choclate industry
TRANSCRIPT
-
8/6/2019 Choclate Industry
1/28
Institute for Integrated Learning in ManagementGraduate School of Management
TITLE
ANALYSIS OF CONSUMER
BEHAVIOUR FOR CHOCOLATE
INDUSTRY
INTRODUCTION
In this research we have surveyed the product performanceand buying behavior of consumer toward various chocolatebrands which are consumed by people of all ages. During thisresearch we have interacted with people of Noida and Greater
Noida. After this research we came to know how peopleperceives these products on the variables like price, quality,advertisement, satisfaction, taste, packaging, brand loyalty etc.We also came to know which particular brand of chocolate ismost preferred by people of different age groups.In this research we have surveyed that how frequently and howmuch chocolate theyconsume, whether they buy small, big or family pack. Trend of
ongoing changes in their likings has been shown in the report.In this report we have tried to explain the entire research andfacts product wise.
SCOPE OF THE STUDYAs 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 wantto teach consumers in their roles as their roles as consumers.
-
8/6/2019 Choclate Industry
2/28
They want consumers to learn about their products, productattributes, potential consumers benefit, how to use, maintain oreven dispose of the product and new ways of behaving that willsatisfy not only the consumers needs, but the marketers
objectives. The scope of our study restricts itself to the analysis ofconsumer preferences, perception and consumption of differentchocolates brands. The scope of our study restricts itself toNoida and Greater Noida region only.
OBJECTIVES OF THE STUDYThis project is based on the comparative study of consumerbehaviour towards different chocolates brands. Objectives ofthe study are:
1. The other objective is to know about the customersatisfaction level associated with the product and thecustomer preference level.
2. To capture the market share by fulfilling the customerneeds.
3. To study the factors affecting the consumption pattern.
LIMITATIONS OF THE STUDYIn attempt to make this project authentic and reliable, everypossible aspect of the topic was kept in mind. Nevertheless,despite of fact constraints were at play during the formulationof this project. The main limitations are as follows:
1. Due to limitation of time only few people were selected forthe study. So the
sample of consumers was not enough to generalize thefindings of the study.
-
8/6/2019 Choclate Industry
3/28
2. The main source of data for the study was primary datawith the help of self-administered questionnaires. Hence,the chances of unbiased information are less.
3. People were hesitant to disclose the true facts.
4. The chance of biased response cant be eliminated thoughall necessary steps were taken to avoid the same.
CONSUMER PREFERENCEAll marketing starts with the consumer. So consumer is a veryimportant person to a marketer. Consumer decides what to
purchase, for whom to purchase, why to purchase, from whereto purchase, and how much to purchase. In order to become asuccessful marketer, he must know the liking or disliking of thecustomers. He must also know the time and the quantity ofgoods and services, a consumer may purchase, so that he maystore the goods or provide the services according to the likingsof the consumers. Gone are the days when the concept ofmarket was let the buyers beware or when the market wasmainly the sellers market. Now the whole concept of
consumers sovereignty prevails. The manufacturers produceand the sellers sell whatever the consumer likes. Inthis sense,consumer is the supreme in the market.As consumers, we play a very vital role in the health of theeconomy local, national or international. The decision we makeconcerning our consumption behavior affect the demand forthe basic raw materials, for the transportation, for the banking,for the production; they effect the employment of workers anddeployment of resources and success of some industries andfailures of others. Thus marketer must understand this.
Preference (or "taste") is a concept, used in the socialsciences, particularly economics. It assumes a real or imagined"choice" between alternatives and the possibility of rankordering of these alternatives, based on happiness, satisfaction,gratification, enjoyment, utility they provide. More generally, itcan be seen as a source ofmotivation. In cognitive sciences,individual preferences enable choice of objectives/goals. Thestudy of the consumer preference not only focuses on how and
-
8/6/2019 Choclate Industry
4/28
why consumers make buying decision, but also focuses on howand why consumers make choice of the goods they buy andtheir evaluation of these goods after use. So for success of anycompany or product promotion it is very necessary to depart its
concentration towards consumer preference.
History of chocolate:The origin of chocolate can be traced back to the ancient Maya and Azteccivilizations in Central America, who first enjoyed chocolati a much-prized spicy drink made from roasted cocoa beans. Throughout its history,whether as cocoa or drinking chocolate beverage or confectionary treat,chocolate has been a much sought after food.
CONSUMPTION OF CHOCOLATES IN INDIAChocolate consumption in India is extremely low. Per capita consumptionis around 160 gms in the urban areas, compared to 8-10kg in thedeveloped countries. In rural areas, it is even lower. Chocolates in Indiaare consumed as indulgence and not as a snack food. A strong volumegrowth was witnessed in the early 90s when Cadbury repositionedchocolates from children to adult consumption. The biggest opportunity islikely to stem from increasing the consumer base. Leading players likeCadbury and Nestle have been attempting to do this by value for moneyofferings, which are affordable to the masses.
NESTLENestle India
Nestle India is a subsidiary of Nestle S.A. of Switzerland. The companyinsists onhonesty, integrity and fairness in all aspects of its business and expectsthe same in its relationships.
Nestle India- Presence Across IndiaBeginning with its first investment in Moga in 1961, Nestls regular andsubstantialinvestments established that it was here to stay. In 1967, Nestl set up itsnext factory at Choladi (Tamil Nadu) as a pilot plant to process the teagrown in the area into soluble tea. The Nanjangud factory (Karnataka),became operational in 1989, the Samalkha factory (Haryana), in 1993 andin 1995 and 1997,Nestl commissioned two factories in Goa at Ponda andBicholim respectively. Nestl India is now putting up the 7th factory atPant Nagar in Uttaranchal.
-
8/6/2019 Choclate Industry
5/28
CHOCOLATES & CONFECTIONARY
NESTL KIT KAT
NESTL KIT KAT LITE
NESTL MUNCH
NESTL MUNCH POP CHOC
NESTL MILKYBAR
NESTL BAR-ONE
NESTL FUNBAR
NESTL Milk Chocolate
COMPANY OVERVIEW OF CADBURY INDIA
Cadbury began its operations in 1948 by importing chocolates and thenre-packing them before distribution in the Indian market. After 59 years ofexistence, it today has five company-owned manufacturing facilities at
Thane, Induri (Pune) and Malanpur(Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices(New Delhi,Mumbai, Kolkota and Chennai). The corporate office is in Mumbai.
Currently Cadbury India operates in three sectors viz.Chocolate Confectionery, Milk Food Drinks and in the Candy category. Inthe Chocolate Confectionery business, Cadbury has maintained itsundisputed leadership over the years. Some of the key brands areCadbury Dairy Milk, 5 Star, Perk, clairs and Celebrations. Cadbury enjoysa value market share of over 70% - the highestCadbury brand share in the world! Their flagship brand Cadbury Dairy Milkisconsidered the "gold standard" for chocolates in India. The pure taste ofCDM defines the chocolate taste for the Indian consumer.
In the Milk Food drinks segment their main product isBournvita - the leading Malted Food Drink (MFD) in the country. Similarlyin the medicated candy category Halls is the undisputed leader.
The Cadbury India Brand Strategy has receivedconsistent support through simple but imaginative extensions to productcategories and distribution. A good example of this is the development ofBytes. Crispy wafers filled with coca cream in the form of a bagged snack,
Bytes is positioned as "The new concept of sweet snacking". It delivers thetaste of chocolate in the form of a light snack, and thus heralds the entry
-
8/6/2019 Choclate Industry
6/28
of Cadbury India into the growing bagged Snack Market, which has beendominated until now by Salted Bagged Snack Brands. Bytes was firstlaunched in South India in 2003.
Since 1965 Cadbury has also pioneered the developmentof cocoa cultivation in India. For over two decades, it has worked with the
Kerala Agriculture University to undertake cocoa research and releasedclones, hybrids that improve the cocoa yield. Today, Cadbury is poised inits leap towards quantum growth and new categories of business, namelygums, mints, snacking and gifting. It is a part of the Cadbury SchweppesGroup, world's No.1 Confectionery Company.
CHOCOLATES
Dairy Milk
5 Star
Perk
Celebrations
Temptation
AMUL:
Amul (Anand Milk Union Limited), formed in 1946, is a dairycooperative movement
in India. It is a brand name managed by an apex cooperative organisation, Gujarat Co-
operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some
2.6 million milk producers inGujarat, India[1].
AMUL is based in Anand, Gujarat and has been a sterling example of a co-operative
organization's success in the long term. It is one of the best examples of co-operative
achievement in the developing economy. "Anyone who has seen ... the dairy
cooperatives in the state of Gujarat, especially the highly successful one known as AMUL,
will naturally wonder what combination of influences and incentives is needed to multiply
such a model a thousand times over in developing regions everywhere."[2] The Amul
Pattern has established itself as a uniquely appropriate model for rural development.
Amul has spurred the White Revolution of India, which has made India the largest
producer of milk and milk products in the world[citation needed]. It is also the world's biggest
vegetarian cheese brand [3].
http://en.wikipedia.org/wiki/Dairyhttp://en.wikipedia.org/wiki/Cooperativehttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Brandhttp://en.wikipedia.org/wiki/Gujarathttp://en.wikipedia.org/wiki/Gujarathttp://en.wikipedia.org/wiki/Amul#cite_note-0http://en.wikipedia.org/wiki/Anand,_Gujarathttp://en.wikipedia.org/wiki/Gujarathttp://en.wikipedia.org/wiki/Amul#cite_note-1http://en.wikipedia.org/wiki/White_Revolution_(India)http://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Amul#cite_note-2http://en.wikipedia.org/wiki/Dairyhttp://en.wikipedia.org/wiki/Cooperativehttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Brandhttp://en.wikipedia.org/wiki/Gujarathttp://en.wikipedia.org/wiki/Amul#cite_note-0http://en.wikipedia.org/wiki/Anand,_Gujarathttp://en.wikipedia.org/wiki/Gujarathttp://en.wikipedia.org/wiki/Amul#cite_note-1http://en.wikipedia.org/wiki/White_Revolution_(India)http://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Amul#cite_note-2 -
8/6/2019 Choclate Industry
7/28
Amul is the largest food brand in India and world's Largest Pouched Milk Brand with an
annual turnover of US $1050 million (2006-07) [4]. Currently Amul has 2.6 million
producer members with milk collection average of 10.16 million litres per day. Besides
India, Amul has entered overseas markets such
asMauritius, UAE, USA, Bangladesh, Australia,China,Singapore,Hong Kong and a few
South African countries. Its bid to enterJapanese market in 1994 had not succeeded, but
now it has fresh plans of flooding the Japanese markets [5]. Other potential markets being
considered include Sri Lanka.
Dr Verghese Kurien, former chairman of the GCMMF, is recognised as the man behind the
success of Amul. On 10 Aug 2006 Parthi Bhatol, chairman of the Banaskantha Union, was
elected chairman of GCMMF.
CHOCOLATES
Milk Chocolate
Almond bar
Bindazz
Fundoo
Fruit n NutFERRERO ROCHER:Ferrero Rocher is a spherical chocolatesweet madeby Italian chocolatier Ferrero SpA, the producer ofTic Tac and Nutella. The sweetsconsist of a whole roasted hazelnut encased in a thin wafer shell filled with hazelnutcream and covered in milk chocolate and chopped hazelnuts and walnuts. The sweetscontain 72 Calories (304 kJ), and are individually packaged inside a gold-colouredwrapper.
In Australia, Canada,Brazil, Hong Kong, Singapore, Egypt, and Malaysia[citation needed],
Ferrero Rocher is a popular gift during the holidays, especially during Chinese New
Year. Chinese culture associates the gold of the packaging with good fortune and wealth
CHOCOLATES
RESEARCH METHODOLOGY
http://en.wikipedia.org/wiki/Amul#cite_note-3http://en.wikipedia.org/wiki/Mauritiushttp://en.wikipedia.org/wiki/Mauritiushttp://en.wikipedia.org/wiki/UAEhttp://en.wikipedia.org/wiki/USAhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Australiahttp://en.wikipedia.org/wiki/Australiahttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Hong_Konghttp://en.wikipedia.org/wiki/Africahttp://en.wikipedia.org/wiki/Japanese_peoplehttp://en.wikipedia.org/wiki/Amul#cite_note-4http://en.wikipedia.org/wiki/Sri_Lankahttp://en.wikipedia.org/wiki/Dr_Verghese_Kurienhttp://en.wikipedia.org/wiki/Parthi_Bhatolhttp://en.wikipedia.org/wiki/Chocolatehttp://en.wikipedia.org/wiki/Chocolatehttp://en.wikipedia.org/wiki/Ferrero_SpAhttp://en.wikipedia.org/wiki/Tic_Tachttp://en.wikipedia.org/wiki/Nutellahttp://en.wikipedia.org/wiki/Hazelnuthttp://en.wikipedia.org/wiki/Waferhttp://en.wikipedia.org/wiki/Australiahttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Brazilhttp://en.wikipedia.org/wiki/Brazilhttp://en.wikipedia.org/wiki/Hong_Konghttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Egypthttp://en.wikipedia.org/wiki/Malaysiahttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Chinese_New_Yearhttp://en.wikipedia.org/wiki/Chinese_New_Yearhttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Amul#cite_note-3http://en.wikipedia.org/wiki/Mauritiushttp://en.wikipedia.org/wiki/UAEhttp://en.wikipedia.org/wiki/USAhttp://en.wikipedia.org/wiki/Bangladeshhttp://en.wikipedia.org/wiki/Australiahttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Hong_Konghttp://en.wikipedia.org/wiki/Africahttp://en.wikipedia.org/wiki/Japanese_peoplehttp://en.wikipedia.org/wiki/Amul#cite_note-4http://en.wikipedia.org/wiki/Sri_Lankahttp://en.wikipedia.org/wiki/Dr_Verghese_Kurienhttp://en.wikipedia.org/wiki/Parthi_Bhatolhttp://en.wikipedia.org/wiki/Chocolatehttp://en.wikipedia.org/wiki/Ferrero_SpAhttp://en.wikipedia.org/wiki/Tic_Tachttp://en.wikipedia.org/wiki/Nutellahttp://en.wikipedia.org/wiki/Hazelnuthttp://en.wikipedia.org/wiki/Waferhttp://en.wikipedia.org/wiki/Australiahttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Brazilhttp://en.wikipedia.org/wiki/Hong_Konghttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Egypthttp://en.wikipedia.org/wiki/Malaysiahttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Chinese_New_Yearhttp://en.wikipedia.org/wiki/Chinese_New_Yearhttp://en.wikipedia.org/wiki/China -
8/6/2019 Choclate Industry
8/28
This chapter describes the methodology of the study. This project is basedon information collected from primary sources. After the detailed study,an attempt has been made to present comprehensive analysis ofconsumption of different brands of chocolates consumed by the people.The data had been used to cover various aspects like consumption,
consumers preference and customers satisfaction regarding differentchocolates. In collecting requisite data and information regarding the topicselected, I went to the residents of Ludhiana and collected the data.Survey design:
The study is a cross sectional study because the data were collected at asingle point of time. For the purpose of present study a related sample ofpopulation was selected on the basis of convenience.Sample Size and Design:A sample of 110 people was taken on the basis of convenience. The actualconsumers 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. Thequestions included were open ended, dichotomous and offered multiplechoices.Data Collection:
The data, which is collected for the purpose of study, is divided into 2bases:Primary Source: The primary data comprises information survey of
Comparative study of consumer behavior towards chocolates. The datahas been collected directly from respondent with the help of structuredquestionnaires.Secondary Source:The secondary data was collected from internet,References from Library.Data Analysis:The data is analyzed on the basis of suitable tables by using mathematicaltechniques. The technique that we have used is bar technique.
Table 1:
Liking for the chocolates
-
8/6/2019 Choclate Industry
9/28
Liking ofchocolate
YES NO
No. OfRespondents
100 10
TABLE2:
DIFFERENT AGE GROUP
-
8/6/2019 Choclate Industry
10/28
AGE GROUPS 0-10 10-20 20-30 ABOVE 30
NUMBER OF
RESPONDEN
TS
14 42 33 11
TABLE-3
-
8/6/2019 Choclate Industry
11/28
PREFERENCE ACCORDING TO AGE GROUPS
AGEGROUPS
CADBURY
NESTLE AMUL OTHERS
0 TO 10 7 5 0 010 TO 20 34 6 3 020 TO 30 24 7 2 3ABOVE30
5 2 2 0
-
8/6/2019 Choclate Industry
12/28
TABLE 4:BRAND PREFERENCEBRANDS PREFERENCE OF
CONSUMERSCADBURY 70NESTLE 20AMUL 7OTHERS 3
-
8/6/2019 Choclate Industry
13/28
TABLE 5:PURCHASE OF NESTLE CHOCOLATES
NESTLE CHOCOLATESSUB-BRANDS NO OF RESPONDENTSKIT KAT 17MUNCH 19MILKY BAR 18BAR ONE 15
MILK CHOCOLATE 11
-
8/6/2019 Choclate Industry
14/28
TABLE 6:PURCHASE OF CADBURY CHOCOLATES
CADBURY CHOCOLATESSUB-BRANDS NO OF RESPONDENTSDAIRY MILK 695 STAR 64PERK 61
CELEBRATIONS 49TEMPTATIONS 41
-
8/6/2019 Choclate Industry
15/28
TABLE 7:PURCHASE OF AMUL CHOCOLATES
AMUL CHOCOLATESSUB-BRANDS NO OF RESPONDENTSFRUIT N NUTS 6FUNDOOZ 3BINDAAZ 2
ALMOND BAR 0MILK CHOCOLATE 1
-
8/6/2019 Choclate Industry
16/28
TABLE 8:PURCHASE OF OTHER BRAND OF CHOCOLATES
OTHER SUB-BRANDSSUB-BRANDS NO OF RESPONDENTSNUTELLA 1ROCHER 3TIC TAC 0
KINDER JOY 0LEONIDAS 0
-
8/6/2019 Choclate Industry
17/28
TABLE 9:OVERALL PURCHASE OF CHOCOLATES
OVERALL PURCHASE OF MAJOR SUB-BRANDS
SUB-BRANDS PERCENTAGE OFPURCHASE
DAIRY MILK 135 STAR 12PERK 10CELEBRATIONS 8TEMPTATIONS 7KIT KAT 10MUNCH 11
MILKY BAR 11BAR-ONE 9MILK CHOCOLATE 6FRUIT N NUT 2ROCHER 1
-
8/6/2019 Choclate Industry
18/28
TABLE 10:PREFERENCE OF SUB-BRANDS OF CADBURYCHOCOLATES
CADBURY CHOCOLATES
SUB-BRANDS GRANDTOTAL OFPREFERENCE
AVERAGE(GRAND TOTAL/NO OFRESPONDENTS)
RANKS
DAIRY MILK5 STARPERKCELEBRATIONSTEMPTATIONS
-
8/6/2019 Choclate Industry
19/28
-
8/6/2019 Choclate Industry
20/28
-
8/6/2019 Choclate Industry
21/28
FORM PREFERENCE
FORM OF CHOCOLATE NO OF RESPONDENTSHARD 33NUTTIES 22CRUNCHY 27CHEW 18
-
8/6/2019 Choclate Industry
22/28
PROMOTIONAL OFFERS
PROMOTIONAL OFFERS NO OF RESPONDENTSFREE GIFTS 52PRICE OFFER 28
ANY OTHER 20
-
8/6/2019 Choclate Industry
23/28
FACTORS AFFECTING PURCHASE
FACTORS NO OF RESPONDENTSADVERTISEMENT 43SUGGESTION FROMFRIENDS ANDRELATIVES
14
ATTRACTIVE DISPLAY 11
-
8/6/2019 Choclate Industry
24/28
-
8/6/2019 Choclate Industry
25/28
ONCE IN A FORTNIGHT 17
DAILY 19
WEEKLY 40MONTHLY 18
QUARTERLY 6
REASONABLE PRICE
PRICE OF CHOCOLATE NO OF RESPONDENTS
BELOW Rs5 7
-
8/6/2019 Choclate Industry
26/28
Rs5 TO Rs10 25
Rs10 TO Rs20 52
Rs20 TO Rs30 5ABOVE Rs30 11
CONSUMERS BRAND LOYALTY
BRAND LOYALTY
ACTIONS
NO OF RESPONDENTS
POSTPONE YOUR 27
-
8/6/2019 Choclate Industry
27/28
PURCHASE
SWITCH OVER TO
OTHER BRANDS
23
GO TO OTHER SHOP
FOR SEARCH OF
PREFERED BRAND
50
REACTION OF CONSUMERS IF NEW BRAND IS
INTRODUCED
SHIFT TO NEW BRAND OF
THE PREFERED PRODUCT
NO OF RESPONDENTS
-
8/6/2019 Choclate Industry
28/28
NO, NOT AT ALL 37
MAY CONSIDER 28
NO, SHALL NOT 5
CANT SAY 30