The starch source is steeped in water. Enzymes in the malt

break down the starch molecules, producing a sugary liquid

known as worth, which is then flavored with hops, which

acts as a natural preservative. Other ingredients such as herbs

or fruit may be added. Yeast is then used to cause

fermentation, which produces alcohol and other waste

products from anaerobic respiration of the yeast as it

consumes the sugars. The process of hard drinks production

is called brewing.

Hard drinks use many varying ingredients, production methods and traditions. Different

types of yeast and production methods may be used to classify hard drinks as ale, lager or

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spontaneously fermented hard drinks. Some hard drinks writers and organizations differentiate

and categories hard drinks by various factors into hard drinks styles. Alcoholic beverages

fermented from non-starch sources such as grape juice (wine) or honey (mead), as well as

distilled beverages, is not classified as hard drinks.

Different Strokes of Hard drink:-

LAGER

Brewed using bottom-fermenting yeast that ferments slowly at a low temperature to create

smoother, mellow hard drinks

ALE

Uses top-fermenting yeast, is a more aromatic and fruity product

STOUT

Dark and heavy, with roasted unmated barley and, often, caramel malt or sugar.

MILD HARD DRINK

Developed as a sweeter and cheaper alternative to dark ales.

BITTER

Highly hopped for a more dry and aromatic hard drinks. It is pale in color but strong.

DARK HARD DRINK

Barley is kilned for a longer period of time which creates richer flavors.

FRUIT HARD DRINK

Fruit, usually berries, is added either during primary fermentation or later.

WHEAT HARD DRINK

(WEIZEN)

Malted wheat and barley are used for these German style hard drinks. A great many hard drinks

are brewed across the globe. Local traditions will give hard drinks different names, giving the

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impression of a multitude of different styles. However, the basics of brewing hard drinks are

shared across national and cultural boundaries.

Hard drinks are not a distillate like the drinks mentioned above but it is a beverage made by

fermentation of malt obtained from carbohydrate rich material barley. Hops are used to add

taste while yeast is used to ferment the hard drinks.

Hard drinks are not a distillate like the drinks mentioned above but it is a beverage made by

fermentation of malt obtained from carbohydrate rich material barley. Hops are used to add tastewhile yeast is used to ferment the hard drinks.

Hard drinks are two types:

1. Pilsner or Lager

2. Draught

Lager Hard drinks is the most common bottled Hard drinks found in

almost all the retail shops in the country. This Hard drinks is

served chilled and is of two types.

Mild hard drinks alcohol content of 6.75%.

Strong hard drinks alcohol content of 8.75%.

Draught Hard drinks is served chilled in mugs and is generally

available in Pubs only. It can be stored for 72 hours only

and does not have any brand name. Mohan Meakins

supports Draught Hard drinks.

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Lager Hard drinks is the most common bottled Hard drinks found in almost all the retail shops in

the country. This Hard drink is served chilled and is of two types. Mild hard drinks alcohol

contents of 6.75%, Strong hard drinks alcohol content of 8.75%.

A COMPLETE BRAND PROFILE OF MBPL IS AS UNDER

Strong Hard drink Segment:

Target Super Strong

Karma Super Strong

(Among strong hard drinks 8.25% two brands are available in market namely)

Mild Hard drink Segment:

Icon Premium Hard drink

(Among mild hard drinks 5.25% two brands are available in market namely)

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Hard drinks Alcohol Content Table

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Hard drink Type %ABV

Lager 4-5

Pilsner Lager 3-6

Wheat (Weiss bier) 4-5

Porter 4-5

Bitter (ESB) 3-7

IPA (India Pale Ale) 5-7

Stout 5-10

Double (Dubbel) 6.5-9

Tripel (Trippel, Triple) 7.5-9.5

Barley wine 8-12


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PROCESS OF MAKING HARD DRINK

INGREDIENTS:

The basic ingredients of hard drinks are water; fermentable starch source, such as malted barley;

and yeast. It is common for a flavoring to be added, the most popular being hops. A mixture of

starch sources my be used, with the secondary starch source, such as corn, rice and sugar, often

being termed an adjunct, especially when used as a lower cost substitute for malted barley.

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WATER:

Hard drinks are composed mostly of water, and water used to make hard drinks nearly always

comes from a local source. The mineral components of water are important to hard drinks

because minerals in the water influence the character of hard drinks made from it. Different

regions have water with different mineral components. As a result, different regions are better

suited to making certain types of hard drinks. For example, Dublin has hard water well-suited to

making stout, such as Guinness, and Pilzen has soft water well-suited to making pale lager, such

as Pilsner Urquell. As a result, it is argued that the mineral components of water have an

influence on the character of regional hard drinkss.

STARCH SOURCE:

The starch source in a hard drink provides the fermentable material in a hard drink and is a key

determinant to the character of the hard drinks. The most common starch source sued in hard

drinks is malted grain. Grain is malted by soaking it in water, allowing it to begin germination,

and then drying the partially germinated grain in a kiln. Malting grain produces enzymes that

convert starches in the grain into fermentable sugars. Different roasting times and temperatures

are used to produce difference flours of malt from the same grain. Darker malts will produce

darker hard drinks. Nearly all hard drinks include barley malt as the majority of the starch. This

is because of its fibrous husk, which is important in the sparing stage of brewing and high

concentration of amylase, a digestive enzyme which facilitates conversion of starch into sugars

other malted and unmated grains (including wheat, rice, oats and rye, and less frequently, cornand sorghum) may be used.

HOPS:

The flower of the hop vine is used as a flavoring and preservative agent in nearly all hard drinks

made today. The flowers themselves are often called hops. Hops were used in hard drinks by

Jews in Babylon around 400 BC, and by monastery breweries, such as Covey in Westphalia,

Germany, from AD 822, though the date normally given for widespread cultivation of hops for

use in hard drinks is the thirteenth century. Hops contain several characteristics that brewers

desire in hard drinks. Hops contribute a bitterness that

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Process of making hard drinks

balances the sweetness of the malt; hops also contribute floral, citrus and herbal aromas and

flavors to hard drinks; hops have an antibiotic effect that favors the activity of brewers yeast

over less desirable microorganisms; and the use of hops aids in head retention, the length of

time that a foamy head created by carbonation will last. The bitterness of hard drinks is measured

on the International Bitterness Units scale. Hard drink is the sole major commercial use of hopes.

In the past, other plants have been used for similar purposes; for instance, Glechoma hederacea

Combinations of various aromatic herbs, berries, and even ingredients like wormwood would be

combined into a mixture know as grit and used in the same way as hops are now used.

YEAST:

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Yeast is the microorganism that is responsible for fermentation in hard drinks. Yeast metabolizes

the sugars extracted from grains, which produces alcohol and carbon dioxide, and thereby turns

over into hard drinks. In addition to fermenting the hard drinks, yeast influences the character

and flavor. The dominant type of yeast used to make hard drinks are ale yeast (Saccharomyces

cerevisiae) and lager yeast (Saccharomyces uvarum); their use distinguisher ale and lager.

Brettanomyces ferments lambics, and Torulaspor delbrueckii ferments Bavarian weissbier.

Before the role of yeast in fermentation was understood, fermentation involved wild or airborne

yeast.

Malt mal l - first, the malt is brought to the malt mall, each type of hard drinks requires a

different types of combinations of malted grains. Fermentation- this is the next step in the

brewing of hard drinks. The temperature in fermentation is initially kept here for 2-3 weeks,

lagers are actually kept longer.

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THE WORK KATTLE WHIRLPOOL

WATTER COOLER

Filtration - after fermentation ,the next step in brewing, is filtration before the hard drinks is sent

to the serving tank where it is bottled Bottling-after filtration hard drinks is sent to the serving,

where it get bottled.

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Pasteurization - after the hard drinks is bottled, it is send for pasteurization; this is the last

process in the brewing of hard drinks.

Packaging-The hard drinks finally is ready for the market and it goes to packaging and labeling

house.

Packaging, as defined by Kotler and Keller, refers to all the activities of designing and

producing the container for a product. Though the primary purpose of packaging is to serve

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against damage during the movement of the product, it is no longer the only purpose that it

serves. Packaging, and not the product, is the first touch-point that the customer comes into

contact with. A substandard product within a unique packaging might be easier to sell as against

a superior product Packaged in a substandard pack. Superior packaging would not ensure repeat

sales though. Packaging is an effective tool to make the product distinguishable in the clutter.

Packaging, the fifth and final stage of the brewing process, prepares the hard drinks for

distribution and consumption. During packaging, hard drinks is put into the vessel from which it

will be served: a keg, cask, can or bottle. Hard drinks is carbonated in its package, either by

forcing carbon dioxide into the hard drinks or by "natural carbonation".

Recycle - the company is committed towards clean environment by using recycled corrugated

boxes, light weight bottles and using the spend grains from brewing process as high protein for

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live stock feed. Besides this the company is also involved in the various environment friendly

programs such as wild life foundation, preserve the environment, sane the forests.

HISTORY OF HARD DRINK

Among the alcoholic drinks, Hard drink is quite common and popular in almost every Country of

the World. People of different countries take hard drink in varying much like a soft drink in

European countries it is just a substitute of water. The alcoholic contents and main source stuff

also keep varying according to the tests of the major part of population of the particular country

although it is a fashion to ask for hard drink of every origin in every country. Formulations of

hard drink manufacturing are done with the view of availability of the raw materials in that

particular part of the World where the brewery is proposed to be established. In most of the parts

of the world, barley is universal source of hard drink extraction. But, hard drinks are

manufactured from Chamomile flowers and powdered gingers etc. as well. The manufacturingprocesses and quality control measure can make the hard drink nutrition, energy packed and

refreshing. Among all the alcoholic drinks hard drink has become so common. Hard drink in the

Western countries is the important constituent of daily food. The most important characteristic of

drink is to keep body warm and certain refresh mess throughout the body. Hard drink is the

dilute alcoholic product. Barley is extensively employed for manufacture of malt used in brewing

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and distilling of hard drink. If we categorize hard drink, we find four categories as fallows. 1.

Pale Hard drink Lagers, wheat Hard drink, Pale ales (Bitter Hard drink). 2. Dark Hard drink Dark

Lagers, Porter, Stout, Mils ales (Brown ale) 3. Strong Hard drinks Black Hard drink, Kafir Hard

drink, Iatric Hard drink. 4. Special Hard drink etc. All above categories are in General. A

particular manufacturer, uses, color and flavor of his choice. In handy bottles, it is sold in the

market. The hard drink shall be of the following two type Hard drink, strong Hard drink. Hard

drink is drunk primarily as a source of liquid and for its pleasant & refreshing taste, none the

less; its nutritional properties are of great importance. The calories content of hard drink is

significant but not special high. The calories are provided by the unfermented, residues and

alcohol. Alcohols also replace Carbohydrates, fats, proteins, so that there may be a gain in body

weight. Hard drink also contributes to mineral requirement of the body and supplies useful

quantities of Vitamin B complex. A special use of hard drink is for the control of sodium intake

in the treatment of disease e.g. congestive hearty failure, high blood pressure and certain kidney

and liver ailments. Hard drink is a popular beverage all over the world. Though an

alcoholic beverage hard drink is not considered a hot drink like rum or whiskey as it contains

alcohol ranging from only 8 to 9 percent. It is considered good for health in the sense that being

very less in alcoholic content, it is found effective in improving appetite. The market for harddrink in India was about 65 mn cases of 12 bottles each and is slated to touch 10 mn cases in

200506, a growth of 23% in a year. There is very good demand for hard drink industry. There is

very bright good scope for new investment. Any entrepreneur can enter in this field.

Hard drinks is one of the world's oldest beverages, possibly dating back to the 6th millennium

BC, and is recorded in the written history of ancient Egypt and Mesopotamia. The earliest

Sumerian writings contain references to hard drinks. A prayer to the goddess Ninkasi known as

"The Hymn to Ninkasi" serves as both a prayer as well as a method of remembering the recipe

for hard drinks in a culture with few literate people.

The earliest known chemical evidence of hard drinks dates to circa 35003100 BC from

the site of Godin Tepe in the Zagros Mountains of western Iran. As almost any substance

containing carbohydrates, namely sugar or starch, can naturally undergo fermentation, it is likely

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that hard drinks-like beverages were independently invented among various cultures throughout

the world. The invention of bread and hard drinks has been argued to be responsible for

humanity's ability to develop technology and build civilization.

As for the close link between bread- and hard drinks-making, women produced most

hard drinks prior to the introduction of hops in the thirteenth century, selling the beverage from

their homes as a means of supplementing the family income. However, by the 7th century AD

hard drinks was also being produced and sold by European monasteries. During the Industrial

Revolution, the production of hard drinks moved from artisanal manufacture to industrial

manufacture, and domestic manufacture ceased to be significant by the end of the 19th century.

The development of hydrometers and thermometers changed brewing by allowing the brewer

more control of the process, and greater knowledge of the results. Hard drinks were also known

by Slavic tribes in early 5th century.

Why Hard drink better than Milk

There is more protein in hard drinks than in milk. What's more, hard drinks have fewer calories

than apple juice, milk or cola and contain neither fat nor cholesterol. These claims have been

made by the All India Brewer's Association. The apex body representing 42 hard drinks

manufacturers has urged the food processing ministry to delink hard drinks from the status of

liquor and whisky, so that it can be advertised and marketed like any other product. They have

argued that liquor has an alcoholic content of 42.8% while hard drinks have only up to 7%. Hard

drink is battling to get the status of milk. The all India Brewer's Association (AIBA) has argued

in a memorandum to the government that a glass of hard drinks contains more protein than does

the same quantity of milk. Not just that. They have said that the calorie content in hard drinks is

lesser than that of a bottle of apple juice, milk or any cola. So do not club hard drinks with hardliquor in computing tax, argues the industry. "It has been given the status of a fast moving

consumer good (FMCG) that can be traded over the counter at any departmental store", says the

Vice-President and President of Shaw Wallace. "Hard drinks distribution has to be made open as

in Singapore." The industry's representation for removing hard drinks restrictions is straight and

simple: Hard drinks is only an agrifood. Arguing that it has neither fat nor cholesterol, the hard

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drink manufacturers' body has told the government that an average bottle of hard drinks gives

four vital minerals and five important constituents of vitamin B and proteins. Raw material for

hard drinks is malt, the same as for health drinks Maltova and Horlicks. In their representation

titled 'Indian Hard drinks Industry - Needs Policy Support'. AIBA has pitched hard drinks as a

"mild and healthy beverage", conforming to the tenets of "responsible" drinking. "Hard drinks

has to be taxed on the basis of alcoholic strength keeping levels on alcohol content as bench

mark", say many of the top manufacturer's. Duties and tax account for 40% of the hard drinks

cost in India while it is of the order of

20% in US, France and Germany. They have said that the cost of one liter of hard drinks taken as

percentage of daily income in the high selling states of Andhra, Karnataka and Maharashtra is

close to 28%. The comparable figures for US, France and Germany are less than 3%. And if

India attains this level of even 15% then the hard drinks should cost around Rs. 30 per liter

(Rs. 20 per bottle). "It is a highly capital intensive business. It is not feasible for the brewers to

sustain the current market pressure", says the top shots. "Brewing companies are increasingly

being declared sick", they add.

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Top 10 Reasons Hard drink is Good for your Health

Everyone is looking for a reason to drink hard drinks. Right? It turns out that a lot of people are.

So here are 10 great reasons to drink more hard drinks. Not only that, but they're all true. Hard

drinks really are good for your health, so drink up!

Hard drinks Reduces Stress

Alcohol in general has been shown to reduce stress. This one is obvious, and may be the best

reason hard drinks is good for your health.

Hard drink is good for the Heart

A study was conducted from 1982 - 1996 on the elderly. It was found that those who drank at

least 1.5 per day had a 20-50 percent less chance of having heart failure.

Hard drinks Improves Blood Circulation

Hard drinks increase your "good" cholesterol, or HDL (high density lipoprotein) cholesterol. Its

basically a kind of blood fat, so it reduces blood's tendency to clot.

Hard drinks is Chock Full o' Fiber

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The fiber comes from the cell walls of the malted barley. A liter of hard drinks can have as much

as 60% of your daily recommended fiber. The extra fiber will keep you regular and can also

lower the risk of heart disease.

Hard drinks as a Multi-vitamin

Hard drinks is a significant source of magnesium, selenium, potassium, phosphorus, biotin,

foliate, vitamin B6 and vitamin B12

Hard drinks can Prevent Strokes

A study published in Stroke magazine in 2001 showed that alcohol drinkers have fewer strokes.

Because it thins the blood, it increases the circulation in the brain, thereby protecting from silent

strokes which are cause by tiny blood clots.

Hard drinks keep your Brain Young

A large study, published in the December 2001 issue of Alcoholism: Clinical & Experimental

Research, was conducted on elderly Italian men and women. It showed that moderate drinkers

had a 40% lower risk of mental impairment.

Hard drinks is good for your Liver

Alcohol expands the small blood vessels in the liver. This speeds up metabolism so it can help

clean all the toxins out of the liver. This is from Hard drinks Net Publication, April 2001

Biological Institute.

Hard drinks Cures Insomnia

Lactoflavin and nicotinic acid, both present in hard drinks, can promote sleep. Also hops are a

natural sedative.

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Hard drinks Fends off Gallstones

According to Professor Oliver James at the University of Newcastle, hard drinks protects against

gallstones and kidney stones.

OTHER DISTILLERIES

1. WHISKY

Whisky is amongst the most popular distilled liquor known all over the world. It is made of malt

and molasses spirit, which is obtained by distillation of mash or cereal grains like maize, rice

barley malt. Better the malt better the whisky. Large quantities of IMFL are manufactured in

India and is the maximum sold alcohol. The content is whisky is 42.8%.

2. RUM

Rum is a distillate from the fermented juice of sugarcane of molasses. RUM is characterized with

its taste and aroma. Best rums are known to come from Jamaica, West Indies etc. The alcohol

content of Rum is 42.8%.

3. BRANDY

Brandy is generally obtained from fruits, thought the most commonly used fruit is grapes. The

best quality of brandy is cognac, which is made in France.

4. VODKA

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Vodka is a sprit resulting out of distillation at very high proof. This result in virtual NPN

existence of flavor in the resulting sprit, which is neutral even after dilution required for

palpability. The traditional source of making vodka has been potatoes.

5. GIN

It is sweetened or unsweetened grain spirit flavored with essential oil juniper berries and some

other product including angelica roots, orange peel, cardamom, bitter almonds give it a kick and

taste.

THE LIQUOR INDUSTRY IN INDIA

The alcohol industry is very important for the government. It generates an estimated Rs. 16,000

crore per annum in spite of the fact that the per capita consumption of liquor in India is the

lowest in the world. The total liquor industry is worth Rs. 2,000 crore. IMFL accounts for only a

third of the total liquor consumption in India. Most IMFLs are cheap and are priced below Rs.

200 per bottle. Alcohol sales proceeds account for 45% of the total revenue collection in thecountry. Whiskeyaccounts for 60% of the liquor sales while rum; brandy any vodka account for

17% 18% and 6% respectively. MNCs share is only 10% and they have been successful only in

the premium and super premium ranges. Post WTO the government may have opened India to

foreign distilleries, but the duty has been increased from 222% to 464-706%. This is due to the

fact that there is a 100% customs duty, 150% contravening duty, local taxes, distributors margin

and retailers margin and publicity charges. The cost is finally borne by the consumer. Through

the government claims that this is being done to protect the domestic liquor industry, the

domestic industry accounts for 99% of the market share. This protectionist policy could prove to

be counterproductive and lead to smuggling. As of now, only 45% of the sales are through legal

channels and only 25% of this is duty paid for. Within India itself, the policy of alcohol retail

differs form state to state. While some states like Maharashtra. Uttar Pradesh, and Tamil-Nadu

have a liberal policy, come states like Haryana and Andhra Pradesh have had very bitter

experience in trying to make these states dry and have eventually had to withdraw the policy.

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The Indian hard drinks industry has been witnessing steady growth of 10 - 17% per year

over the last ten years. The rate of growth has increased in recent years, with volumes passing

170m cases during the 2008- 2009 financial year. With the average age of the population on the

decrease and income levels on the increase, the popularity of hard drinks in the country continues

to rise.

In modern times, hard drinks began to be exported to India in the early days of the British

Empire the early 1700s. The first modern brewery in India was set up in Kasauli, in the

Himalaya Mountains, near Shimla, in the late 1820s by the Englishman Edward Dyer. The

Indian hard drinks industry has witnessed a big change during the last five years. The industry

was previously dominated by competition between the Vijay Mallya-controlled United

Breweries Group and the Manu Chabbria-controlled Shaw Wallace. The scenario changed,

however, with the entry of SABMiller in India. The international hard drinks giant started by

acquiring small breweries in the south but then completely changed the landscape with Modern

hard drinks brewing began for India in the early days of the British Empire the mid-1700s.

The demand for hard drinks in the hot climate of many parts of India by the British

administrators and the troops was so great that it led to the creation of a completely new style of

hard drinks by George Hodgson in his London brewery India Pale Ale also known as IPA.

IPA is strong, highly hopped ale designed to survive the five month ocean voyage to Indiawithout spoiling. India Pale Ale was shipped with every voyage for over a century and became

very popular in Britain and North America.

In the late 1820s Edward Dyer moved from England to set up the first brewery in India

at Kasauli (later incorporated as Dyer Breweries in 1855) in the Himalaya Mountains, near

Shimla, producing Asia's first hard drinks called Lion. The brewery was soon shifted to nearby

Solan (close to the British summer capital Shimla), as there was an abundant supply of fresh

spring water there. The Kasauli brewery site was converted to a distillery which Mohan Meakin

Ltd. still operates. Dyer set up more breweries at Shimla, Murree, Rawalpindi and Mandalay.

Another entrepreneur, H G Meakin, moved to India and bought the old Shimla and Solan

Breweries from Edward Dyer and added more at Ranikhet, Dalhousie, Chakrata, Darjeeling and

Kirkee. In 1937, when Burma was separated from India, the company was restructured with its

Indian assets as Dyer Meakin Breweries, a public company on the London Stock Exchange.

Following independence, in 1949 N.N. Mohan took over management of the company and the

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name was changed to Mohan Meakin Ltd. The company continues to produce hard drinks across

India to this day and Lion is still available in northern India. Lion was changed from an IPA to a

lager in the 1960s, when due to East European influence, most brewers in India switched from

brewing Ales to brewing lagers.

Today no brewer in India makes India Pale Ale. All Indian hard drinkss are either lagers

(5 % alcohol such as Australian lager) or strong lagers (8 % alcohol - such as the popular

MAX super strong hard drinks). International Breweries Pvt. Ltd. have recently announced an

intention to work with Mohan Meakin to produce and launch an India Pale Ale called Indian IPA

from India's first brewery at Solan. Kingfisher, Haywards, Kalyani Black Label, Soumitree,

Jaguar, Foster's, Castle Lager, Royal Challenge, Max, Kings and Belo are popular Indian hard

drinks brands.

In various parts of north-eastern India, traditional rice hard drinks is quite popular.

Several festivals feature this nutritious, quite intoxicating, drink as part of the celebrations. The

rice is fermented in vats that are sometimes buried underground. Elephants are known to attack

villages, with the primary agenda of drinking from these vats. Following one such raid in north-

eastern India, a police officer in Dumka was quoted in the press as saying: "Tribals who love ricehard drinks brew the liquor at home. Elephants too are fond of this hard drink. Often it is found

that, attracted by the strong smell of the liquor, wild elephants tear down the tribal houses where

the brew is stored."

Overview of Indian Hard drinks Market

Market Definition

The hard drinks market consists of ales, stouts & bitters, low/no alcohol hard drinks,

premium lager, specialty hard drinks and standard lager. The market is valued according to retail

selling price (RSP) and includes any applicable taxes. The Indian hard drinks market delivered

strong, stable growth over the last five years. Looking forward, this trend is expected to persist

through to 2011.

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The Indian hard drinks market generated total revenues of $874.2 million in 2006, this

representing a compound annual growth rate (CAGR) of 6.6% for the five-year period spanning

2002-2006. Standard lagers proved the most lucrative for the Indian hard drinks market in 2006,

generating total revenues of $760.3 million, equivalent to 87% of the market's overall value. The

performance of the market is forecast to follow a similar pattern, with an anticipated CAGR of

6.8% for the five-year period 2006- 2011 expected to drive the market to a value of $1,213

million by the end of 2011.

Industry BasicsAlcohol Market

1. Spirits Whisky, Rum (Dark, White) Vodka, Brandy, Gin, Ready to Drink (RTD)

2. Hard drinks Mild, Strong

3. Wine & Champaign Red Wine, White Wine, Champaign

4. Country Liquor

Location of consumption & Sale

ON PREMISE OFF PREMISE

Clubs Hyper Marts

Restaurants & Bar Super Marts

Permit Room Wine Shops

Modern on Trade (MOT): Pubs, Hard drinks Shoppe

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Market Segmentation I

Sales of standard lager form the most lucrative sector of the Indian hard drinks market, with an

87% share of the market's value. In addition, sales of premium lager generate a further 6.2% of

the market's revenues.

Category % Share

Standard lager 87.00%

Premium lager 6.20%

Ales, stouts & bitters 3.20%

Low/no alcohol 2.90%

Specialty hard drinks 0.70%

Total 100.0%

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Market Segmentation II

India accounts for 1.3% of the Manav breweries market by value. In comparison, Japan

generates 45.5% of the market's revenues

Geography % Share

Japan 45.50%

China 36.40%

South Korea 9.50%

Rest of Asia-Pacific 7.30%

India 1.30%

Total 100.0%

Determinants of growth of Indian Hard drink Market:-

The Indian hard drinks market has been growing rapidly over the last 10 years, due to the

positive impact of demographic trends and expected changes, like:

Rising income levels:

India is home to nearly one-sixth of the global population and is one of the most attractive

consumer markets in the world today. Various research studies have shown that a rise in the

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income levels has a direct positive effect on hard drinks consumption. The National Council for

Applied Economic Research (NCAER) projects India's 'very rich', 'consuming' and 'climbers'

classes to grow at a CAGR of 15 per cent, 10 per cent and 2 per cent respectively. With this

growth in income levels, Indian hard drinks consumption is expected to continue growing, at the

very minimum, at the growth rates witnessed in the last decade.

Changing age profile:

As a consequence of the high birth rates prevalent until the 1990s, a large proportion of the

Indian population is in the age group of 20-34 years. This age group is the most appropriate

target for hard drinks marketers. This population trend will give a further boost to the growth of

hard drinks consumption in India. Many global players are planning to enter the Indian hard

drinks sector and they realize that a partnership with a local player is important to establish a

successful presence in India in a short time frame.

Changing lifestyles:

A deep-seated traditional social aversion to alcohol consumption has been a traditional feature of

the Indian society. However, as urban consumers become more exposed to western lifestyles,

through overseas travel and the media, their attitude towards alcohol is relaxing. Social habits are

undergoing a transformation as mixed drinks are becoming more popular. The greatest evidence

of this trend is the increase in hard drinks consumption among women. With increasing

urbanization, this acceptance is only going to rise.

Reduction in hard drink prices:

The Indian consumer typically values an alcoholic beverage on the basis of its 'kick' factor versus

its price. The following two factors therefore, affect the market for hard drink. Firstly, as most

states do not have a differential tax structure based on the alcohol content, strong hard drink.

In India the future of hard drinks industry is very much optimistic because:

1. India has predominantly a warm/hot climate

2. The hard drinks-drinkers in the country are much younger than the average hard drinks drinker

elsewhere in the world. This makes them more likely to carry the brand with them for a lifetime.

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3. Also, as the target audience becomes younger, a light hard drink is expected to attract first-

time drinkers, since it is much milder than any of the other hard drinks in the country.

4. Increasing exposure to hard drinks and wine drinking, mainly due to media and consumer

mobility.

All these factors combined make the scenario very promising for hard drinks industry and are 'in

sync' with their strategy for India

FUTURE GROWTH:-

In India the future of hard drinks industry is very much optimistic because:

1. India has predominantly a warm/hot climate

2. The hard drinks-drinkers in the country are much younger than the average hard drinks-

drinker elsewhere in the world. This makes them more likely to carry the brand with them for a

lifetime.

3. Increasing exposure to hard drinks and wine drinking, mainly due to media and consumer

mobility.

All these factors combined make the scenario very promising for hard drinks industry and are 'in

sync' with their strategy for India.

UB (United Breweries Ltd.) is the market leader in the Indian hard drinks market with a 40%

market share. Its flagship Kingfisher brand alone commands 25% market share. The company

has however been focusing on strong hard drinks, which has driven growth. The company

introduced its strong hard drinks, Kingfisher Strong during the year 2000 in the selected market

of Maharashtra and Karnataka. The move came as a reactive move following increasing shift of

consumers towards strong hard drinks, a trend started by Shaw Wallace. While the overall

market grew marginally by 2%, the strong hard drinks market grew at 8-10% during the year at

the expense of lager hard drinks. The market is now skewed towards strong hard drinks with

more than 60% of the market being strong hard drinks market.

Hard drinks mix today is approximately 60 percent lager hard drinks and 40 percent

strong hard drinks. This ratio was very different 4 years ago. Over the last four years strong hard

drinks has been the fastest growing segment. This was completely usurped by Shaw Wallace. As

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of today while Shaw Wallace has approximately 28 to 30 percent of the strong hard drinks

market, UB already has achieved 14 to 15 percent of that strong hard drinks market and is

growing very fast. It launched Kingfisher Strong only in May of 2001. And once it is able to take

Kingfisher Strong national, it will try to match Shaw Wallace's market share over the next few

years. Apart from Kingfisher, and Foster's Hard drinks, the other brands in the Indian market are

Carling Black Label, Carlsberg, Tiger, Barons, Heineken, Budweiser, Corona, Dansberg,

Golden Eagle, Guru, Maharaja Premium Lager, Haake Beck, Haywards 2000 Hard drinks,

Haywards 5000, Haywards skol, Flying Horse Royal Lager, Taj Mahal, Hi-Five, Ice, Kingfisher

Diet, Kingfisher Strong, Kirin, KnockOut, Legend, London Diet, London Draft, London Pilsner,

Royal Challenge, San Miguel Lager, Sand Piper, Strohs and Zingaro. The major brands which

belong to large groups in the industry (apart from UB) are Shaw Wallace - Royal Challenge

Premium Lager, Haywards 2000 Premium Lager, Haywards 5000 Super Strong, Hi-Five and Lal

Toofan. South African Breweries India Ltd. - Knock-Out, Continental and Three Lions, a new

brand that was launched in the autumn of 2001 by SAB in Uttar Pradesh, Chandigarh and

Himachal Pradesh.

Other possible competition Radico Khaitan and hard drinks international

Interbrew has formed a joint venture to distribute Interbrew's Beck's brand of hard drinks in

India. The premium lager hard drinks segment in India will be targeted. Radico has also

announced the launch of its international division. A lot of new variants promise to gain

prominence, but mainly in niche urban segments. The sophisticated consumer who drinks hard

drinks for the experience and not to get drunk will lap up ice hard drinks or light hard drinks. In

urban centers, apart from first time users companies are also targeting women, who as 'the times

they are a changing, are entering the market for hard drinks. Essentially, women shy away from

hard drinks consumption because it is associated with calories, and has traditionally been a

buddy drink, associated with pot-bellied men sitting at bars and shooting darts.

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REVIEW OF THE LITERATURE

Definition of buying behavior:

Buying Behavior is the decision processes and acts of people involved in buying and using

products.

The aim of marketing is to meet and satisfy target customer needs and wants. The field of

Consumer behavior shows how individual, group and organizations select, buy, use and dispose

of goods, services, ideas or experience to satisfy their needs and desires.

To know consumer behavior and knowing customer is a complex thing. Ideology of customer is

that they may say one thing but do not another. They may behave in a certain way, influenced by

last minute change in their mind.

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Types of Buying Decision Behavior:

There are four types of consumer buying behavior as under:

1. Complex buying behavior

2. Reducing buying behavior

3. Habitual buying behavior

4. Variety securing buying behavior

High Involvement Low Involvement

Significance Difference

between Brands

Few Differences between

Brands

1. Complex buying behavior:

Complex buying behavior involves a three-step process. First, the buyer develops beliefs abouttheir product. Second, he or she develops attitude about their product. Third, he or she makes

thoughtful choice. Consumer engaged in complex buying behavior when they are highly in a

purchase and aware of significant differences among brands. This is usually the case when the

product is expensive. Example- Car, House, TV etc.

2. Reducing buying behavior:

After the purchase the customer might experience dissonance that stems from noticing features

or favorable things about other brands. So a marketer should provide supportive information

which buyer feels satisfied. Example- Paint, Cement etc.

3. Habitual buying behavior:

Many products are bought under condition of low involvement and the absence of significant

brands differences, Example- Detergent, Toothpaste, and Beer etc. Consumers have little

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Complex buying behavior Variety securing buying

behavior

Reducing buying behavior

.

Habitual buying behavior


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involvement in this product category. They go to the store and reach to the brand, if they keep

reaching for some brands; it is out of habit, not strong brand loyalty. There is good evidence that

consumer have low involvement with low cost frequently purchase product.

4. Variety securing buying behavior:

Some buying situations are characterized by low consumer involvement but significant brand

differences. Here consumers often do a lot of brands switching, e.g. cookies. The consumer has

some belief cookies, choose brands of cookies without much evaluation and evaluate the product

during consumption. But next time the consumer may reach for other brands out of wish for a

sake variety rather than dissatisfaction. Example- Biscuit, Snacks etc.

Purchasing of Hard drink is a habitual buying behavior.

BUYING PROCESS

Buyingprocess by which individuals search for, select, purchase, use, and dispose ofgoods and

services, in satisfaction of theirneeds and wants. See also consumer decision making

At the very beginning of strategizing, the market operations hard drinks manufactures should

perform in depth analysis of consumer behavior. This is one of most important factor as from this

analysis the target market for the hard drinks manufacturer should be cleared and as a

consequence, the market operations can be focused to the specific requirement of the consumers.

BUYING PROCESS

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Need Recognition

Purchase decision making process begins when a buyer becomes aware of anunsatisfied need or

problem. This is the vital stage in buying decision process, because without recognizing the need

or want, an individual would not seek to buy goods or service.

There are several situations that can cause problem recognition, these include:

Depletion of stock

Dissatisfaction with goods in stock

Environmental Changes

Change in Financial Situation

Marketer Initiated Activities

Information Search

After the consumer has recognized the need, he / she will try to find the means to solve that need.

First he will recall how he used to solve such kind of a problem in the past, this is called nominal

decision making. Secondly, a consumer will try to solve the problem by asking a friend or goes

to the market to seek advice for which product will best serve his need, this is called limited

decision making.

Sources of information include:

Personal sources

Commercial Sources

Public sources

Personal experience

Alternatives evaluation

Consumers evaluates criteria refer to various dimension; features, characteristics and benefits

that a consumer desires to solve a certain problem. Product features and its benefit is what

influence consumer to prefer that particular product. The consumer will decide which product to

buy from a set of alternative products depending on each unique feature that the product offers

and the benefit he / she can get out of that feature.

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Purchase Action

This stage involves selection of brand and the retail outlet to purchase such a product. Retail

outlet image and its location are important. Consumer usually prefers a nearby retail outlet for

minor shopping and they can willingly go to a far away store when they purchase items which

are of higher values and which involve higher sensitive purchase decision. After selecting where

to buy and what to buy, the consumer completes the final step of transaction by either cash or

credit.

Post-purchase Actions

Consumer favorable post-purchase evaluation leads to satisfaction. Satisfaction with the

purchase is basically a function of the initial performance level expectation and perceived

performance relative to those expectations. Consumer tends to evaluate their wisdom on the

purchase of that particular product. This can result to consumer experiencing post purchase

dissatisfaction. If the consumers perceived performance level is below expectation and fail to

meet satisfaction this will eventually cause dissatisfaction, and so the brand and/ or the outlet

will not be considered by the consumer in the future purchases. This might cause the consumer

to initiate complaint behavior and spread negative word-of-mouth concerning that particular

product.

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Black box model

ENVIRONMENTAL FACTORS BUYER'S BLACK BOXBUYER'S

RESPONSE

Marketing

Stimuli

Environmental

Stimuli

Buyer

CharacteristicsDecision Process

Product

Price

Place

Promotion

Economic

Technological

Political

Cultural

Demographic

Natural

Attitudes

Motivation

Perceptions

Personality

Lifestyle

Knowledge

Problem recognition

Information search

Alternative evaluation

Purchase decision

Post-purchase

behavior

Product choice

Brand choice

Dealer choice

Purchase timing

Purchase amount

The black box model shows the interaction of stimuli, consumer characteristics, decision process

and consumer responses. It can be distinguished between interpersonal stimuli (between people)

or intrapersonal stimuli (within people). The black box model is related to the black box theory

ofbehaviorism, where the focus is not set on the processes inside a consumer, but the relation

between the stimuli and the response of the consumer. The marketingstimuli are planned and

processed by the companies, whereas the environmental stimulus is given by social factors,

based on the economical, political and cultural circumstances of a society. The buyers black box

contains the buyer characteristics and the decision process, which determines the buyers

response.

RESEARCH METHODOLOGY

It would be difficult to comprehend the nature and scope of research without an appreciation of

method we designate as scientific. Research in common parlance refers to a search for

knowledge. In fact research is an art of scientific investigation. One can also define research as

ascientific and systematic search for pertinentinformation on a topic. The role of research in

several fields whether related to business, economy or science has greatly increased in modern

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times. The increasingly complex nature of business and government has focused attention on the

use of research in solving operational problems. Research provides the basis for nearly all

government policies in our economic system and has its special significance in planning the

business and industry.

In todays modern world, where the mantra has shifted from customer satisfaction to customer

delight, it has become very important to know the tastes and preferences of the customers.

Keeping the above view in mind, I thought of carrying out a research on Consumer Behavior

with reference to the upcoming Retail shops in Gurgaon and to find out the viability of the Retail

shops in Gurgaon particularly the Gentry that would visit the retail shop and the facilities that are

important for one to visit the Retail shop. In the hindsight I also wanted to know about what kind

of products and brands would they prefer to buy from the Retail shop. In order to meet the above

objective the following research plan was used.

DATA COLLECTION SOURCES

Gathering the data from primary as well as secondary sources has completed the data collection

process.

PRIMARY SOURCES

Primary data collection process was carried out by personally interviewing the targeted

distribution channel (Wholesaler & retailers).

SECONDARY SOURCESThe collection of secondary data on liquor is a very tedious. However, secondary data are

collected through following sources.

Annual report

Files/ document

Manual of the organization

Books & Project reports

EXTERNAL SOURCES

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Business Magazines (Business Today, Business India, Business World and A&M) Newspapers

(Economics Times, Business Standard, Business Line, Financial Express. The Observer of

Business and Politics, the Pioneer). Excise department

For this research we have gone through three stages that are.

(1) Preliminary research

(2) Exploratory research

(3) Conclusive stage

In preliminary stage we define the problem clearly and identified relevant variables that are

related to the problem and brought together these variables and designed the questionnaire

regarding customers profile segment target and positioning strategy for detergents.

In exploratory stage, we made a precise investigation for discovering new ideas and gaining

deep inside in to the problem.

In later stage that is the conclusive stage, we draw out certain conclusion regarding the problem.

Here the research design selected is exploratory research design. Exploratory research design is

applied here to know about all the kith and kin about the problem.

DATA COLLECTION METHOD

Data collection has been done through a very useful & popular survey method. The survey was

conducted through personal interviews to record the consumers perception, attitude towardshard drinks.

To understand each individual response, the personal interview method is better than other

methods like telephonic interviews, mailing questionnaire etc. Because this method gives the

researcher enough flexibility to ask any other question which is relevant for research.

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DATA COLLECTION INSTRUMENT:

The survey method was used for the research; the personal interviewswere conducted with the

help of a structured questionnaire.

SAMPLING PLAN :

Type of sampling: - Probability

Total sample size: - 26 wholesaler, 500 retailers

Sample Area: - Haryana

Sample unit: - Wholesaler, Retailers

Sample collection technique: - survey Method, Personal interview.

Sample collection Duration: - 45 days

Sampling Procedure: - Convenient sampling

OBJECTIVES AND SCOPE OF THE STUDY

OBJECTIVES OF THE STUDY:-

Main Objective

The primary objective of this study is to find out the behavior of distribution channel

towards Bear Market.

To know the effectiveness of strategy adopted by the company to re-launch the products.

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Sub Objective

To study consumers brand preference of hard drinks in Haryana.

To study the factors affecting buying behavior of hard drinks.

To study best ways of product promotion.

To know the market leader brand.

To know the consumption pattern of hard drinks in different district.

What are the various schemes and strategies used by competitors to capture market

To assess the brand awareness of the JHV Group in the hard drink Segment.

SCOPE OF THE STUDY:-

With increasing competition, wholesaler strives to ensure that their stores are appealing to their

target markets. As wholesaler is finding it increasingly difficult to create a differential advantage

on the basis of brands alone, the store itself plays an important role for market differentiation.

Completion of the project could help marketing term to develop marketing strategy as per the

market condition and demand. Also it will help to understand the current market scenario and

essence of marketing in stiff competition and this present scenario of customer acquisition and

retention. Being a student of management we can draw the relevant conclusion from the market

survey and give the appropriate suggestion to the organization.

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The company can take decision according to the suggestion and it will provide better experience

to the student for their bright career.

The scopes of my study are:-

To identify prospective market for the company.

To understand customer perception about the product and experience from the company.

To identify the target market of the company.

To carry out competitors analysis.

To make recommendation to the company to increase sales and enhance brand image.

HISTORY & COMPANY PROFILE

COMPANY PROFILE

ABOUT COMPANY

Type: - Breweries, Hotel, Sugar mill, Distillery

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Owner: - Mr. Jawahar Lal Jaiswal

Founded: - In Chennai, Bifurcated fromIndian Express and renamed 1999

Headquarters: -New Delhi

Regd. Office:

14 Community Center,

New Friends Colony,

New Delhi

Telfax: (011) 41628299, 41628205

21 years ago it was a dream that twinkled in the eyes of Mr. Jawaharlal Lal Jaiswal, 21 years

later it is a multi crore reality. A dream that was embraced and nurtured under an able leadership,

a reality that has set benchmarks as christened the JHV group.

It is today's reality with a turn over of $ 120 million. JHV Group various businesses

include Hotel, Construction, Sugar, Brewery and Distillery.

Manav breweries that began over a century and a half ago continue on its path of service to the

world with dedication, courage and an unflinching commitment to quality. Over the years the

Company has embraced modernity and adapted to changing times. Yet, its basic values remain

the same-integrity, Craftsmanship, and tradition from Manav breweries Pvt. Ltd. where the

sanctity of ancient culture, technological development and craving for quality are artfully

blended into the products.

Backed with 25 years of experience in executing country liquor and foreign

liquor contracts for districts of Uttar Pradesh, Madhya Pradesh, Haryana and Rajasthan, the

group is very conversant with the intricacies of the liquor trade and hence decided to build hard

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The Company has setup a brewery in Ghaziabad; Uttar Pradesh called Manav Breweries Pvt.

Ltd. It is a modern and a fully automated brewery with a capacity of 18,000 Bottles/Day.

Manav Breweries employ state of the art machineries and latest techniques in its production

facilities to offer premium quality hard drinks to its customers. The company has successfully

completed its trial production in June, 2003. The finished product of the company has been very

well accepted in the market. Good amount of capital has been invested by the team of Manav

Breweries for value addition and quality in making a Premium and Strong hard drinks to

compete with international brands. This is well achieved with the best of imported laboratory

equipments backed by the best R&D at Manav Breweries

The company to operate in India has divided it into 4 zones each:-

Zone covering some states:-

Zone1: Jammu & Kashmir, Punjab

Zone2: Himachal Pradesh, Haryana, Uttarakhand

Zone3: Chandigarh, Delhi, CSD

Zone 4: Jharkhand, Bihar, Orissa, West Bengal, etc

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JHV Hotels, offer the comfort of your home while you are

on the move.

JHV Construction Company (P) Ltd., is building residential

complexes, cineplexes, shoping malls etc.

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JHV ventured into sugar production and set up a mill in

village Gadaura,

Distt. Maharajganj, Uttar Pradesh.

Backed with 25 years of experience, the group is very

conversant with the intricacies of the liquor trade.

M/s. Welcome Distillery Private Limited is running a distillery with a capacity to manufacture 60 KL/ day of R.S (Rectified

Spirit) and 25 KL/ day of E.N.A (Extra Neutral Alcohol) in Bilaspur situated in M.P. & nb sp;

Hotels

JHV is one of the leading hospitality companies in India. Starting the hospitality business, JHV

Hotels, offer the comfort of your home while you are on the move. The group has over 750

luxury rooms spread across three star to five star hotels in India.

As the JHV Hotels continue to grow, our vision is centered to provide serenity and efficiency

with special services for the guests, the chief mission being to create loyal and satisfied

customers because of our quality and value offerings.

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Construction

JHV Construction Company (P) Ltd., which has interest in real estate business, is building

residential complexes, Cineplexs, shopping malls etc. It is JHV's constant endeavor to provide

its customers safety and satisfaction.

Sugar mills

JHV ventured into sugar production and set up a mill in village Gadaura, Distt. Maharajganj,

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Uttar Pradesh. This mill has a crushing capacity of 5000 TCD. A profitable business venture

shows a lot of promise and the group is in talks to take the venture further.

Brewery

Backed with 25 years of experience in executing country liquor and foreign liquor contracts for

districts of Uttar Pradesh, Madhya Pradesh, Haryana and Rajasthan, the group is very conversant

with the intricacies of the liquor trade and hence decided to build hard drinks brands.

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The Company has setup a brewery in Ghaziabad; Uttar Pradesh called Manav Breweries Pvt.Ltd.

It is a modern and a fully automated brewery with a capacity of 18,000 Bottles/Day. Manav

Breweries employ state of the art machineries and latest techniques in its production facilities to

offer premium quality hard drinks to its customers. The company has successfully completed its

trial production in June, 2003. The finished product of the company has been very well accepted

in the market.

Good amount of capital has been invested by the team of Manav Breweries for value addition

and quality in making a Premium and Strong hard drinks to compete with international brands.

This is well achieved with the best of imported laboratory equipments backed by the best R&D

at Manav Breweries.

Distillery

On a new high - With high spirits JHV spread its wings into the alcohol market. JHV group has

major stakes in liquor contract in India. M/s. Welcome Distillery Private Limited is running a

distillery with a capacity to manufacture 60 KL/ day of R.S (Rectified Spirit) and 25 KL/ day of

E.N.A (Extra Neutral Alcohol) in Bilaspur situated in M.P. The company has successfully

completed its trial production in Feb, 2003.

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PARENT UNIT OF MANAV BREWERIES

BREWERY PVT. LTD.

The registered office of Manav breweries Private Limited is situated at in different states.

Chirag International, Gurgaon

Manav Breweries Pvt. Ltd., New Delhi

Manav Breweries SPIRIT BOTTLING & MANUFACTURING PLANT IN

GHAZIABAD.

(TAI-UP WITH UB GROUP IN U.P.)

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Ghaziabad-based Manav Breweries Pvt. Ltd., one of the divisions of the $120 million JHV

Group, is planning to strengthen its marketing network in the northern region.

According to Amit Jaiswal, director of Manav Breweries, though the companys products were

available in over 14 states, Uttar Pradesh and Delhi accounted for over 56 per cent and 14 per

cent, respectively, of the sales. The company sells its hard drinks under the brand names Ikon

and Karma premium lager hard drinks (in the mild segment) and Target (in the strong segment).

We are looking at strengthening our presence in the northern states like Punjab, Haryana,

Rajasthan, Himachal Pradesh, Uttaranchal and Jammu and Kashmir, Jaiswal said.

The company recently bagged the contract to supply hard drinks to the armed forces through the

CSD (Canteen supply department). The company, which exports Karma, premium lager hard

drinks, to the US and Australia, is planning to tap other markets as well.

The company is set to bag big orders from the UK, Canada, Japan and hard drinks-consuming

countries in the European Union as Manav products have been well accepted, Jaiswal said.

Though we have a 300,000-cases-a-month production capacity at our Ghaziabad plant, set up

two years ago, we are exploring the possibility of setting up new units. But that depends on the

market demand, he said. In the next five years, the company aimed at a production capacity of

5 million cases a month, he added.

The company uses 60 per cent production capacity during April-June, considered to be a season

for hard drinks sales, and the rest of the year 40-42 per cent capacity is utilized.

The JHV Group, headed by Jawaharlal Jaiswal, has set up a 5,000 TCD (tone crushed per day)

sugar mill at Gadaura in the Maharajganj district of Uttar Pradesh. It has taken over two non-

functioning sugar units in Padrauna in Uttar Pradesh and Mehrora in the Chhapra district of

Bihar. The company aims at revamping these units to increase production capacity.

In keeping with its north focus, the JHV group, which has over 750 luxury rooms spread across

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three-star to five-star hotels in the country, has entered into a pact with the Cendent Hotels to

open a five-star property at Varanasi in UP. The hotel is likely to be inaugurated in January

2006.

Manav Breweries has proved to be one of the most successful operations, as the company has

managed to build great brands in a short span of time and has also gone ahead to get exportorders, said senior Jaiswal.

HAPPY HOURS

The Ghaziabad-based company is one of the divisions of $120 mn JHV Group

It sells hard drinks under the brand names Ikon, Karma and Target

Its products are available in over 14 states, but UP, Delhi account for most of its sales

Now it wants to boost sales in Punjab, Haryana, Rajasthan, HP, Uttaranchal, J&K

About company achievement

JHV Sugar acquires 2 Sugar Units

IKON gets a life time registration for supply in CSD

Manav exports KARMA(lager hard drinks) to Australia and U.S.

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PRODUCT PROFILE

MANAV BREWRIES industries Ltd. incorporated on 21th February. 2002-2003 Two new

brands were launched mild and strong segments by the name of:-TRAGET SUPER STRONG

HARD DRINKS & ICON PRIMIUM HARD DRINKS (mild).

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TARGET Super strong hard drinks reached a landmark in the country by achieving sales of 1.5

million doz. The brand becomes benchmark for other super strong hard drinks in the country by

setting higher standard of quality and excellent packaging through out the country.

Group achieved a land mark by selling 3.5 million doz. In over 18 states in the country

in the country in the year 2005.as part of diversification plans, the group has decided to set up

resorts having facilities of 30 rooms motels, a pub, hard drinks garden, fast food restaurant,

health care, and recreational facilities.

Manav breweries entered into the USA & AUSTRELIA market, for sailing there brands

KARMA SUPER STRONG HARD DRINKS.

In the year 2010 as part of expansion plans for IMFL, the company has received a letter of intent

from Government of Haryana, distillery for producing potable alcohol for its own IMFL brands

to be introduced shortly. Presently Mr. Rajiv Bali is working as managing directing of MBPL

(Bankerpur): Manav Breweries Ltd (MSBL), the makers of Golden Peacock and Target hard

drinks brands, is now brewing a multi-pronged marketing strategy to reintroduce the American

hard drinks brand Stroh in the Rs 1,500-crore domestic hard drinks market.

A study conducted by the Haryana-based market research agency M&M in March 1999 in

the markets of North-East, North and West India, revealed that 78 per cent of the 4,000

respondents were aware of the Stroh brand and regarded it as a premium hard drinks. The

findings have now spurred Manav Breweries into quickly activating the Stroh brand--with an

integrated marketing plan. Says MBPL head of Sales & Marketing, Mr. Rakesh Dhawan : had

we given a longer gap the brand would have suffered.''

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M.B.P.L. now plans to launch new Mild and Strong Stroh hard drinks between mid-June and

September in a phased manner: beginning with Haryana and progressing to2011-2012.

The market of Chandigarh, Punjab, West Bengal, and Haryana in the second phase, it will roll

out the hard drinks in Delhi, Bihar, Daman, Orissa, Madhya Pradesh and the North-East states.

COMPETITORS

Todays world is the competition. In every filed there is competition and the success of any

company or product largely depends upon competition. Competition provides a good quality of

product to the customer. If a company has to survive in the market, then it has to face throughoutcompetition. In liquor industry too the competition is there. The increasing awareness and

exposure to hard drinks among consumers and the removal of quantitative restrictions gives big

boost to the hard drinks industry. It saw the emergence of new companies like future wine and

spirit brand (P) Ltd (FWSB), set up recently by two Non-Resident Indians (NRIs) from USA.

HARD DRINKS consumption in the country increased 7-9 % per year.

Competitors name and profile of Target hard drinks:-

1. SABMILLER INDIA

2. UNITED BREWERIES LTD.

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3. COBRA HARD DRINKS

4. CARLSBERG

5. BUDWEISER

1. SABMiller India

SABMiller India is a wholly owned subsidiary of SABMiller plc, the second largest hard drinks

Company in the world over a hundred years of heritage. SABMiller India sojourn began in 2000

and in just a few years, its has cornered nearly on third of the India hard drinks market with

brands such as Haywards 5000. Haywards 2000, Haywards Black, Knock Out, Royal Challenge.

Castle Lager and Fosters. Based on consumer insights, SABMiller India has taken innovative

measures to fill up the packaging, pricing, occasion and product gaps. Expertise on a global level

has come in use to create many firsts in India including the use of one-way bottles, flash

pasteurization, establishing draught standard, and now Haywards Black-a genuine stout hard

drinks with 10 world-class breweries strategically located across India.

SABMiller is well positioned to easily access and

efficiently service the hard drinks markets. The Companys

to India and ethos of quality is reflected in the fact that it

invested over Rs. 125 crore in the last two years to upgrade

breweries in line with global standards. SABMiller is a

market facing and brand led organization that continuously

refreshes itself in pursuit of its mission of owning and

nurturing local and international hard drinks brands which

are the first choice of the consumer. The company invests

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in bottles, which are returnable in nature are accounted for

as fixed assets in its books. The company pays to its

customers/agents for returning the empty bottles at the

prevailing market prices. The company urges its

customer/agents to return the empty bottles to the company

for which the company will reimburse them at prevailing

market prices.

The Mohan Meakins Ltd. & their main Products are:

SAB Miller

Haywards 5000

Haywards 2000

Haywards Black

Royal Challenge

Knock out

Castle lager

Foster

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2. UNITED BREWERIES LTD.

The UB group commenced its brewing operations as early as the 19 th cen

Project Report on "Analysis of Buying Behavior Toward Hard Drinks"

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Transcript of Project Report on "Analysis of Buying Behavior Toward Hard Drinks"