1
STUDY OF RETAILERS PREFERENCE TOWARDS
ITC CANDYMAN AND CANDICO CANDIES
SUBMITTED TO:
PUNJAB TECHNICAL UNIVERSITY, JALANDHAR
IN PARTIAL FULFILMENT OF THE
REQUIREMENT FOR THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION
BATCH (2007-2009)
GUIDE: SUBMITTED BY:
Mr. Girish Nima SHAH FAISAL
ENROLEMENT No. 7116223117
RIMT-Institute of Management & Computer Technology, Mandi
Gobindgarh
INDEXContents Page no.
Certificate
Acknowledgement 5
Preface 6
Declaration 7
Chapter I:-
ITC Candyman Profile 9-12
Candico Profile 13-15
Chapter II:-
Objective of the study 17
Scope of the study 18
Research Methodology 19-20
Limitations of the study 21
Chapter III:-
Data Analysis & Interpretation 22-45
Chapter IV:-
Findings 47
Swot Analysis 48-50
Suggestions 51
Conclusions 52
Chapter V:-
Annexure 53
Chapter VI:-
Bibliography 59
LIST OF TABLES
TABLE
NUMBER
TITLE PAGE
NUMBER
1 Sale Of The Candies 23
2 Brand Preferences 24
3 Purchase Of ITC Candyman Candies 25
4 Purchase Of Candico Candies 26
5 Overall Purchase Of Candies 27
6 Preference Of Sub-brands Of ITC Candyman Candies 28
7 Preference Of Sub-brands Of Candico Candies 29
8 Influencing Factors During Purchase Of Candies 30
9 Influencing Factors During Purchase Of ITC Candyman
Candies
31
10 Influencing Factors During Purchase Of Candico Candies 32
11 Factors Giving More Satisfaction To The Retailers 33
12 Factors Giving More Satisfaction To The Retailers in ITC
Candyman Candies
34
13 Factors Giving More Satisfaction To The Retailers In Candico
Candies
35
14 Form Preferences 36
15 Pack Of Candies Preferred 37
16 Promotional Offers 38
17 Factors Affecting Purchase 39
20 Media Of Advertisement 40
21 Frequency Of Consumption 41
22 Reasonable Price 42
23 Consumer’s Brand Loyalty 43
24 Reaction Of Customers If New Brand Is Introduced 44
LIST OF GRAPHS
2
GRAPH
NUMBER
TITLE PAGE
NUMBER
1 Liking For The Chocolate 23
2 Brand Preference 24
3 Purchase Of ITC Candyman Candies 25
4 Purchase Of Candico Candies 26
5 Overall Purchase Of Candies 27
6 Form Preferences 36
7 Pack Of Candies Preferred 37
8 Promotional Offers 38
9 Factors Affecting Purchase 39
10 Media Of Advertisement 40
11 Frequency Of Consumption 41
12 Reasonable Price 42
13 Retailer’s Brand Loyalty 43
14 Reaction Of Retailers If New Brand Is Introduced 44
ACKNOWLEDGEMENT
3
First of all I would like to thank the Management at ITC ltd. for giving me the
opportunity to do my one and half-month project training in their esteemed organization.
I am highly obliged to my project guide Mr. Girish Nima for granting me to
undertake my training at Saharanpur branch.
I express my thanks to all Staff of the branch under whose able guidance and direction, I
was able to give shape to my training. Their constant review and excellent suggestions
throughout the project are highly commendable.
My heartfelt thanks go to all the executives who helped me gain knowledge about the
actual working and the processes involved in various departments. I have no words to
express my feeling of deep gratitude, which I owe to Mrs. Dalbir kaur (faculty
member), who extended me assistance, support and council without, which this project
would not have been materialized
GUIDE:
Mrs. Dalbir Kaur Shah Faisal
PREFACE
4
I am lucky that, I got an opportunity for making the project report on “ITC
CANDYMAN.” I visited the various concerns for two months and I prepare my project
report on the topic “STUDY OF RETAILERS PREFERENCE TOWARDS ITC
CANDYMAN AND CANDICO CANDIES.” and the study is divided into various
chapters to get knowledge. I also considered some published material on the particular
topic as well as about the concern. This helps me in boosting up my confidence and
determination which will help me to face the situation in coming years. This report is
written account of what I learnt and experienced during my survey. I wish, those going
through it will not only find it readable but also get as useful Information. The main
limitation of my experience was that I did not get the full and correct Information from
the market, as many of the respondents did not answer to my questionnaire correctly and
completely.
DECLARATION
5
Hereby declare that the project report entitled “STUDY OF RETAILERS PREFERENCE
TOWARDS ITC CANDYMAN AND CANDICO CANDIES.” submitted for the degree
of Master of Business Administration, is my original work and the project report has not
formed the basis for the award of any diploma, degree, associate ship, fellowship or
similar other titles. It has not been submitted to any other university or institution for the
award of any degree or diploma.
Place:
Date: Shah Faisal
MBA-III Sem
6
CHAPTER-I
INTRODUCTION
7
ITC PROFILE
ITC is one of India's foremost private sector companies with a market capitalization of
nearly US $ 18 billion and a turnover of over US $ 5.1 Billion. ITC is rated among the
World's Best Big Companies, Asia's 'Feb. 50' and the World's Most Reputable
Companies by Forbes magazine, among India's Most Respected Companies by Business
World and among India's Most Valuable Companies by Business Today. ITC also ranks
among India's top 10 `Most Valuable (Company) Brands', in a study conducted by Brand
Finance and published by the Economic Times.
ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers,
Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology,
Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG products.
While ITC is an outstanding market leader in its traditional businesses of Cigarettes,
Hotels, Paperboards, Packaging and Agri-Exports, it is rapidly gaining market share even
in its nascent businesses of Packaged Foods & Confectionery, Branded Apparel, Personal
Care and Stationery.
As one of India's most valuable and respected corporations, ITC is widely perceived to be
dedicatedly nation-oriented. Chairman Y C Deveshwar calls this source of inspiration "a
commitment beyond the market". In his own words: "ITC believes that its aspiration to
create enduring value for the nation provides the motive force to sustain growing
shareholder value. ITC practices this philosophy by not only driving each of its
businesses towards international competitiveness but by also consciously contributing to
enhancing the competitiveness of the larger value chain of which it is a part."
ITC's diversified status originates from its corporate strategy aimed at creating multiple
drivers of growth anchored on its time-tested core competencies: unmatched distribution
reach, superior brand-building capabilities, effective supply chain management and
8
acknowledged service skills in hotelier. Over time, the strategic forays into new
businesses are expected to garner a significant share of these emerging high-growth
markets in India.
ITC's Agri-Business is one of India's largest exporters of agricultural products. ITC is one
of the country's biggest foreign exchange earners (US $ 3.2 billion in the last decade).
The Company's 'e-Choupal' initiative is enabling Indian agriculture significantly enhance
its competitiveness by empowering Indian farmers through the power of the Internet.
This transformational strategy, which has already become the subject matter of a case
study at Harvard Business School, is expected to progressively create for ITC a huge
rural distribution infrastructure, significantly enhancing the Company's marketing reach.
ITC's wholly owned Information Technology subsidiary, ITC InfoTech India Limited, is
aggressively pursuing emerging opportunities in providing end-to-end IT solutions,
including e-enabled services and business process outsourcing.
ITC's production facilities and hotels have won numerous national and international
awards for quality, productivity, safety and environment management systems. ITC was
the first company in India to voluntarily seek a corporate governance rating.
ITC employs over 24,000 people at more than 60 locations across India. The Company
continuously endeavors to enhance its wealth generating capabilities in a globalizing
environment to consistently reward more than 3,83,000 shareholders, fulfill the
aspirations of its stakeholders and meet societal expectations. This over-arching vision of
the company is expressively captured in its corporate positioning statement: "Enduring
Value. For the nation. For the Shareholder."
ITC currently has two brands in the confectionery segment –‘Mint-o’ and ‘Candyman’.
9
‘Mint-o’ was acquired by ITC from Candico in March 2002. ITC re-launched the
compressed mint offering, across all major markets in India, with new and improved
product and packaging. Available in the regular mint flavor with added blue specks to
enhance consumer experience, mint-o is also offered in innovative ‘Orange-mint’ and
‘Lemon-mint’ flavours. Mint-o Cool blue - a single mint in a pillow-pack was launched
In November 2007. ’Mint-o’ is available in 3 sizes – rolls of 20 and 6 and singles,
capturing the international essence of ‘youthful cool’.
ITC launched ‘Mint-o Fresh’ in October 2004. An ‘active’ mint deposited candy, mint-o
Fresh is available in two refreshing mint flavours – mint-o Fresh eucalyptus and mint-o
Fresh Cool Green. Its launch extended the footprint of the ‘mint-o’ brand in line with the
strategy of adding excitement and contributing to the growth of the confectionery
category. ‘Mint-o Fresh’ is especially targeted at the adult consumer creating a basket of
mint-based products across price points.
ITC launched the ‘Candyman’ range of confectioneries in August 2002. Led by the
‘Candyman Fruitee Fun’ range of assorted fruit flavours ( ‘Wild banana’, ‘Pineapple
Punch’, ‘Orange Josh’ and ‘Mango Delite’), the ‘Candyman’ portfolio now includes
deposited candy products like ‘Candyman Butterscotch Licks’ and ‘Candyman Eclairs’
(Choco flavoured as well as Vanilla Cream centre inside a Butterscotch outer shell). The
coffee toffee segment also saw the successful launch of ‘Candyman cofitino’ in
November 2005. The brand was further strengthened with the launch of ‘Candyman
Natkhat Mango’ and ‘Candyman Maha Mango’. In line with the strategy to provide
innovative flavours to the consumers, Candyman Mango Licks was launched in June
2007 and Candyman Natkhat Gowawa in October 2007. The ‘Candyman’ range of
confectionary is targeted at ‘fun-filled, naughty kids’ who seek a delightful candy
experience through a range of candy types and flavours.
10
STRATEGIES OF ITC
ITC is a board-managed professional company, committed to creating enduring value for
the shareholder and for the nation. It has a rich organizational culture rooted in its core
values of respect for people and belief in empowerment. Its philosophy of all-round value
creation is backed by strong corporate governance policies and systems.
ITC’s corporate strategies are:
Create multiple drivers of growth by developing a portfolio of world class
businesses that best matches organizational capability with opportunities in
domestic and export markets.
Continue to focus on the chosen portfolio of FMCG, Hotels, Paper, Paperboards
& Packaging, Agri Business and Information Technology.
Benchmark the health of each business comprehensively across the criteria of
Market Standing, Profitability and Internal Vitality.
Ensure that each of its businesses is world class and internationally competitive.
Enhance the competitive power of the portfolio through synergies derived by
blending the diverse skills and capabilities residing in ITC’s various businesses.
Create distributed leadership within the organization by nurturing talented and
focused top management teams for each of the businesses.
Continuously strengthen and refine Corporate Governance processes and systems
to catalyses the entrepreneurial energies of management by striking the golden
balance between executive freedom and the need for effective control and
accountability.
11
CANDICO PROFILE
Candico is a confectionery multinational headquartered out of India with operations in 12
countries.
Candico began operations in the year 1997. By the year 2002 it grew to become the
second largest Indian confectionery company. Candico is one of only two Indian
companies to emerge as a confectionery major after the industry consolidated in the late
90's.
With over 2 billion confectionery products sold every year, Candico has been making
millions of children smile.
Candico's success in a market where every major confectionery player from the world
competes is indicative of its core strengths
INDIAN DISTRIBUTION
With 24 depots, 1500 authorized dealers and a 250 people strong sales force, Candico’s
distribution network in India has a direct or indirect reach in most towns and cities with a
population of over 25,000.
12
It is estimated that Candico’s brands reach out to over 60 percent of India’s 1000 million
people.
An Advanced Management Information System ensures that the company’s management
has, by 11 a.m. the next day, details of all Candico products sold to every shop by every
salesman in India.
INTERNATIONAL DISTRIBUTION
Candico is the only Indian confectionery company with production facilities overseas.
Candico’s international operations gathered speed in October 2003 with its acquisition of
an equity skate in SML, Tanzania.
In May 2004 it entered into a distribution agreement to set up operations in South Africa.
Candico has set up distribution arrangements in several countries across the world
including South Africa, New Zealand, Madagascar and Qatar.
Candico is actively scouting for opportunities to set up similar distribution agreements in
West and North Africa so as to cover the entire African continent.
PRODUCTION
Candico has a "world class manufacturing facility" (ERC, London) in its 'state of the art'
plant at Nagpur, Maharashtra.
Physical layout
13
The largest of it's kind in the country, the plant is spread over a sprawling 15-acre
campus, complete with lush lawns and a stream that flows right through it. It has a
constructed area of over 350,000 square feet, of which close to 300,000 is fully particle,
humidity and temperature controlled.
The plant has a production capacity of 45,000 tonnes, which makes it one of the largest
manufacturing facilities of its kind in India.
Product lines
The Candico manufacturing facility at Nagpur, due to the substantial amount of capital
investment and the superior technology used in the manufacturing process, is the only
plant in the country that is capable of manufacturing the entire range of confectionery
product in each one of the existing categories.
1) Toffees: Centre fill, Non centre fill
2) Candies: Centre fill, Sugar boiled
3) Gums: Bricks, Balls, Sticks
4) Soft chews: Aerated, Non-aerated
5) Compressed powder tablets
14
15
CHAPTER-II
16
OBJECTIVES OF THE STUDY
This project is based on the comparative study consumer behavior towards ITC
Candyman and Candico. Objectives of the study are:
The other objective is to know about the customer satisfaction level
associated with the product and the customer preference level.
To increase customer satisfaction and recapture the market share by fulfilling
the customer needs.
To study the factors affecting the consumption pattern.
17
SCOPE OF THE STUDY
As learning is a human activity and is as natural, as breathing. Despite of the fact that
learning is all pervasive in our lives, psychologists do not agree on how learning takes
place. How individuals learn is a matter of interest to marketers. They want to teach
retailers in their roles as their roles as consumers. They want retailers to learn about their
products, product attributes, potential consumers benefit, how to use, maintain or even
dispose of the product and new ways of behaving that will satisfy not only the
consumer’s needs, but the marketer’s objectives.
The scope of my study restricts itself to the analysis of retailer preferences, perception
and consumption of ITC Candyman and Candico. There are many other brands of candies
available but my study is limited to two major players of candies leaving behind the
others. The scope of my study is also restricts itself to Saharanpur region only.
18
RESEARCH METHODOLOGY
This chapter describes the methodology of the study. This project is based on information
collected from primary sources. After the detailed study, an attempt has been made to
present comprehensive analysis of consumption of ITC Candyman and Candico candies
consumed by the people. The data had been used to cover various aspects like
consumption, retailer’s preference and retailer’s satisfaction regarding Candyman and
Candico. In collecting requisite data and information regarding the topic selected, I went
to the retailers of Saharanpur and collected the data.
Survey design:
The study is a cross sectional study because the data were collected at a single point of
time. For the purpose of present study a related sample of population was selected on the
basis of convenience.
Sample Size and Design:
A sample of 100 people was taken on the basis of convenience. The actual retailers were
contacted on the basis of random sampling.
Research Period:
Research work is only carried for 2 or 3 weeks.
Research Instrument:
This work is carried out through self-administered questionnaires. The questions included
were open ended, dichotomous and offered multiple choices.
19
Data Collection:
The data, which is collected for the purpose of study, is divided into 2 bases:
Primary Source: The primary data comprises information survey of
“Comparative study of retailer behavior towards ITC Candyman and Candico”.
The data has been collected directly from respondent with the help of structured
questionnaires.
Secondary Source: The secondary data was collected from internet and
references from Library.
Data Analysis:
The data is analyzed on the basis of suitable tables by using mathematical techniques.
The technique that I have used is bar graphs.
20
LIMITATIONS OF THE STUDY
In attempt to make this project authentic and reliable, every possible aspect of the topic
was kept in mind. Nevertheless, despite of fact constraints were at play during the
formulation of this project. The main limitations are as follows:
Due to limitation of time only few people were selected for the study. So the
sample of retailers was not enough to generalize the findings of the study.
The main source of data for the study was primary data with the help of self-
administered questionnaires. Hence, the chances of unbiased information are less.
People were hesitant to disclose the true facts.
The chance of biased response can’t be eliminated though all necessary steps were
taken to avoid the same.
21
CHAPTER-IIIDATA ANALYSIS
AND INTERPRETATION
22
ANALYSIS OF THE STUDY
SALE OF THE CANDIES
Table: 1
Sale of the Candies Yes No
Number of Respondents 95 5
Chart: 1
From the above analysis of the given sample of 100 respondents it is concluded that out
of 100 people 95 people sell candies while only 5 people don’t sell candies.
23
BRAND PREFERENCETable: 2
BRANDS PREFERENCE BY CONSUMERS
ITC CANDYMAN 73
CANDICO 22
Chart: 2
From the above analysis of given sample of 95 respondents who sell candies it is
concluded that only 22 people prefer to sell Candico while 73 people likes to sell ITC
Candyman.
24
PURCHASE OF CANDIES
PURCHASE OF CANDYMAN
Table: 3
ITC CANDYMAN
SUB- BRANDS NUMBER OF RESPONDANTS
ECLAIRS 69
COFFITINO 64
MINT-O-FRESH 61
FRUITEE FUN 49
NATKHAT MANGO 41
Chart: 3
25
From the above analysis of given sample of 73 respondents who eat ITC Candyman
candies it is concluded that mostly people has purchased Eclairs sub-brand of ITC
Candyman while Natkhat mango is least purchased by the people.
PURCHASE OF CANDICO
Table: 4
CANDICO CANDIES
SUB- BRANDS NUMBER OF RESPONDANTS
ECLAIRS 19
COFFI TOFFI 18
MINT CANDY 15
FRUITS CANDY 17
GREEN MANGO 11
Chart: 4
26
From the above analysis of given sample of 22 respondents who eat Candico candies it is
concluded that mostly all sub-brands are purchased by people but top most is Eclairs
followed by Coffi Toffi and Fruits Candy. While surveying we have found that many
people are not aware of Green Mango candy.
OVERALL PURCHASE OF CANDIES
Table: 5
OVERALL PURCHASE OF SUB- BRANDS OF CANDIES
SUB-BRANDS NUMBER OF RESPONDANTS
ECLAIRS 69
COFFITINO 64
MINT-O-FRESH 61
FRUITEE FUN 49
NATKHAT MANGO 41
ECLAIRS 19
COFFI TOFFI 18
FRUITS CANDY 15
MINT CANDY 17
GREEN MANGO 11
27
Chart: 5
From the above analysis it is concluded that overall ITC Candyman Eclairs is purchased
by people followed by Coffi Toffi while Mint Candy and Green Mango is least purchased
by people.
PREFERENCE OF SUBRANDS OF CANDIES
PREFERENCE OF SUBRANDS OF ITC CANDYMAN
Table: 6
ITC CANDYMAN
SUB- BRANDS GRAND TOTAL
OF
PREFERENCE
AVERAGE
(GRAND TOTAL / No.
OF RESPONDANTS)
RANKS
ECLAIRS 315 4.3 1
COFFITINO 220 3 2
MINT-O-FRESH 176 2.4 3
FRUITEE FUN 136 1.86 4
NATKHAT
MANGO
91 1.24 5
According to the above analysis it is concluded that in ITC Candyman, Eclairs is the most
preferred sub-brand as it is ranked first by the respondents. While Natkhat is the least
preferred sub-brand of ITC Candyman.
28
PREFERENCE OF SUB-BRANDS OF CANDICO
Table: 7
CANDICO CANDIES
SUB- BRANDS GRAND
TOTAL OF
PREFERENCE
AVERAGE
(GRAND TOTAL / No. OF
RESPONDANTS)
RANKS
ECLAIRS 70 3.18 1
COFFI TOFFI 64 2.9 3
FRUITS CANDY 65 2.95 2
MINT CANDY 45 2.05 4
GREEN MANGO 30 1.36 5
According to the above analysis it is concluded that in Candico Brand, Eclairs is the most
preferred sub-brand as it is ranked first by the respondents. While Green Mango is the
least preferred sub-brand of Candico candies.
29
INFLUENCING FACTORS DURING PURCHASE
OVERALL INFLUENCE
Table: 8
FACTORS GRAND TOTAL AVERAGE RANK
FLAVOR/TASTE 435 4.58 1
PRICE 295 3.1 9
QUALITY 391 4.12 2
PACKAGING 344 3.62 4
FORM 301 3.17 7
BRAND 354 3.73 3
IMAGE 344 3.62 4
COLOR 297 3.13 8
SHAPE 268 2.82 10
QUANTITY 342 3.6 6
According to the above analysis it is concluded that on an average mostly people are
influenced by flavor/taste followed by quality, brand and image. It is surprised to know
that very few people are influenced by price followed by shape of the candies.
30
INFLUENCING FACTORS DURING PURCHASE OF
ITC CANDYMAN CANDIES
Table: 9
FACTORS GRAND TOTAL AVERAGE RANK
FLAVOR/TASTE 335 4.6 1
PRICE 235 3.2 7
QUALITY 307 4.2 2
PACKAGING 277 3.79 3
FORM 231 3.16 8
BRAND 271 3.71 4
IMAGE 262 3.59 5
COLOR 224 3.07 9
SHAPE 213 2.92 10
QUANTITY 262 3.59 5
According to the above analysis it is concluded that on an average mostly people are
influenced by flavor/taste followed by quality, packaging and brand. Here color and
shape are not all influencing people while purchasing ITC Candyman candies.
31
INFLUENCING FACTORS DURING PURCHASE OF
CANDICO CANDIES
Table: 10
FACTORS GRAND TOTAL AVERAGE RANK
FLAVOR/TASTE 100 4.5 1
PRICE 60 2.72 5
QUALITY 84 3.82 2
PACKAGING 67 3.04 9
FORM 70 3.18 8
BRAND 83 3.77 3
IMAGE 82 3.73 4
COLOR 73 3.32 7
SHAPE 55 2.5 10
QUANTITY 80 3.64 6
According to the above analysis it is concluded that on an average mostly people are
influenced by flavor/taste followed by quality, brand and image. Here packaging and
shape are not all influencing people while purchasing Candico candies.
32
FACTORS GIVING MOST SATISFACTION TO
RETAILERS
OVERALL
Table: 11
FACTORS GRAND TOTAL AVERAGE RANK
FLAVOR/TASTE 427 4.81 1
PRICE 337 3.6 4
QUALITY 367 3.86 2
PACKAGING 338 3.56 5
FORM 332 3.49 7
BRAND 358 3.77 3
IMAGE 328 3.45 9
COLOR 332 3.49 7
SHAPE 335 3.52 6
QUANTITY 328 3.45 9
According to the above analysis it is concluded that on an average people are most
satisfied with the flavor/taste of a candy followed by quality and brand. It is surprising to
know that although people are satisfied with quality but unsatisfied with the quantity.
33
SATISFACTION IN ITC CANDYMAN CANDIES
Table: 12
FACTORS GRAND TOTAL AVERAGE RANK
FLAVOR/TASTE 334 4.6 1
PRICE 269 3.68 5
QUALITY 282 3.86 2
PACKAGING 272 3.73 4
FORM 264 3.62 6
BRAND 282 3.86 2
IMAGE 247 3.38 10
COLOR 259 3.55 7
SHAPE 258 3.53 8
QUANTITY 255 3.49 9
According to the above analysis it is concluded that on an average people are most
satisfied with the flavor/taste of a candy followed by quality and brand. It is surprising to
know that although people are satisfied with quality but unsatisfied with the quantity and
image.
34
SATISFACTION IN CANDICO CANDY
Table: 13
FACTORS GRAND TOTAL AVERAGE RANK
FLAVOR/TASTE 93 4.2 1
PRICE 68 3.09 8
QUALITY 85 3.86 2
PACKAGING 66 3 10
FORM 68 3.09 8
BRAND 76 3.45 5
IMAGE 81 3.68 3
COLOR 73 3.32 6
SHAPE 77 3.5 4
QUANTITY 73 3.32 6
According to the above analysis it is concluded that on an average people are most
satisfied with the flavor/taste of a candy followed by quality and image. It is surprising to
know that although people are satisfied with quality but unsatisfied with the form and
packaging.
35
FORM PREFERENCE
Table: 14
FORM OF CANDY NUMBER OF
RESONDENTS
HARD 30
NUTTIES 21
CRUNCHY 26
CHEW 18
Chart: 6
According to the above analysis it is concluded that most of the people likes to eat hard
candy and chew form of a candy is least preferred.
36
PACK OF CANDIES PREFERED
Table: 15
PACK SIZE NUMBER OF RESPONDENTS
POLLY BAG 28
JAR 48
JUMBO JAR 19
Chart: 7
According to the above analysis it is concluded that out of sample of 95 people who sell
candies likes to buy jar, then comes the Polly bags and jumbo jars are least preferred.
37
PROMOTIONAL OFFERS
Table: 16
PROMOTIONAL OFFERS NUMBER OF RESPONDENTS
FREE GIFTS 52
PRICE OFFER 23
ANY OTHER 20
Chart: 8
38
According to the above analysis it is concluded that out of sample of 95 people who sell
candy 52 are attracted by free gifts, 23 by price offers while 20 were attracted by some
other reasons.
FACTORS AFFECTING PURCHASE
Table: 17
FACTORS NUMBER OF
RESPONDENTS
ADVERTISEMENT 67
SUGGESTION FROM CUSTOMERS 17
ATTRACTIVE DISPLAY 12
SALESMAN ADVICE 14
BRAND AMBASSADORS 10
INGREDIENTS 28
39
Chart: 9
According to the above analysis it is concluded that Advertisement is the best measure to
attract retailers to purchase more. Its impact is much more than other factors. While
customers and brand ambassadors also play a significant role in this regard.
MEDIA OF ADVERTISEMENT
Table: 18
MEDIA OF ADVERTISEMENT NUMBER OF RESPONDENTS
TELEVISION 75
NEWSPAPERS 10
BROCHURES 5
HOARDING 8
DISPLAY 25
Chart: 10
According to the above analysis it is concluded that television emerges as the best media
for advertisement of candies that compel consumers to buy. It is much more than other
40
ways as out of 95 respondents 82 are attracted to by through television media while
brochures are the least attracting media.
FREQUENCY OF CONSUMPTION
Table: 19
FREQUENCY OF CONSUMPTION NUMBER OF RESPONDENTS
ONCE IN A FORTNIGHT 16
DAILY 17
WEEKLY 39
MONTHLY 18
QUARTERLY 5
Chart: 11
41
According to the above analysis it is concluded that mostly retailers purchase candies
weekly. Only 15 out of 95 purchase candies quarterly.
REASONABLE PRICE
Table: 20
PRICE OF CANDY NUMBER OF RESPONDENTS
BELOW 25paise 6
25paise-50paise 23
50paise-Rs1 51
Rs1-Rs2 4
ABOVE Rs2 11
Chart: 12
42
According to the above analysis it is concluded that the retailers thinks 50paise-Rs1 is the
reasonable price of a candy. So it must be worthwhile to know this as it may effect the
sale of candies.
CONSUMER’S BRAND LOYALTY
Table: 21
BRAND LOYALTY ACTIONS NUMBER OF RESPONDENTS
POSTPONE YOUR PURCHASE 26
SWITCH OVER TO OTHER BRANDS 24
GO TO OTHER SHOP FOR SEARCH
OF PREFERED BRAND
45
Chart: 13
43
According to the above analysis it is concluded that mostly people are loyal to the brand
as in the absence of availability of their preferred brand mostly people like to search for it
or they are ready to postpone their purchase.
REACTION OF RETAILERS IF NEW BRAND IS
INTRODUCED
Table: 22
SHIFT TO NEW BRAND OF THE
PREFERED PRODUCT
NUMBER OF RESPONDENTS
NO, NOT AT ALL 35
MAY CONSIDER 27
NO, SHALL NOT 4
CAN’T SAY 29
44
Chart: 14
According to the above analysis it is concluded that mostly people are addicted to the
same flavor or taste and they don’t want to change it as out of 95 respondents 35 are not
ready to try new brand at any cost.
REASONS FOR NOT SWITCHING OVER TO OTHER
BRANDS
All the retailers why they continue to buy the old brand gave various important reasons.
The most important reasons given by the retailers were:
Taste/Flavor
Brand
Image
Quality
Packaging
45
46
CHAPTER-IV
FINDINGS
RETAILER RESEARCH:
Retailer research deals with retailer and their
problems and solution to the problems. In this I came to know about the retailers
need and expectation levels regarding products and ascertainable levels of
satisfaction.
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PRODUCT RESEARCH:
Under product research I came to know about the
modification which retailers wants as to the quality, packing, shape, color, and
quantity etc of their favorite candy.
PRICING RESEARCH:
This includes ability to consume, to pay for the product,
how much a person can spend on his/her favorite candy. In this I have tried to find out
retailer’s price expectations and reactions.
ADVERTISING RESEARCH:
Under this I have concluded that whether the
advertisement appeals the retailers or not. This also includes evaluating and
selecting the proper media-mix and measuring advertising effectiveness.
SWOT ANALYSIS
STRENGTHS:
1. ITC is one of India's foremost private sector companies.
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2. ITC leveraged it traditional businesses to develop new brands for new segments. .
For example, ITC used its experience of transporting and distributing tobacco products to
remote and distant parts of India to the advantage of its FMCG products. ITC master
chefs from its hotel chain are often asked to develop new food concepts for its FMCG
business.
3. ITC ranks among India's top 10 Most Valuable (Company) Brands.
4. It has market capitalization of nearly US $ 18 billion.
5. ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers,
Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology,
Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG products.
6. ITC's Agri-Business is one of India's largest exporters of agricultural products.
7. ITC is a diversified company trading in a number of business sectors including
cigarettes, hotels, paper, agriculture, packaged foods and confectionary, branded apparel,
personal care, greetings cards, Information Technology, safety matches, incense sticks
and stationery.
WEAKNESSES:
1. The company's original business was traded in tobacco. ITC stands for Imperial
Tobacco Company of India Limited. It is interesting that a business that is now so
involved in branding continues to use its original name, despite the negative connection
of tobacco with poor health and premature death.
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2. To fund its cash guzzling FMCG start-up, the company is still dependant upon its
tobacco revenues. Cigarettes account for 47 per cent of the company's turnover, and that
in itself is responsible for 80% of its profits. So there is an argument that ITC's move into
FMCG (Fast Moving Consumer Goods) is being subsidized by its tobacco operations. Its
Gold Flake tobacco brand is the largest FMCG brand in India - and this single brand
alone holds 70% of the tobacco market.
OPPORTUNITIES:
1. Core brands such as Aashirvaad, Mint-o, Bingo! And Sun Feast (and others) can be
developed using strategies of market development, product development and marketing
penetration.
2. ITC is moving into new and emerging sectors including Information Technology,
supporting business solutions.
3. E-Choupal is a community of practice that links rural Indian farmers using the
Internet. This is an original and well thought of initiative that could be used in other
sectors in many other parts of the world. It is also an ambitious project that has a goal of
reaching 10 million farmers in 100,000 villages. Take a look at e-Choupal here
http://www.itcportal.com/agri_exports/e-choupal_new.htm
ITC leverages e-Choupal in a novel way.
4. The company researched the tastes of consumers in the North, West and East of India
of atta (a popular type of wheat flour), then used the network to source and create the raw
materials from farmers and then blend them for consumers under purposeful brand names
such as Aashirvaad Select in the Northern market, Aashirvaad MP Chakki in the Western
market and Aashirvaad in the Eastern market. This concept is tremendously difficult for
competitors to emulate.
5. Chairman Yogi Deveshwar's strategic vision is to turn his Indian conglomerate into
the country's premier FMCG business. Per capita consumption of personal care products
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in India is the lowest in the world offering an opportunity for ITC's soaps, shampoos and
fragrances under their Wills brand.
THREATS:
1. The obvious threat is from competition, both domestic and international.
2. ITC's opportunities are likely to be opportunities for other companies as well.
Therefore the dynamic of competition will alter in the medium-term. Then ITC will need
to decide whether being a diversified conglomerate is the most competitive strategic
formation for a secure future.
3. The laws of economics dictate that if competitors see that there is a solid profit to be
made in an emerging consumer society that ultimately new products and services will be
made available. Western companies will see India as an exciting opportunity for
themselves to find new market segments for their own offerings.
4. Duplicate items are available in abundance at much lesser rates. This affects the
company financially and adversely affects its goodwill.
SUGGESTIONS
AND
RECOMMENDATIONS
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Company should concentrate more on television for advertisement, as mostly
people get attracted through television only.
For promotional offers, company should go for free gifts rather than going for
other ways.
Candico company should concentrate on its packing as people are least satisfied
with it while ITC Candyman should concentrate on the shape of their candy.
People are unsatisfied with the price and quantity of candy so companies should
concentrate in this regard also.
CONCLUSION
A survey of the people has been conducted to know the liking pattern of
the ITC Candyman and Candico. It is observed that overall retailers like to buy
ITC Candyman candies rather than Candico. It is concluded that mostly people
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preferred Eclairs of ITC Candyman due to its flavor/taste, quality and image and
due to its hard form. Some people often like to have a candy with good flavor,
quality and crunchiness so they are going towards Eclairs and Coffi Toffi of
Candico due to its taste and crunchiness.
It is thus concluded from the facts collected that mostly people refer to
buy jars of their favorite candy and sometimes some of them go for Polly bags
and jumbo jars.
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ANNEXURE
QUESTIONNAIRE
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PROJECT REPORT ON RETAILER PREFERENCE TOWARDS
ITC CANDYMAN AND CANDICO CANDIES
Que1. Do you sell candies?
Yes No
Que2. Which brand of candy do you prefer?ITC Candyman Candico
Que3. Which sub-brand you have purchased?
ITC Candyman Candico
Cofitino Koffi Toffi
Natkhat Mango Green mango
Fruitee Fun Fruits Candy
Mint-o-Fresh Mint Candy
Eclairs Eclairs
Que4. Rank the sub-brands of candies according to your preference? (1 for most preferred)
ITC Candyman Candico
Cofitino Koffi Toffi
Natkhat Mango Green mango
Fruitee Fun Fruits Candy
Mint-o-Fresh Mint Candy
Eclairs Eclairs
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Que5. How much importance do you give to the following factors when you purchase a candy? (Tick in the desired column)
Factors Very Important
Important Normal Least Important
None
Flavor/tastePriceQualityPackagingFormBrandImageColorShapeQuantity
Que6. How much are you satisfied with the following factors in your preferred candy? (Tick in the desired column)Factors Very
SatisfiedSatisfied Normal Least
SatisfiedCan’t Say
Flavor/tastePriceQualityPackagingFormBrandImageColorShapeQuantity
Que7. Which form of a candy do you sell? Hard Nutties
Crunchy Chew
Que8. What pack do you purchase?Polly bags Jar Jumbo Pack
Que9. Which promotional offers attract you most?Free gifts Price Offer Any other
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Que10.Which of these factors affects your purchase? Advertisement
Suggestion from customers
Attractive Display
Salesman Advice
Brand Ambassadors
Ingredients
Que11. Which media of advertisement influence your purchase?Television Newspapers Brochures
Hoarding Display
Que12. How frequently do you purchase candies?Once in a fortnight DailyWeekly MonthlyQuarterly
Que13. What according to you is the reasonable price of candy?
Below25paise 25paise-50paise 50paise-Rs1
Rs1-Rs2 Above Rs2
Que14. If your preferred brand is not available for repeat purchases then what will you do?
Postpone your purchase Switch over to other brand Go to the other seller to search for your preferred brand
Que15. If another brand of the same product appears in the market, will you prefer to stop buying this brand and buy the new brand?
No, not at all I may consider
No, I shall not can’t say
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Que16. If you don’t like to change to the new brand, then what are the reasons for
continuing to purchase the old brand?
PERSONAL DETAILS
Name:
Address:
Gender:
Phone Number:
Marital status:
Education:
Profession:
THANKS
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BIBIOGRAPHY
BIBLIOGRAHY
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1. BOOKS/MAGAZINES REFFERED:
Marketing Management by “Philip kotler”
Marketing Management by”C.N.Sontakki
2. WEBSITES REFFERED:
http://en.wikipedia.org
http://www.candicoindia.com
http://www.itcportal.com
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