Synopsis

6
SYNOPSIS 1. Title 2. Small introduction of title 3. Rationale of conducting 4. Scope of study or utility 5. Research design 6. Objectives 3 7. Hypothesis and testi ng 8. Universe 9. Sample size 10. Sampling methodology 11. Tools data collection 12. Analysis plan

description

synopsis

Transcript of Synopsis

SYNOPSIS1. Title2. Small introduction of title3. Rationale of conducting4. Scope of study or utility5. Research design6. Objectives 37. Hypothesis and testi ng8. Universe9. Sample size10. Sampling methodology11. Tools data collection12. Analysis plan

SUGGESTIONHUL directly reaches more than 55 lakh outlets, while companies such as Colgate-Palmolive cover more than 35 lakh outlets, said a senior executive at a leading food and grocery retail chain."In comparison, ITC needs to further expand direct penetration beyond 20 lakh outlets to compete effectively," he added, requesting anonymity.ITC needs to make its supply chain system robust so that there is no stock-out situation at the store when the consumer visits, which then can be disastrous,"Most of the FMCG companies that have taken a top-down approach have failed because they take the same premium brand into the mass market with little difference in business plansITC needs to segregate its product strategy, pricing mechanism, advertising and branding, distribution and even packaging to garner faster market share."ITC soaps up premium segment for growthThe Hindu Business Line-28 Nov 2013Going premium in times of a slowdown in a saturated category like soap seems to have worked for ITC. The company made a relatively late entry into the soaps category in 2008, but it is the premium soaps portfolio which is growing faster than the mass offerings in its personal care portfolio.SandeepKaul, Chief Executive, Personal Care Products, ITC, said, Today, our premium brand of Fiama Di Wills gel bars is the fastest growing brand in portfolio while mass brands such as Vivel and Superia continue to be the largest selling. Our belief is that there has to be design and product development during times of a slowdown backed by the right technology. Scientists at ITCs innovation centre have been working towards creating products which are different from the regular offerings in penetrated categories like soaps. Considering the slowdown in GDP growth has hit the FMCG category as well, premium brands seem to have benefited more than the mass offerings in ITCs portfolio.Slow GDP growth has affected the FMCG industry. However, it has been the best year for Fiama Di Wills gel bathing bars. Getting bath gel in the form of soap bar has worked and this has been a clear differentiator in the almost 100-year-old soaps category, added Kaul.Industry observers also say that the premium end of the FMCG category has been relatively less impacted. VikasDaga , Partner McKinsey & Company, said, While for most premium brands there is scope for growth, in the case of ITC, it is about having a differentiated value proposition which has worked for them in competitive categories like soaps.Moreover, for most premium brands the gap between spends and earnings is not that much, making it a better proposition during times of a slowdown when spends on any brand are being slashed.Targeted advertising by ITC has helped its brands. We believe in having dialogue with the consumers instead of having one way marketing with them. In such cases it is dialogue through the digital media and social media which has helped us in creating brands, he said.ITC is planning a quantum jump in volumes and image of its soaps portfolio. It is catering to the aspirations of Indian consumer. Despite being present just a couple of years in the FMCG business, it is giving stiff competition of some of the big FMCG players, said Jagdeep Kapoor, MD, Samsika Marketing Consultants.In line with ITC's aspiration to be India's premier FMCG company, recognised for its world-class quality and enduring consumer trust, ITC forayed into the Personal Care business in July 2005. In the short period since its entry, ITC has already launched an array of brands, each of which offers a unique and superior value proposition to discerning consumers. Anchored on extensive consumer research and product development, ITC's personal care portfolio brings world-class products with clearly differentiated benefits to quality-seeking consumers.ITC's Personal Care portfolio under the 'Essenza Di Wills', 'Fiama Di Wills', 'Vivel', "Engage" and 'Superia' brands has received encouraging consumer response and is being progressively extended nationally.ITC's state-of-the-art manufacturing facility meets stringent requirements of hygiene and benchmarked manufacturing practices. Contemporary technology and the latest manufacturing processes have combined to produce distinctly superior products which rank high on quality and consumer appeal.Extensive insights gained by ITC through its numerous consumer engagements have provided the platform for its R&D and Product Development teams to develop superior, differentiated products that meet the consumer's stated and innate needs. The product formulations use internationally recognised safe ingredients, subjected to the highest standards of safety and performance.

FMCG companies such as Cadbury, Hindustan Unilever, ITC, Procter & Gamble andHeinzhave launched discounts ranging anywhere between 10% and 70% on high-value items in the past two weeks as they try to push premium products amid slowing demand.

SO FAR, SO GOODITC entered the food business in 2001 with premium ready-to-eat brand 'Kitchens of India' and in 2003 launched the 'Aashirvaad' range of ready meals at a price range of 35-50.Again in 2005, it entered the personal care market with super-premium brand 'Essenza Di Wills' in perfumes, bath and body care. This was followed by premium brand 'Fiama Di Wills', mid-market segment 'Vivel' and 'Vivel Di Wills' and eventually mass-market 'Superia' range of soaps and shampoos in 2007.ITC's non-cigarette FMCG business grew almost 25% during April-December 2010 to 3,168 crore. It has yet to release its full-year results.A recent report by HDFC Securities estimates that ITC has around 6% market share in soaps and 3% in shampoo. According to Euromonitor International estimates, provided by Angel Broking, Godrej, Wipro and Reckitt Benckiser have around 8-10% share each in the shower and bath segment dominated by Hindustan Unilever with more than half the market share. ITC's progress is impressive because it has been in the business only for the last 3-4 years."The personal care business may be pulling down overall profitability of ITC, but it is actually not doing too badly either," says Chitrangda Kapur of Angel Broking.

Competitive Analysis of Toilet Soap IndustryMarket SegmentationSize (In Lakh Tonnes)0.82.21.31PremiumPopularEconomyDiscount

Soaps are also categorized into men's soaps, ladies' soaps and common soaps. Thereare a few specialty soaps as transparent Glycerine soaps, sandal soaps, speciallyflavored soaps, medicated soaps and baby soaps. Specialty soaps are high valuedbut enjoy only a small share of the market in value terms.The market is growing at 7% a year. This means that the incremental demandgeneration is 5% over and above the population growth. With increasing awarenessof hygienic standards, the market could grow at a rate higher than 8% annually.Interestingly, 60% of the market is now sourced from the rural sector. This meansthat the variance between the two segments is not very large. Since upper-endmarket focus is the urban areas, margins come from the urban sector.Factors affecting buying behaviourPrice is the most important factor which effects the buying behavior of consumer,by which a consumer goes for the various segment of soap like premium, popular,sub-popular and carbolic which are basically decided by the cost factor and fatcontent in the soap.The buying frequency is either monthly that is done by the families or in case ofbachelors it is more than once in a month. The occasions when premium soaps are