major project mba 26

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INTRODUCTION In the era of liberalisation and globalisation, markets all over the world are going through a metamorphosis. The present day consumers are regularly exposed to newer life-styles, products and services unprecedented due to the impact of media and communication explosion. Simultaneously, thanks to the continuously increasing disposable incomes, there has been a radical shift in the attitude and aspirations of the consumers. Consequently, multifaceted and segment specific newer brands are regularly flooding the markets world over. In most of the categories, consumer goods more particularly Fast Moving Consumer Goods (FMCGs) are jostling for shelf-space in the overcrowded marketplace. Super markets, malls, and various retailing outlets have been catering to the ever increasing needs of the modern day consumers. In short, contemporary consumers are being offered umpteen number of choices in each and every product segment which is never seen before. We are living in an age of brands. Today, there are normally no inanimate or dump products. They have transformed into brands with a personality of their own. They can be warm or friendly, cold or distant, old fashioned or sophisticated, stylish or shabby, and so on. This aura or ethos is what distinguishes a brand from a commodity. Like outstanding individuals, the strongest brands, have more than personality—they have character, depth, and stand out in 1

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Page 1: Major Project Mba 26

INTRODUCTION

In the era of liberalisation and globalisation, markets all over the world are going through a

metamorphosis. The present day consumers are regularly exposed to newer life-styles,

products and services unprecedented due to the impact of media and communication

explosion. Simultaneously, thanks to the continuously increasing disposable incomes, there

has been a radical shift in the attitude and aspirations of the consumers. Consequently,

multifaceted and segment specific newer brands are regularly flooding the markets world

over. In most of the categories, consumer goods more particularly Fast Moving Consumer

Goods (FMCGs) are jostling for shelf-space in the overcrowded marketplace. Super markets,

malls, and various retailing outlets have been catering to the ever increasing needs of the

modern day consumers. In short, contemporary consumers are being offered umpteen number

of choices in each and every product segment which is never seen before.

We are living in an age of brands. Today, there are normally no inanimate or dump products.

They have transformed into brands with a personality of their own. They can be warm or

friendly, cold or distant, old fashioned or sophisticated, stylish or shabby, and so on. This

aura or ethos is what distinguishes a brand from a commodity.

Like outstanding individuals, the strongest brands, have more than personality—they have

character, depth, and stand out in a crowd. This character has to be sustained and protected

from a number of short-term demands so that the core image is not diffused. 'Brand itself has

become a powerful brand in the common marketing practices!' A couple of decades back,

hardly such a scenario was prevalent. Thanks to the ongoing liberalisation process and

gradual emergence of India as a market destination for the international majors, there is a big

assortment of brands in almost all product and service categories and brand competition has

developed as one of the most significant features of the Indian marketing scenario in recent

years.

.

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BRAND

Source: www.googleimages.com BRAND: MEANING AND DEFINITIONA name becomes a brand when consumers associate it with a set of tangible or intangible

benefits that they obtain from the product or service. Simply stated, brand is an outcome of

company's marketing efforts, product performance: and customer satisfaction. A strong brand

stands for many things: quality, design, product(s), position, image, and value for money and

confidence.

Brand is defined differently by many authors but the word brand is comprehensive,

encompassing other narrower terms. A brand is a name and/or mark intended to identify the

product/service of one seller or group of seller and differentiate the product or service from

competing products/ service Specifically, a brand is a name, term, design, symbol, or any

other feature that identifies one seller's good or service as distinct from those of other sellers.

The legal term for brand is trademark.

A brand name consists of words, letters, and numbers that can be vocalised. For example;

lakme,nevia,pond’s etc. are generic brand names.

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A brand is defined as a name, term, symbol or design or a combination of them which is

intended to identify goods and services of one seller or group of sellers and to differentiate

them from those of competitors'.

Recognising that homogeneity of product offered precluded identification of a given

producer's output at the point of sale, manufacturers' resort to branding as a means of

distinguishing their product from that of their competitors. Basically, a brand name is a word,

mark, term, symbol, or device or a combination of these things used to identify the goods or

services of one seller or group of sellers and to differentiate them from those of competitors.

A brand name is a word that can be spoken such as Coke, Sony, lux, Colgate, and so on.

A brand is a complex mixture of attributes: its visible face is its packaging and visual

identity, its voice is its advertising ... but its actual personality is something that really exists

only in the mind of the consumer.

IMPORTANCE AND FEATURES OF BRANDING

1. Product Quality and Status

2. Innovation

3. Choice

4. Advertising and Sales Promotion

5. Preferential Demand

Brand Loyalty Concept

Brand loyalty is defined as an active support by consumers in continuing consumption of a

particular brand in the face of competition by other branded substitutes. Such loyalty is often

subjective or subconscious.

Oliver defines brand loyalty as “a deeply held commitment to re-buy or re-patronize

preferred product or service in the future despite situational influences and marketing efforts

having the potential to cause switching behavior. Brand Loyalty is defined as a “favorable

attitude toward and consistent purchase of a particular brand”. Brand Loyalty is not a simple

uni-dimensional concept but a very complex multi-dimensional concept.

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Loyalty

A second dimension, however, is whether the customer is committed to the brand. Philip

Kotler, again,

Defines four patterns of behaviour:

Hard Core Loyals - who buy the brand all the time.

Soft Core Loyals - loyal to two or three brands.

Shifting Loyals - moving from one brand to another.

Fast Moving Consumer Goods (FMCG)

Fast Moving Consumer Goods (FMCG) satisfies the elemental and day-to-day household

needs other than grocery, ranging from packaged foodstuff, dairy products, cooking oil,

bread, butter, cereals, beverages like tea & coffee, pharmaceuticals, confectionery, biscuits,

glassware, stationary items, watches, toiletries, detergents, shampoos, skin care products,

cosmetics, toothpaste, dish washing liquid, shaving cream, razor, batteries, shoe polish,

energy drinks, soft drinks, clothing, furniture and household accessories to electronic goods

like cell phones, laptops, computers, digital cameras etc. that are usually categorized as Fast

Moving Consumer Electronics or FMCEs.

A major portion of the monthly budget of each household is spent on FMCG products. The

introduction of sachets made rural people who are traditionally not accustomed for bulk

purchase, to buy branded FMCG products like Rs1/- shampoo, nut powders, oils, detergents,

cleaning powders & liquids, tooth pastes, etc. in rural shops. This changed the pattern of

buying from traditional products to branded products. 'The Fast Moving Consumer Goods

(FMCG) sector is a corner stone of the Indian economy. This sector touches every aspect of

human life. The FMCG producers have realized that there is ample opportunity for them to

enter into the rural market. Today we notice this shift towards branded FMCGs in rural areas

as a result of Socio Economic & Political changes in the last 5 years. This has made rural

areas more viable markets even compared to urban areas.

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The Socio Economic and Political changes contributed to a great extent for changes in the

life styles countryside people who patronized branded FMCG products. The Government

policies to promote education in rural areas enhanced their brand awareness due to the

presence of at least one higher education pursuing student in their family or neighbouring

family. The different Government policies are also being helpful for rural people contributed

in enhancing people's income followed by a change in their lifestyles resulted in patronizing

the branded products.

According to the National Council of Applied Economic Research (NCAER) about 70 per

cent of Indian population living in villages, India has perhaps the largest potential rural

market in the world. It has as many as 47,000 haats (congregation markets), compared to

35,000 supermarkets in the US. And of the total FMCGs demand in India, nearly 53 per cent

comes from the rural market. At present Indian FMCG sector is worth Rs. 1300 billion and

expected to be around a whopping value of Rs. 4000 to Rs. 6000 billion by 2020. Henceforth

FMCG and its closest companion Retail sector, both are likely to create most of the jobs in

India in the coming years primarily in functions like marketing, sales, advertising, supply

chain, logistics, human resources, product packaging and development, finance, operations,

general management, supervising and so on.

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Cosmetics

Cosmetics refer to all products used to care for and clean the human body and make it more

beautiful. The main goal of such products is to maintain the body in good condition, protect it

from adverse effects of the environment and the aging process, change the appearance and

make the body smell nicer. Thus the products used for the purpose of cleansing, beautifying,

promoting attractiveness or altering one‘s appearance are termed as cosmetics. Any of the

several preparations (excluding soap) applied to the human body for beautifying, preserving

or altering one‘s appearance or for cleansing, colouring, conditioning or protecting the skin,

hair, nails, lips, eyes or teeth are included in Cosmetics and are commonly termed as

`Cosmetics .‘

In the western world, the advent of Cosmetics was in the middle ages, although restricted to

use within the upper classes. Cosmetics use was also questioned at some points in history

when in the 19th century, Queen Victoria publicly declared make up improper. It was viewed

as degrading and acceptable only for use by actors. By the middle of the 20th Century,

Cosmetics were in wide spread use in nearly all societies around the world.

The Global Cosmetics Industry

The Cosmetics Industry today is a multinational, multi –billion dollar industry. In 2009, the

Global Beauty and Personal Care Market was valued at U.S. $ 406.5 billion, up 17% from

U.S. $ 348.7, in 2005 (in fixed exchange rate terms). A look at the global distribution of

Cosmetics Consumption in the year 2009 revealed that Europe was the Leader with 39.5 %

Market Share, North and South America together followed with 34 %, and Asia – Pacific had

a Market Share of 26.4 % . Global market shares of the cosmetics products according to their

revenues amounted to 27.2 % Over The Counter Health care Products, 17.1% % Skin care

Products, 10.5 % Hair care Products, 7.9 % Colour Cosmetics and Remaining 29.7%

comprised Shares of Other Categories of Cosmetics Products. Of the major players in the

Cosmetics industry in 2009, were the oldest and the largest is L‘Oreal, founded in France as a

hair colouring company. The market was developed in the U.S.A.

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During the 1910s by Elizabeth Arden, Helena Rubinstein and Max Factor which were

followed by Revlon before and Estee Lauder just after the World War II. As of 2009, In

terms of Global Company Shares, Procter & Gamble Company, together with its subsidiaries,

which manufactures and sells various consumer products worldwide is the largest player in

the Global Cosmetics Industry with a market share of 11.7% , followed by The L‘Oreal

Groupe with 10.1% market share, And Unilever Group with a market share of 6.8% . And so

far as Brand Shares in 2009 were concerned, the World‘s Leading Brand was Avon with a

Market Share of 3.4%, followed by L‘Oreal Paris in second place, with a Market Share of

3.2% and Nivea with a Market Share of 2.8% in third place.

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The Indian Cosmetics Industry:

The Indian Cosmetics Industry is growing in terms of product development and marketing.

The preference of Indian consumers is changing from merely functional to more

`advanced and specialized ‘cosmetics items. In 2005 the sales of Cosmetics & Toiletries

in India stood at nearly Rs.176.025 billion, which was a 7 % rise over the Cosmetics &

Toiletries sales in the year 2004 which were Rs. 164.614 billion. And in the year 2009

the sales reached Rs. 277.302. Thus, a 58% growth in the Retail Sales of Cosmetics and

Toiletries in India was observed over the five years spanning from 2005-2009. India is one of

the fastest growing markets of Cosmetic & Toiletries in the world.

The entry of many multinationals into the Indian Cosmetics and Toiletries industry post 2005

has made it an extremely challenging and dynamic market. Foreign players are focusing more

on product innovation; re launches and brand extensions spread across multiple price points

and enhanced product penetration by extending their distribution networks. Briney has

described an interesting trend among Indian Consumers; while global countries are taking to

the traditional Indian herbal and ayurvedic applications for beauty solutions, Indian

consumers are increasingly attracted to international personal care brands as lifestyle

enhancement products in the belief that the association with the use of international brands

confers upon oneself a sophisticated and upper class image . Malhotra (2003) described the

main reasons for boom in cosmetic industry as increasing fashion and beauty consciousness

coupled with rising incomes and focus on health and fitness. To complement this, beauty

culture or cosmetology has emerged as a major occupational avenue with significant

commercial potential. New scientific developments, techniques, products and media hype,

has contributed the Indian fashion industry in generating mega revenues and this has in turn

added to the growth of cosmetic industry.

The History of Cosmetics 8

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Ever since the Egyptian era, cosmetics have been used quite commonly. They were usual in

the Roman Empire and the Ancient Greece Empire, as well. The thought of putting on

cosmetics in order to improve the facade of youth in ideal health is applicable right up to

today. Colorful cosmetics conceal the appearance of pale lips and fingernails, whitish cheeks

and dry hair. A lot of the cosmetics that were used in the past consisted of hazardous

ingredients. Perhaps the dangers were unknown then, but there is no excuse for these same

hazardous ingredients to continue to be used today. Frequently, there was more significance

emphasized on the application of makeup rather than cleaning and washing the skin.

In the history of cosmetics, whitening the face was actually one of the most usual cosmetic

rituals from the 14th century onwards. This remained popular in the 18th century. A

combination of hydroxide, lead oxide, and carbonate was frequently used. This could cause

paralysis of the muscles or even death when being used repetitively. In the 18th century, it

was substituted by zinc oxide.

The painting of the fingernails has been part of the history of cosmetics for a long period of

time. The first evidences date from 3000 BC in the country of China. They made use of gum

Arabic, gelatin and egg whites to produce a varnish. Silver and gold nail colors were used by

the noble families in China. The colors red and black were also used in the 1st century AD.

The lesser classes were only permitted to use pale colors. In Egypt, the color of the nail

varnish was also used to represent social rank. Henna was also used to paint the nails. Now,

nail varnish has an assortment of colors and is actually a variant of car paint.

Dressing hair and hair dye isn‘t new. The Greeks, Romans and Ancient Egyptians all have a

history of intricate forms of dyeing and hairdressing. The majority of the past hair dyes like

henna, sage, chamomile and indigo, could only give the hair a darker color. Female Romans

would boast their dark and shiny hair that has been colored with a combination of leeks and

boiled walnuts. They also made use of blond-colored dyes made from ashes and goat fat.

It was in the year 1907 that the very first artificial dye was invented by Eugene Schueller, a

French chemist. It was initially named Aureole, but was later changed to what is now known

as L‘Oreal.

Brand Switching -a major challenge for companies to face

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Many marketing managers are concerned with a growing trend towards brand switching.

Markets in which first-time purchases are rare, advertising if it works at all affects brand

shares by either inducing, switching or retaining customers who otherwise might switch.

Among the reasons given for the decline in brand loyalty are consumer boredom or

dissatisfaction with a product, the dazzling array of new products that constantly appear in

the market-place and an increased concern with price at the expense of brand loyalty.

Advertisement also plays a vital role in the direction of brand switching. The three possible

consequences advertising exposure can have on the brand choice behaviour of a household

are: It can increase the probability that the household will change brands, it can induce the

household to stay with the brand last purchased (leading to repeat purchasing) or it can have

no effect on choice probabilities.

People switch brands for various reasons. According to Graham Hankinson, there are two

different types of brand switchers: promiscuous switchers and constrained switchers.

Promiscuous switchers switch brands for a number of reasons. They may shop according to

price and therefore buy whichever brand is on special at that particular point in time or they

may shop for convenience and purchase those brands which are available at their nearest

supermarket (Irwin, 2004).

Constrained switchers have a limited selection of brands from which they choose depending

on the occasion or circumstance. For example, in the category of instant coffee, a constrained

switcher may purchase Ricoffy for everyday use but Nescafe for special occasions. There is

also a school of thought which proposes that people switch brands purely for variety seeking

reasons (Solomon, 1994).These consumers switch brands even if the current brand satisfies

their needs. To them, there is no rational reason for the change except that they are bored

with the current brand. In addition to the reasons mentioned above, it should also be noted

that consumers switch brands when they are unhappy with their current brand. This may

occur because of an unexpected and unwelcome change in any one of the elements of the

marketing mix (product, price, place and promotion

The Science of Shampoo :-

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The hair-specific composition of shampoo products is designed for the individual’s desire to

practice both good personal hygiene as well as the “cosmetic ritual that addresses a concern

for appearance” (Wong 1997). The proper cleansing of hair must address the complexity of

soil that builds up from a combination of airborne contaminants, hair care products and, most

importantly, oily hair lipid and sebum secreted by glands in the skin. When this natural

byproduct combines with external pollutants, they build up on the individual follicles of hair

and the hair takes on an oily, slick appearance. The innovations in hair care in the past one

hundred years focus on this issue by using materials that target the hair lipids through “highly

surface-active” cleansing agents called surfactants to break down and distribute healthy

natural oils while washing away contaminants (Wong 1997).The composition of shampoo has

been developed and marketed to specific types of hair since the early nineteenth century, but

modern shampoos have achieved a pinnacle of performance and specificity. Though the

primary attribute of a good shampoo is effective cleansing of the hair, shampoo

manufacturers must address a wide array of needs, from conditioning and anti-dandruff

formulas to specially styled and color-treated hair. There are also milder shampoos for babies

and shampoos containing natural, often plant-derived ingredients to replace harsher

chemicals (Wong 1997). Shampoo may be a late entry in the arena of personal hygiene, but

our knowledge of cleanliness is one that remains under intense scrutiny by scientists as we

adapt to battle the ever-changing world of dirt and filth—a world that is now understood

microscopically.

Introduction about face wash

Face is the reflection of an individual’s physical appearance. Generally, the beauty of a

person is described by the look of one’s face. Thus, to enhance the beauty of the face people

use face care products whose market is growing at double digits. The industry manufactures

products like face wash, face cream, face scrub, face toner, moisturizer, cleanser, etc.

face wash are used for clarification and purification of the facial skin from dust and harmful

rays of the sun and also for toning.

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Key Player of face wash in India :-The size of the face wash market in 2011 was Rs 1200

crore and currently growing at 15.2 per cent year-on-year …The key players are-

HIMALAYA FACE WASH

CLEAN & CLEAR FACE WASH

CLEARASIL FACE WASH

GARNIER FACE WASH

LAKME FACE WASH

POND’S FACE WASH

INTRODUCTION ABOUT DEODRANTS

Human perspiration is largely odorless until it is fermented by bacteria that thrive in hot,

humid environments. The human underarm is among the most consistently warm areas on the

surface of the human body, and sweat glands provide moisture, which when excreted, has a

vital cooling effect. When adult armpits are washed with alkaline pH soap, the skin loses its

acid mantle (pH 4.5 - 6), raising the skin pH and disrupting the skin barrier. As many bacteria

thrive in this elevated pH environment, this makes the skin susceptible to bacterial

colonization.[10] The bacteria feed on the sweat from the apocrine glands and on dead skin and

hair cells, releasing trans-3-Methyl-2-hexenoic acid in their waste, which is the primary cause

of body odor. Underarm hair wicks the moisture away from the skin and aids in keeping the

skin dry enough to prevent or diminish bacterial colonization. The hair is less susceptible to

bacterial growth and therefore is ideal for preventing the bacterial odor.

Deodorants are classified and regulated as cosmetics by the U.S. Food and Drug

Administration (FDA) and are designed to eliminate odor. Deodorants are usually alcohol-

based. Alcohol initially stimulates sweating, but may also temporarily kill bacteria.

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Deodorants can be formulated with other, more persistent antimicrobials such as triclosan, or

with metal chelant compounds that slow bacterial growth. Deodorants may contain perfume

fragrances or natural essential oils intended to mask the odor of perspiration.

Deodorants combined with antiperspirant agents are classified as drugs by the FDA.

Antiperspirants attempt to stop or significantly reduce perspiration and thus reduce the moist

climate in which bacteria thrive. Aluminium chloride, aluminium chlorohydrate, and

aluminium-zirconium compounds, most notably aluminium zirconium tetrachlorohydrex gly

and aluminium zirconium trichlorohydrex gly, are frequently used in antiperspirants.

Aluminium chlorohydrate and aluminium zirconium tetrachlorohydrate gly are the most

frequent active ingredients in commercial antiperspirants. Aluminium-based complexes react

with the electrolytes in the sweat to form a gel plug in the duct of the sweat gland. The plugs

prevent the gland from excreting liquid and are removed over time by the natural sloughing

of the skin. The metal salts work in another way to prevent sweat from reaching the surface

of the skin: the aluminium salts interact with the keratin fibrils in the sweat ducts and form a

physical plug that prevents sweat from reaching the skin’s surface. Aluminium salts also have

a slight astringent effect on the pores; causing them to contract, further preventing sweat from

reaching the surface of the skin. The blockage of a large number of sweat glands reduces the

amount of sweat produced in the underarms, though this may vary from person to person.

Over-the-counter products labeled as "natural deodorant crystal" containing the chemical

potassium alum have gained new-found popularity as an alternative health product. A popular

alternative to modern commercial deodorants is ammonium alum, which is a common type of

alum sold in crystal form and often referred to as a deodorant crystal. It has been used as a

deodorant throughout history in Thailand, the Far East, Mexico and other countries.

Deodorants and antiperspirants come in many forms. What is commonly used varies in

different countries. In Europe, aerosol sprays are popular, as are cream and roll-on forms. In

the United States, solid or gel forms are dominant.

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Review of the Literature

SATENDRA THAKUR* DR. A. P SINGH* ( 2012)

Brand image, customer satisfaction and loyalty intention: a study in the context of cosmetic

product among the people of central india by Assistant professor, Department of

Management, RKDF Group of Institute, Gandhi Nagar, Bhopal. Director, Maharana Pratap

College of Management, Bhopal .In this research article they have examine the relationship

between brand image, customer satisfaction and loyalty intention in the context of cosmetic

product of selected company brand among the peoples of central India, five benefit of brand

image has been discussed namely social, functional, symbolic, experiential and appearance

enhance. Information has been obtained from 150 male as well as female customers who

always used the cosmetic product of selected brand for the proposed research work. Result

has show that three brand image benefit namely functional, social and appearance enhance

has positively and significantly related to customer satisfaction and loyalty intention and two

benefit namely experiential and symbolic has no significant impact on customer satisfaction

and loyalty intention on the other hand result indicate that there is a positive relationship

between customer satisfaction and loyalty intention. The result imply that marketing manager

should focus on the brand image to win the customer satisfaction in order to make the

customer loyal about their product and service.

GURVINDER SHERGILL(2007)

Country of origin effects on consumers’ perceptions of cosmetic brands by gurvinder shergill,

massey university, new zealand, this study investigates whether a brand’s country of origin

effects differ on consumers’ brand perceptions in terms of brand awareness, perceived

quality, brand association and brand loyalty for cosmetic products. female consumers were

the target population, and the data was collected through a mall intercept survey.

confirmatory factor analysis was used for scale validation, and finally consumers’ perceptions

towards overseas brands and new zealand brands were then compared. based on a survey of

212 respondents aged over 18 years old, the findings indicate that respondents tend to show

more positive brand perceptions toward overseas brands compared to domestic brands. these

findings have several managerial implications for both overseas and local cosmetic brand

owners.

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C. Muthuvelayutham and L. Subburaj (2012)

Due to increased competition, locally as well as internationally, organizations needa

distinguishing element that will keep consumers identifying and buying their

Product.Withcompetition increasing annually, the traditional sources of competitive

advantage no longer provide long term security for a company, product or marketer. In other

words, leadership in price and quality is not enough to ensure the success of a product

anymore. Company executives are recognising that the true worth of the organization is not

the tangible assets it owns, but the value ascribed to the brands it is developing to satisfy the

needs of the Consumer. so This study analyzes the relationship between demographic

variables on the brand loyalty of the consumers and tries to identify the consumer’s switching

factors in respected selected product category. The study is essentially a correlation study. A

randomly selected sample of 600 from Tamil Nadu State, South India, particularly Madurai,

Tuticorin, Kanyakumari districts were selected to analyze. To indicate the amount of

correlation between the variables, Chi-square test was used. Results show that among the

variables age, education level and gender have the most significant impact on consumer’s

brand loyalty.

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ObjectivesThe report addresses the following issues after reviewing the previous studies:

1. To evaluate the impact of demographic characteristics (age, education, gender,) on the

brand loyalty.

2. To spot the primary reasons for switching behaviour in the respective / selected product

category.

3. To study about reason for having/being Brand Loyal.

4. To analyse of what makes customer having Brand Loyal.

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Research Methodology

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Research MethodologyA descriptive research was carried out at the second stage by applying a survey method. Data

for the study were collected from cosmetic shops belonging to the AT BATHINDA CITY

Districts respondents; The tool used for data collection is an interview schedule, Bar chart

which covered the demographic profile of consumers, details about purchase patterns, and

various factors considered for buying cosmetics. The consumers were interviewed at the

leading cosmetic shops

Sources of Information

In executing the literature review, many sources were studied in order to gain input from a

variety of individuals who are knowledgeable or opinionated on the topic of consumer buying

behaviour. At the initial stages of the literature review, several textbooks were consulted in

order to attain a detailed definition of the topic and all related terms, the study of journals and

other publications. Journals relating to business, marketing, advertising and consumer buying

behaviour were consulted. The websites of various reputable companies and online journals

were also viewed in order to relate the theory to practical real life experiences.

Research methodology is a science of studying how research is done scientifically. It is

important for the researcher not only to know the technique but also the methodology he uses.

In this we will study

1. Scope of the study

2. Research design

(A) Sampling design

(B) Data design

1. Scope of the study

Project survey was conducted in BATHINDA. Respondents were chosen randomly which

included both the poor uneducated people, who can’t afford the expensive branded products

and as well as the upper and the middle class educated respondents who are well aware of the

benefits of the branded cosmetic products.

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2. Research design

Decision regarding what, when, where, how much, by what means, concerning in an enquiry

constitute a research design. A research design is the arrangement of conditions for collection

and analysis of data in a manner that aims to combine the relevance to the research purposes

with economy in procedures.

The research type for this survey was exploratory because of the flexible nature of the

research design.

A) Sampling design

It is a definite plan for obtaining of sample from a given population. It refers to the technique

the researcher would adopt in selecting items from the sample.

B) Sample universe

A universe is all items in any field.

In this study the universe was taken as the people of Punjab.

And for the survey, Sample was taken from Patiala, considering that people of Bathinda are

fairly good representatives of the state of Punjab.

Sampling technique

In the present study convenient random sampling technique was used.

Sampling size

No. of items selected from a universe constitute the sample size.

In my study sample size was of 100 respondents.

(B) Data design

Nature of data was both primary and secondary.

For primary data a structured non-disguised Questionnaire was used whereas for secondary

data magazines, journals and Internet were consulted.

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SAMLE PROFILE (No. of Respondent 100)

Demographic Factor Categories No. Of Respondent

AGE 18-20

21-25

26-30

Above 30

15

35

30

20

MARITAL Married

Unmarried

45

55

QUALIFICATION Less than SSC

SSC/HSC

Graduation

Post Graduation

15

24

25

46

OCCUPATION Student

Homemaker

Service

Own Business

Professional

23

10

20

32

15

INCOME Below 10,000

10,000-25,000

25,001-50,000

50,001 and Above

0

32

43

25

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DATA ANALYSIS AND

INTERPRETATION

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1.1. Your Age in Years

Age No. Of Persons 18-20 15

21-25 35

26-30 30

Above 30 20

.

18-20 21-25 25-30 above 300

5

10

15

20

25

30

35

40

Age Profile Of Respondents

There are 35 respondents are between age 21 to 25, 30 respondents are between 26 to 30 ,15

respondents are between 18 to 20 and 20 respondents are above 30. According to survey

most of the respondents are young generation which are using the cosmetic products and less

user above 30 year old.

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1.2. Your Marital Status

Marital status No. Of Persons

Unmarried 45

Married 55

55

45

Marital Status Of Respondents

MarriedUnmarried

According to survey most of the respondents are married because 50 respondents are more

then 25 year old and 45 respondents are unmarried. Most of the married women and girls are

using the cosmetics.

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1.3. Your Educational Qualification

Qualification No Of Persons

Less than SSC 15

SSC/HSC 24

Graduation 25

Post Graduation 46

15

24

25

46

Qualification Profile of Respondents

LESS THAN SSCSSC/HSCgraduationpost graduation

There are most of the 46 respondents are post graduate, 25 respondents are graduate and 24

respondents are HSC & 15 are only SSC passed.

1.4. Your Occupation:

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Occupation No. Of Persons

Student 23

Homemaker 10

Service 20

Own Business 32

Professional 15

23

10

32

20

15

Occupation Profile of Respondents

STUDENTHOMEMAKEROWN BUSINESSSERVICEProfessional

There are 32 respondents have own business,23 respondents are students,20 respondents are

serviceman ,15 respondents are professional & 10 respondents are homemaker .according to

survey own businessman brand loyal related to cosmetic.

1.5. Your Monthly Family Income in Rupees

Monthly Income No Of Persons

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Below 10,000 0

10, 000 to 25,000 32

25,001 to 50,000 43

50,001 and Above 25

32

43

25

Income Profile of Respondents

below 10000/mnth10001-2500025001-5000050001and above

There are 43 respondents income level is between 250001 to 50000 per month, 32

respondents are between 100001 to 25000 and 25 respondents are above 50001. Most of the

respondents are at good level of income which are easily afford the cosmetic expenses.

1.6 Which is your most prefer brand of Shampoo among the following

Brand of Shampoo No Of Persons

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Dove 13

Garnier 15

Lux 2

Clean & Clear 15

Pantene 10

Sun silk 2

Head & Shoulder 35

Clinic plus 8

Other 0

13

15

2

1510

2

35

8

Brand Prefrence For Shampoo

DoveGarnierLuxClean & ClearPanteneSun SilkHead & ShoulderClinic Plus

There are 35 respondents used the PANTENE brand of shampoo. SUNSILK and LUX

shampoo brand are less used by respondents. according to survey PANTENE brand is too

much brand loyal as compare to others.

1.7 Since how long you are using this particular brand ?

Period Of Using Particular brand No Of Persons

< 6 month 13

6 month -<1 year 20

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1- <2 year 27

2year& Above 2 year 40

< 6 months 6- < 1 year 1- < 2 year 2 & above 2 year0

5

10

15

20

25

30

35

40

Length Of Brand Association

According to survey most of the users are brand loyal more than 2 & above 2 year that are 40

respondents and very less respondents are using particular brands <6months. Respondents

are using particular brand from long time.

1.8 The following factors affect my brand loyalty while purchasing Shampoo

Sr. no Determine brand loyalty

Strongly agree

Agree Undecided Disagree Stronglydisagree

1. Price 5 15 40 25 152. Brand 65 10 15 7 3

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name3. Quality 76 20 4 0 04. Packaging

& Labelling

10 43 37 9 1

5. Promotion

45 25 30 0 0

6. Family & friends

26 39 28 7 0

Mean Score Table

Price 2.7

Brand Name 4.2

Quality 4.7

Packaging & Labelling 3.5

Promotion 4.2

Family & friends 3.8

4.2

4.7

3.54.2

3.8

2.7

Factors Affect on Brand Loyaltybrand nameQualityPackaging & LabellingPromotionFamily & friendsprice

According to survey Price factor not affect brand loyalty in shampoo brand case. Quality ,

Brand name and Promotion highly affect brand loyalty.

1.9 I may change my preferred brand of Shampoo because of following

reasons

Sr. no.

Reasons Strongly agree

Agree Undecided Disagree

Stronglydisagree

1. Variety 2 5 33 25 35

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2. Innovating product

7 19 17 38 12

3. Imported product

13 32 22 23 10

4. Non availability 17 43 20 6 45. Quality not at

expected level5 18 27 36 14

6. Price 5 26 29 25 157. Family influence 15 28 42 9 6

2.1

2.5

3.23.3

2.6

2.8

Reasons For Change In Brand

VarietyInnovating ProductImported ProductNon AvailabilityQuality not at expected levelPrice

Accordings to survey Non availability and Imported Product are strongly effect to change the

brand loyalty .Price and Variety have average affect on changing brand loyalty .it may be

affect or not the loyalty.

1.10 Which is your most prefer brand of Deodorants among the following Deodorant No Of Persons

Dove 13

Fogge 17

30

Mean Score Mean ValueVariety 2.1Innovating product 2.5 Imported product 3.2Non availability 3.3Quality not at expected level 2.6Price 2.8Family influence 3.4

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Axe 24

Nivea 2

Denim 2

Setwet 32

Other 0

13

17

2422

32

Brand Preference For Deodorant

DoveFoggeAxeNiveaDenimSetwet

There are 32 respondents used the SETWET brand of Deodorants. DENIM and NIVEA

Deodorants brand are less used by respondents. According to survey SETWET and AXE

brand is too much brand loyal as compare to others.

1.11 Since how long you are using this particular brand ?

Period Of Using Particular brand No Of Persons

< 6 month 13

6 month -<1 year 18

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1- <2 year 29

2year& Above 2 year 40

< 6 months 6- < 1 year 1- < 2 year 2 & above 2 year0

5

10

15

20

25

30

35

40

Length of Brand Association

According to survey most of the users are brand loyal more than 2 & above 2 year that are 40

respondents and very less respondents are using particular brands <6months. Respondents

are using particular brand from long time.

1.12 The following factors affect my brand loyalty while purchasing D/O

Sr. no Determine brand loyalty

Strongly agree

Agree Undecided Disagree Stronglydisagree

1. Price 5 23 35 32 52. Brand 75 13 17 0 O

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name3. Quality 63 20 17 0 04. Packaging

& Labelling

15 37 33 10 5

5. Promotion

73 10 7 7 3

6. Family & friends

2 25 23 39 11

Mean Score ValuePrice 2.4Brand Name 4.7Quality 4.4Packaging & Labelling 3.5Promotion 4.4Family & Friends 2.5

2.4

4.7

4.43.5

4.4

2.5

Factors affect Brand Loyalty

PriceBrand NameQualityPackaging & LabellingPromotionFamily & Friends

According to survey Price factor average affect brand loyalty in Deodorants brand case.

Quality , Brand name and Promotion highly affect brand loyalty.

1.13 I my change my preferred brand of D/O because of following reasons

Sr. no.

Reasons Strongly agree

Agree Undecided Disagree

Stronglydisagree

1. Variety 3 22 47 23 52. Innovating 29 26 10 29 6

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product3. Imported product 7 23 37 33 04. Non availability 39 26 20 12 35. Quality not at

expected level14 37 14 13 12

6. Price 2 19 14 52 137. Family influence 2 18 40 33 7

Mean Score ValueVariety 2.9Innovating product 3.4Imported product 3.0Non availability 3.8Quality not at expected level 2.9Price 2.4Family influence 2.7

2.9

3.4

3

3.8

2.9

2.4

2.7

Reasons For Change in brand

VarietyInnovating productImported productNon availabilityQuality not at expected levelPriceFamily influence

Accordings to survey Non availability and Innovating Product are strongly effect to change

the brand loyalty .Price and Family influence have average affect on changing brand

loyalty .it may be affect or not the loyalty.

1.14 Which is your most prefer brand of face wash among the following Face wash No Of Persons

Dove 10

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Garnier 41

pond’s 14

Amway 2

Everyouth 15

Himalya 7

Lakme 5

Clean & clear 4

Other 2

10%

41%

14%

2%

15%

7%

5%4%2%

Brand Preference for FacewashDove Garnier Pond's Amway everyouthHimalya Lakme Clean & clear other

There are 41 respondents used the GARNIER brand of Face wash. DOVE and

EVERYOUTH face wash brands are less used by respondents. According to survey

GARNIER brand is too much brand loyal as compare to others.

1.15 Since how long do you use particular brand ? Period Of Using Particular brand No Of Persons

< 6 month 20

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6 month -<1 year 12

1- <2 year 40

2year& Above 2 year 28

< 6 months 6- < 1 year 1- < 2 year 2 & above 2 year0

5

10

15

20

25

30

35

40

Length of Brand Association

According to survey most of the users are brand loyal more than 1 & <2 year that are 40

respondents and very less respondents are using particular brands 6- <1months.

Respondents are using particular brand from long time.

1.16 The following factors affect my brand loyalty while purchasing face wash

Sr. noDetermine brand loyalty

Strongly agree

Agree Undecided Disagree Stronglydisagree

1. Price 7 18 35 31 9

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2. Brand name

35 33 12 12 8

3. Quality 73 15 12 0 04. Packaging

& Labelling

12 17 31 23 17

5. Promotion

67 13 12 8 0

6. Family & Friends

14 29 37 19 1

Mean Score ValuePrice 2.8Brand name 3.7Quality 4.6Packaging & Labelling 2.8Promotion 4.3Family & Friends 3.3

2.8

3.7

4.62.8

4.3

3.3

Factors Affect Brand Loyalty

PriceBrand nameQualityPackaging & LabellingPromotionFamily & Friends

According to survey Price factor average affect brand loyalty in Face wash brand case.

Quality , Brand name and Promotion highly affect brand loyalty.

1.17 I may change my preferred brand of face wash because of following reasons

Sr. No.

Reasons Strongly agree

Agree Undecided Disagree

Stronglydisagree

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1. Variety 3 7 40 36 142. Innovating

product15 28 35 20 2

3. Imported product

11 34 20 25 10

4. Non availability 23 37 23 12 55. Quality not at

expected level26 24 29 18 3

6. Price 7 17 36 29 117. Family influence 10 25 28 23 14

Mean Score ValueVariety 2.3

Innovating product 2.4

Imported product 3.7

Non availability 3.6

Quality not at expected level 3.4

Price 2.8

Family influence 2.9

2.3

2.4

3.7

3.6

3.4

2.8

2.9

Reasons for Change in Brand

Variety Innovating product Imported productNon availabilityQuality not at expected levelPriceFamily influence

Accordings to survey Non availability and Imported Product are strongly effect to change the

brand loyalty .Price and Quality not at expected level have average affect on changing brand

loyalty .it may be affect or not the loyalty.

Limitations

The potential limitations of this study are described below.

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The Study of Consumer Brand Loyalty on FMCG- Cosmetic Products with Special Reference

to Bathinda city.

1. The results of this study cannot be used to reflect the delimited population as a whole. This

study collects convenient samples from Bathinda Districts respondents therefore, one cannot

generalize the results of the study to the delimited population. This study can only reflect a

specific and limited population’s FMCG-Cosmetic Products Brand loyal and needs.

2. Survey research plays an important part in creating a successful study. The success of this

study depends upon whether the questions will be clearly understood and answered, as well

as upon whether or not the respondents honestly and diligently answer the questions and

complete the survey for this study.

3. As it is not possible to investigate all concepts, there may be certain other issues which are

of importance to the subject but which will not be covered.

4. Time constraint also limits the amount of research that could be conducted and included in

the literature review. The different groups served to reduce this limitation, as they are

expected to review a considerable amount of subjects in the time allocated.

FINDINGS

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1. Younger are more using the cosmetics than the orders.

2. More people are brand loyal towards the cosmetic brands.

3. Price factor not more affect the purchasing decisions.

4. Mostly people are using particular brand from more than 2 years.

5. Quality is the main factor to being brand loyal.

6. Most of the famous brands according to survey are PANTENE in Shampoo,

GARNIER in Face wash and SETWET in Deodorants.

.

Conclusion

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Examining brand loyalty is an important area of inquiry in the vast understanding of

consumer behavior. Primarily, because consumer brand loyalty differ significantly in

previous studies, this study has been focused on the specific brand loyalty differences, in

relation to consumer goods particularly FMCG-Cosmetic Products, between male and female.

As the world is globalizing, products are being sold more often nationally and internationally

rather than locally. Consumers’ shopping characteristics are important factors when products

are developed by the companies and in return by focusing the promotional and distribution

strategies. Consumer’s exhibit different characteristics and market behaviours, and they often

have different purchasing orientations, which may be based upon nationality. These

differences are affected by demographic factors. These things were clearly discussed in this

study, so those who are all business man want to marketing their product into market to

whom this research will be useful to know how effective demographic factors are affecting

the Brand Loyalty and significance of demographic factors in determining brand loyalty and

then they may frame their own marketing strategy to get success in marketing & market

research field.

Suggestion

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Concerning FMCG Cosmetic product usage most of the customer having brand loyal

particularly on face wash, ,shampoo & deodrants products. these habits may be change

through using of effective marketing strategy particularly in advertisements in which

companies which are manufacturing of cosmetic product may use of film stars or sports star,

endorsement for their products to marketing, because of most of respondents were purchased

their cosmetics based on these endorsement were identified. Through this study identifies

how effectively demographics factors like gender, education, age had an impact on consumer

having brand loyalty, based on the report findings. Companies may change their marketing

programme for marketing of their goods into Bathinda City market environment.

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BIBLOGRAPHY

1. Stephen L. Sondoh “The effect of brand image on overall satisfaction and loyalty intention in the context of color cosmetic” Asian Academy of Management Journal, Vol. 12, No. 1, 83–107, January (2007).

2. C. Muthuvelayutham& L. Subburaj “The Study Of Brand Loyalty On FMCG-Cosmetic Products” Eurojournals Publishing (2012) www. Europeanjournal of scientific research.com.

3. Satendra Thakur * Dr. A.P SINGH* “ Brand Image,Customer Satisfaction And Loyalty Intention” Vol.2 Issue 5,ISSN 2249 8834 (May 2012) www.zenithresearch.org.in.

4. Gurvinder Shergill “Country of Origin Effects on Consumers’ Perceptions of Cosmetic Brands” , Massey University, New Zealand, Jung-Hsin Kuo, Eulogiums Co., Ltd, Taiwan, Vol. 29,No.8,pp . 389-419 (2007).

5. Abel P. Jeuland, Frank M. Bass & Gordon P. Wright, ”A Multibrand Stochastic Model Compounding Heterogeneous Erlang Timing and Multinomial Choice Prosseses”, Operations Research, Vol. 28, No. 2, pp. 255-277 (March-April 1980).

6. Kirthi Kalyanam, Daniel S. Putler, ”Incorporating Demographic Variables

in Brand Choice Models: An Indivisible Alternatives Framework”, Marketing Science, Vol. 16, No. 2, pp. 166- 181 (1997).

7. Purushottam Papatla, ”A Multiplicative Fixed-effects Model of Consumer Choice”, Marketing Science, Vol.15, No. 3, pp. 243-261 (1996).

8. Randall L. Schultz & Andris A. Zoltners, ”Marketing Decision Models”, Elsevier Science Publishing Co. (1982).www.scribd/ Marketing Decision Models.in.

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9. Rishin Roy, Pradeep K. Chintagunta & Sudeep Haldar, ”A Framework for Investigating Habits,‘‘The Hand of the Past’’, and Heterogeneity in Dynamic Bran.

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ANNEXURE

1.1. Your Age in Years: (Please Tick your age group)

18-20 21-25

26-30 Above 30

1.2. Your Marital Status: (Please √)

Unmarried Married

1.3. Your Educational Qualification (Please √)

Less than SSC SSC/HSC

Graduation Post Graduation

1.4. Your Occupation: (Please √)

Student Homemaker Service

Own Business Professional

1.5. Your Monthly Family Income in Rupees: (Please √)

Below 10,000 10, 000 to 25,000

25,001 to 50,000 50,001 and Above

1.6 Which is your most prefer brand of Shampoo among the following

1. Dove 2. Garnier 3. Lux

4. Clean & Clear 5.Panteen 6. Sunsilk

7. Head & Shoulder 8. Clinic plus 9. Other

1.7 Since how long you are using this particular brand ?

1. < 6 month 2. 6 month -<1 year

3. 1- <2 year 4. 2year& Above 2 year

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1.8 The following factors affect my brand loyalty while purchasing Shampoo

Sr. no Determine brand loyalty

Strongly agree

Agree Undecided Disagree Stronglydisagree

1. Price2. Brand

name3. Quality4. Packaging

& Labelling

5. Promotion

6. Family & friends

1.9 I may change my preferred brand of Shampoo because of following reasons

Sr. no.

Reasons Strongly agree

Agree Undecided Disagree

Stronglydisagree

1. Variety 2. Innovating

product3. Imported

product4. Non availability5. Quality not at

expected level6. Price7. Family influence

1.10 Which is your most prefer brand of D/O among the following 1. Dove 2. Fogge 3. Axe 4. Denim 5. Nivea 6. Setwet 7. Other

1.11 Since how long you are using this particular brand ? 1. < 6 month 2. 6 month - <1 year

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3. 1- <2 year 4. 2 & Above 2 year1.12 The following factors affect my brand loyalty while purchasing D/O

Sr. no Determine brand loyalty

Strongly agree

Agree Undecided Disagree Stronglydisagree

1. Price2. Brand

name3. Quality4. Packaging

& Labelling

5. Promotion

6. Family & friends

1.13 I my change my preferred brand of D/O because of following reasons

Sr. no.

Reasons Strongly agree

Agree Undecided Disagree

Stronglydisagree

1. Variety 2. Innovating

product3. Imported product4. Non availability5. Quality not at

expected level6. Price7. Family influence

1.14 Which is your most prefer brand of face wash among the following 1. Dove 2. Garnier 3. Pond’s 4. Amway 5. Everyouth 6. Himalya 7. Lakme 8. Clean & clear 9. Other

1.15 Since how long do you use particular brand ? 1 . < 6 month 2. 6 month - <1 year 3. 1- <2 year 4. 2 & Above 2 year

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1.16 The following factors affect my brand loyalty while purchasing face wash

Sr. noDetermine brand loyalty

Strongly agree

Agree Undecided Disagree Stronglydisagree

1. Price2. Brand

name3. Quality4. Packaging

& Labelling

5. Promotion

6. Family & Friends

1.17 I may change my preferred brand of face wash because of following reasons

Sr. No.

Reasons Strongly agree

Agree Undecided Disagree

Stronglydisagree

1. Variety 2. Innovating

product3. Imported

product4. Non availability5. Quality not at

expected level6. Price7. Family influence

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