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A PROJECT REPORT
ON
AMUL CHOCOLATES AND PROJECT WORK
ENTITLED AS
“ EFFECTIVENESS OF CHOCOLATE ADVERTISEMENT
TOWARDS ITS SALES “
PREPARED AND PRESENTED
TO
Mr. RAHUL KUMAR
MANAGING DIRECTOR
KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS‘UNION
LIMITED
ANAND
Under the guidance of
Mr. Pankaj Gadhavi Mr. G. D. Trivedi
2
Marketing Department Office & Adm.
Department
BY
CHANDRAJ PANDYA
(2005 – 07)
(1
ST
MAY TO 30
TH
JUNE, 2006)
Faculty of Management Studies
Institute of Rural Management
Jodhpur (RAJASTHAN)
3
4
PREFACE
The PGDBM programme is well structured and integrated course of business
studies. The main objective of practical training at PGDBM level is to develop
skill in student by supplement to the theoretical study of business
management in general. Industrial training helps to gain real life knowledge
about the industrial environment and business practices. The PGDBM
programme provides student with a fundamental knowledge of business and
organizational functions and activities, as well as an exposure to strategic
thinking of management.
In every professional course, training is an important factor. Professors give
us theoretical knowledge of various subjects in the college but we are
practically exposed of such subjects when we get the training in the
organization. It is only the training through which I come to know that what an
industry is and how it works. I can learn about various departmental
operations being performed in the industry, which would, in return, help me in
the future when I will enter the practical field.
Training is an integral part of PGDBM and each and every student has to
undergo the training for 2 months in a company and then prepare a project
report on the same after the completion of training.
During this whole training I got a lot of experience and came to know
about the management practices in real that how it differs from those of
theoretical knowledge and the practically in the real life.
5
In today’s globalize world, where cutthroat competition is prevailing in the
market, theoretical knowledge is not sufficient. Beside this one need to have
practical knowledge, which would help an individual in his/her carrier activities
and it is true that “Experience is best teacher”.
ACKNOWLEDGEMENT
With immense pleasure, I would like to present this project report for Kaira
District Co-operative Milk Producers’ Union Ltd., Anand . It has been
an enriching experience for me to undergo my summer training at AMUL,
which would not have possible without the goodwill and support of the people
around. As a student of INSTITUTE OF RURAL MANAGEMENT I would
like to express my sincere thanks too all those who helped me during my
practical training programme.
Words are insufficient to express my gratitude toward Mr. Rahul Kumar, the
Managing Director of AMUL. I would like to give my heartily thanks to Mr. J.
K. Joshi, Manager of Administration, who permitted me to get training at
AMUL. I am very thankful to Mr. Pankaj Gadhavi, who helped me at every
6
step whenever needed and Mr. G.D.Trivedi who arranged all possible visits
for me at AMUL.
As we know research work needs hard work, keen insight and long patience
with scholarly vision based on content operation hence it becomes a humble
duty to express my sincere gratitude to Mr. Dalveer Singh, Production
incharge, and Mr. H.B Ramgadhia of chocolate plant at MOGAR.
At last but not least my grateful thanks is also extended to Mr. Mukesh
Mandun (Director’ FMS-IRM’ Jodhpur) and my thanks to all my faculty
members for the proper guidance and assistance extended by them. I am also
grateful to my parents, friends, Mr. Kartik Pandya & Mr. Kapil Pandya to
encourage & giving me moral support.
However, I accept the sole responsibility for any possible error of omission
and would be extremely grateful to the readers of this project report if they
bring such mistakes to my notice.
Date : 30
TH
June, 2006 CHANDRAJ
PANDYA Place : Anand (GUJRAT)
PGDBM
Duration : 1
ST
May to 30
th
June, 2006 SEM II
CONTENTS
7
Sr.
No.
Chapter Name Page No.
1. Introduction & History 7
2. Marketing Research 17
3. Research Design 21
4. Limitations 45
5. My Findings 46
6. Suggestions 47
7. Conclusion 48
8. Bibliography 49
8
ANAND MILK UNION LIMITED
THE KAIRA DISTRICT CO-OPERATIVE MILK
PRODUCERS’ UNION LIMITED
ANAND
9
INTRODUCTION AND HISTORY
In the year 1946 the first milk union was established. This union was
started with 250 liters of milk per day. In the year 1955 AMUL was
established. In the year 1946 the union was known as KAIRA DISTRICT
CO-OPERATIVE MILK PRODUCERS’ UNION. This union selected the
brand name AMUL in 1955.
The brand name Amul means “AMULYA”. This word derived form
the Sanskrit word “AMULYA” which means “PRICELESS”. A quality
control expert in Anand had suggested the brand name “AMUL”. Amul
products have been in use in millions of homes since 1946. Amul Butter, Amul
Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul Chocolates, Amul
Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya have made
Amul a leading food brand in India. (The total sale is Rs. 6 billion in 2005).
Today Amul is a symbol of many things like of the high-quality products sold at
reasonable prices, of the genesis of a vast co-operative network, of the
triumph of indigenous technology, of the marketing savvy of a farmers'
10
organization. And have a proven model for dairy development (Generally
known as “ANAND PATTERN”).
In the early 40’s, the main sources of earning for the farmers of Kaira
district were farming and selling of milk. That time there was high demand for
milk in Bombay. The main supplier of the milk was Polson dairy limited,
which was a privately owned company and held monopoly over the supply of
milk at Bombay from the Kaira district. This system leads to exploitation of
poor and illiterates’ farmers by the private traders. The traders used to beside
the prices of milk and the farmers were forced to accept it without uttering a
single word.
However, when the exploitation became intolerable, the farmers were
frustrated. They collectively appealed to Sardar Vallabhbhai Patel, who
was a leading activist in the freedom movement. Sardar Patel advised the
farmers to sell the milk on their own by establishing a co-operative union,
Instead of supplying milk to private traders. Sardar Patel sent the farmers to
Shri Morarji Desai in order to gain his co-operation and help. Shri Desai
held a meeting at Samarkha village near Anand, on 4
th
January 1946. He
advised the farmers to form a society for collection of the milk.
11
These village societies would collect the milk themselves and would
decide the prices at which they can sell the milk. The district union was also
form to collect the milk from such village co-operative societies and to sell
them. It was also resolved that the Government should be asked to buy milk
from the union.
However, the govt. did not seem to help farmers by any means. It gave
the negative response by turning down the demand for the milk. To respond to
this action of govt., the farmers of Kaira district went on a milk strike. For 15
whole days not a single drop of milk was sold to the traders. As a result the
Bombay milk scheme was severely affected. The milk commissioner of
12
Bombay then visited Anand to assess the situation. Having seemed the
condition, he decided to fulfill the farmers demand.
Thus their cooperative unions were forced at the village and district level
to collect and sell milk on a cooperative basis, without the intervention of
Government. Mr. Verghese Kurien showed main interest in establishing
union who was supported by Shri Tribhuvandas Patel who lead the
farmers in forming the Co-operative unions at the village level. The Kaira
district milk producers union was thus established in ANAND and was
registered formally on 14
th
December 1946. Since farmers sold all the milk
in Anand through a co-operative union, it was commonly resolved to sell the
milk under the brand name AMUL.
At
the
initial
stage
only
250
13
liters of milk was collected everyday. But with the growing awareness of the
benefits of the cooperativeness, the collection of milk increased. Today Amul
collect 11 lakhs liters of milk everyday. Since milk was a perishable
commodity it becomes difficult to preserve milk flora longer period. Besides
when the milk was to be collected from the far places, there was a fear of
spoiling of milk. To overcome this problem the union thought out to develop
the chilling unit at various junctions, which would collect the milk and could
chill it, so as to preserve it for a longer period. Thus, today Amul has more
than 150 chilling centers in various villages. Milk is collected from almost
1073 societies.
With the financial help from UNICEF, assistance from the govt. of New
Zealand under the Colombo plan, of Rs. 50 millions for factory to manufacture
milk powder and butter was planned. Dr.Rajendra Prasad, the president of
India laid the foundation on November 15, 1954. Shri Pandit
Jawaharlal Nehru, the prime minister of India declared it open at Amul dairy
on November 20, 1955.
14
PEOPLE POWER: AMUL'S SECRET OF SUCCESS
The system succeeded mainly because it provides an assured market at
remunerative prices for producers' milk besides acting as a channel to market
the production enhancement package. What's more, it does not disturb the
agro-system of the farmers. It also enables the consumer an access to high
quality milk and milk products. Contrary to the traditional system, when the
15
profit of the business was cornered by the middlemen, the system ensured
that the profit goes to the participants for their socio-economic upliftment and
common good.
Looking back on the path traversed by Amul, the following features make it a
pattern and model for emulation elsewhere.
Amul has been able to:
• Produce an appropriate blend of the policy makers farmers board of
management and the professionals: each group appreciating its rotes
and limitations,
• Bring at the command of the rural milk producers the best of the
technology and harness its fruit for betterment.
• Provide a support system to the milk producers without disturbing their
agro-economic systems,
16
• Plough back the profits, by prudent use of men, material and machines,
in the rural sector for the common good and betterment of the member
producers and
• Even though, growing with time and on scale, it has remained with the
smallest producer members. In that sense. Amul is an example par
excellence, of an intervention for rural change.
The Union looks after policy formulation, processing and marketing of milk,
provision of technical inputs to enhance milk yield of animals, the artificial
insemination service, veterinary care, better feeds and the like - all through the
village societies. Basically the union and cooperation of people brought Amul
into fame i.e. AMUL (ANAND MILK UNION LIMITED), a name which
suggest THE TASTE OF INDIA.
17
Plants
First plant is at ANAND, which engaged in the manufacturing of milk, butter,
ghee, milk powder, flavored milk and buttermilk.
18
Second plant is at MOGAR, which engaged in manufacturing chocolate,
nutramul, Amul Ganthia and Amul lite.
Third plant is at Kanjari, which produces cattelfeed.
19
Fourth plant is at Khatraj, which engaged in producing cheese.
Today,
twelve
20
dairies are producing different products under the brand name Amul. Today
Amul dairy is no. 1 dairy in Asia and no. 2 in the world, which is matter of
proud for Gujarat and whole India.
21
BOARD MEMBERS
Shri Ramsinh Prabhatsinh
Parmar
Chairman
Shri Rajendrasinh Dhirsinh
Parmar
Vice-Chairman
Shri Dhirubhai Amarsinh
Zala
Director
Smt. Mansinh Kohyabhai
Chauhan
Director
Shri Maganbhai Gokalbhai
Zala
Director
Shri Shivabhai Mahijibhai
Parmar
Director
Shri Pravinsinh Fulsinh Director
22
Solanki
Shri Chandubhai Madhubhai
Parmar
Director
Shri Bhaijibhai Amarsinh
Zala
Director
Shri Bipinbhai Manishankar
Joshi
Director
Smt. Sarayuben Bharatbhai
Patel
Director
Shri Ranjitbhai Kantibhai
Patel
Director
Shri B. M. Vyas
Managing
Director
G.C.M.M.F
Shri Deepak Dalal
District
Registrar
Shri Rahul Kumar
Managing
Director
MARKETING RESEARCH
23
Marketing research plays an important role in the process of
marketing. Starting with market component of the total marketing talks. It helps
the firm to acquire a better understanding of the consumers, the competition and
the marketing environment.
DEFINITION
“Marketing research is a systematic gathering, recording and analysis
marketing problem to facilitate decision making.”
- Coundiff & Still.
“Marketing research is a systematic problem analysis, model building and fact
finding for the purpose of important decision making and control in the
marketing of goods and services.
- Phillip Kotler.
MAIN STEPS INVOLVED IN MARKETING RESEARCH
Defining the Marketing Problem to be tackled and identifying the market
research problem involved in the task.
(1) Define the problem and its objectives.
(2) Identify the problem.
(3) Determine the information needed.
24
(4) Determine the sources of information.
(5) Decide research methods.
(6) Tabulate, Analyze and interpret the data.
(7) Prepare research report.
(8) Follow-up the study.
(1) Define the problem and its objectives :- This includes
an effective job in planning and designing a research project that will
provide the needed information. It also includes the establishment of
a general framework of major marketing elements such as the
industry elements, competitive elements, marketing elements and
company elements.
(2) Identify the problem :- Identifying the problem involves
getting acquainted with the company, its business, its products and
market environment, advertising by means of library consultation and
extensive interviewing of company’s officials.
(3) Determining the specific Information needed :- In
general the producer, the manufacturer, the wholesaler and the
retailer try to find out four things namely :-
(1) What to sell
(2) When to sell
25
(3) Where to sell
(4) How to sell
(4) Determine the sources of information :-
(a) Primary Data :- Primary datas are those which are
gathered specially for the project at hand, directly – e.g.
through questionnaires & interviews. Primary data
sources include company salesman, middleman,
consumers, buyers, trade association’s executives &
other businessman & even competitors.
(b) Secondary Data :- These are generally published
sources, which have been collected originally for some
other purpose. Source are internal company records,
government publication, reports & publication, reports &
journals, trade, professional and business associations
publications & reports.
(4)Decide Research methods for collecting data :- If it is
found that the secondary data cannot be of much use, collection of
primary data become necessary. Three widely used methods of
gathering primary data are
A) Survey
26
B) Observation
C) Experimentation
A) Survey Method :- In this method, information gathered
directly from individual respondents, either through personal interviews or
through mail questionnaires or telephone interviews.
B) Observation Method :- The research data are gathered through
observing and recording their actions in a marketing situation. This technique
is highly accurate. It is rather an expensive technique.
C) Experimental Method :- This method involves carrying out a
small scale trial solution to a problem, while at the same time, attempting to
control all factors relevant to the problem. The main assumption here is that
the test conditions are essentially the same as those that will be encountered
later when conclusions derived from the experiment are applied to a broader
marketing area.
D) The Panel Research :- In this technique the same group of
respondents is contacted for more then one occasion; and the information
obtained to find out if there has been any in their taste demand or they want
any special quality, color, size, packing in the product.
a) Preparation of questionnaire
b) Presetting of questionnaire
c) Planning of the sample
27
(5) Tabulate, Analysis and Interpret the Data :-
The report must give/contain the following information:-
a) The title of research
b) The name of the organization for which it has been
Conducted
c) The objectives of research
d) The methodology used
e) Organization and the planning of the report
f)A table of contents along with charts and diagrams used in the
reports
g) The main report containing the findings
h) Conclusion arrived at end recommendations suggested
i)Appendices (containing questionnaire / forms used sample design,
instructions.)
28
(6) Follow-up the study :- The researchers, in the last stage, should
follow up this study to find if his recommendation are being implemented and if
not, why
RESEARCH DESIGN
29
“Advertising is a paid form of non-personal presentation
and promotion of ideas, goods or services by an
identified sponsor.”
1. RESEARCH PROBLEM
 Increase the awareness level of AMUL CHOCOLATE.
 Seek the general perception of consumer towards AMUL
CHOCOLATE.
 To find the performance of AMUL CHOCOLATE vis-à-vis other
Brands.
 To know the consumer psyche and their behaviour towards AMUL
CHOCOLATE.
30
2. RESEARCH OBJECTIVES & related sub objectives
 To know the relationship of sales with the advertisement.
 To know awareness of people towards Amul chocolates.
 To know in which segment chocolates are mostly like/preferred.
 To know which advertisement tool is mostly preferred by people.
 To know the preference of Amul chocolates with comparison to
Other competitive brands.
 To know the factors which affects consumer’s buying behaviour
to purchase chocolates.
31
3. Information requirement
• First, I had to know about all the competitors present in the chocolate
32
segment (Reputed and well established brands as well as Local brands).
• Before going for the survey I had to know the comparative packs and
prices of all the competitors existing in the market.
• Since chocolate is a product that attracts children and youngsters hence
I had to trace the market and segment it, which mainly deals with people
of various age groups.
• As chocolate is different product, the main information needed is the
various types of chocolates available in the market, their calorific value
and various other facts. They can be termed as :
• As Amul chocolate advertisements are mainly done through hoardings
but on television the advertisement is being telecasted timely and on the
proper time or not.
33
AMUL CHOCOLATE is made from Sugar, Cocoa Butter, Milk
Solids,
Chocolate mass.
Composition:
• Milk Fat 2%
• Sugar 55%
34
• Total Fat 32.33%
(Milk Fat + Cocoa Fat)
• Cocoa Solids 7.5%
• Milk Solids 20%
4. Choice of research design – alternatives & choice
Despite the difficulty of establishing an entirely satisfactory classification
system, it is helpful to classify marketing research on the basis of the
fundamental objectives of the research. Consideration of the different types,
their applicability, their strengths, and their weakness will help the student to
select the type best suited to a specific problem.
The two general types of research are:
EXPLORATORY RESEARCH
Exploratory research seeks to discover new relationship, emphasis on
discovery of ideas.
Marketing researches devote a significant portion of their work on exploratory
studies when very little is known about the problem being examined.
35
CONCLUSIVE RESEARCH
Conclusive studies attempts to determine the frequency with which something
occurs or the relationship between two phenomenons. Usually conclusive
studies assume certain under underlying characteristics of the market or have
some precise statement of research questions/hypothesis.
5. RESEARCH INSTRUMENT USED - DETAILS & WHY?
If one wants to know what type of dentifrice people use, what they think of,
television commercials, or why they buy particular brands of cars, the natural
procedure is to ask them. Thus, the questionnaire method has come to be the
more widely used of the two data collection method. Many consumers are now
familiar with the telephone caller who greets them with “We are making a
survey”, and then proceeds to ask a series of questions. Some interviews are
conducted in person, others by telephone, and others by mail. Each of these
36
has its special advantages and disadvantages and limitations. The
questionnaire method in general, however, has a number of pervasive
advantages and disadvantages. Discussion of particular variations will be
more meaningful if these characteristics of the general methods are brought
out first.
A questionnaire consists of list of questions to be asked from the respondents
and the space provided to record the answer / responses. Questionnaire can
be used for the personal interviews, focus groups, mails and telephonic
interviews. The choice among these alternatives is largely determined by the
type of information to be obtained and by the type of respondents from whom
it is to be obtained.
The common factor in all varieties of the questionnaire method is this reliance
on verbal responses to question, written or oral.
Questionnaire in the project consists of:
 Multiple choice questions
 Dicthomus
37
MULTIPLE CHOICE QUESTIONS:
Questions of this type offer the respondents an alternative to choose the right
answer among others. It is faster, time saving and less biased. It also
simplifies the tabulating process.
OPEN END QUESTIONS:
In this type respondents are free to answer in their own words and express the
ideas they think are relevant, such questions are good as first questions or
opening questions. They introduce the subject and obtain general reaction.
DICTHOMUS:
These are the questions which are Boolean in nature. These answers are
straightforward and respondents have to answer them in a straight way. That
means the answer can only be either ‘Yes” or ‘No’.
38
6. SAMPLING TECHNIQUE USED & SAMPLE SIZE - WHY?
Sample design is a definite plan of obtaining some items from the whole
population. The sample design used in this project is two state sampling i.e.
Cluster and convenience. In the probability sampling methods, each items in
the sample is chosen one at a time from a complete list of universe elements.
In marketing research practice, it will sometimes be more expedient to select
39
clusters or groups of universe elements, rather than to choose sample items
individually.
Sampling methods in which universe elements are chosen in groups ---- rather
than individually -- are called cluster-sampling methods. They are widely used
in the sampling of human populations. When no complete universe listing
exists, a type of sampling is called area sampling may be the only practically
feasible form of probability sampling.
NONDISGUISED, STRUCTURED TECHNIQUES
The non structured techniques for attitude measurement are primarily of value
in exploratory studies, where the researcher is looking for the salient attributes
of given products and the important factors surrounding purchase decisions as
seen by the consumer. Structured techniques can provide a more objective
measurement system, one which is more comparable to a scale or a
yardstick. The term scaling has been applied to the efforts to measure
attitudes objectively, and a number of useful scales have been developed.
40
SAMPLING METHODS
Sample design is a definite plan of obtaining some items from the whole
population. The sample design used in this project is two state sampling i.e.
cluster sampling and convenience sampling. The whole city was divided into
some geographical areas and I have chosen Memnagar, Ashram road,
Sattelite, Bopal, Bodekdev, Vastrapur, Navrangpura, Usmanpura,
Maninagar and Narayanpura. The total sample size was 200.
CLUSTER SAMPLING
Here the whole area is divided into some geographical area and a definite
number of consumers were to be surveyed.
CONVINIENCE SAMPLING
41
This type of sampling is chosen purely on the basis of convenience and
according to convenience.I visited Garden, Parks, Temple,
Superstores, Theatres and Gymnasium.
SAMPLING
1. Sampling Technique : Non probability sampling
(A non probability sampling technique is
that in which each element in the
42
population does not have an equal
chance of getting selected)
2. Sample Unit : People who buy chocolates available
in retail outlets, superstores, etc
3. Sample size : 200 respondents (Age ranging
between 15 yrs to 65 yrs)
4. Method : Direct interview through questionnaire.
5. Data analysis method : Graphical method.
6. Area of survey : Ahmadabad District.
7. Timing of survey : 9.00 am to 12.30 pm and 5.00 pm to
8.00 pm
43
FIELD WORK- METHOD USED FOR DATA COLLECTION
• Questionnaire was prepared keeping the objective of research in mind.
• Questions were asked to respondents as regards to there willingness to
purchase Chocolates.
• The help of questionnaires conducted direct interviews, in order to get
accurate information.
• In order to get correct information I had to approach consumers ranging
from 15 yrs to 65 yrs.
• I visited as many respondents as I can and asked them their real likings
about any chocolate and also got an idea, How a chocolate should
be?
• It is really a Herculean task to understand Consumer Behaviour, as the
definition suggest, “Consumer behaviour is a physical activity
as well as decision process individual engaged in when
44
evaluating, acquiring, using and disposing goods and
services”.
• In order to collect accurate information I visited to Garden, Parks,
Temple, Superstores, Theatres and Gymnasium, each and
every question was filled personally by the respondents and checked
properly.
• People were not willing to answer, when they were contacted between
1.00 pm to 5.00 pm, the time when most of the people take rest during
the scorching heat.
45
“Advertising is a paid form of non-personal presentation
and promotion of ideas, goods or services by an
identified sponsor.”
PRIMARY TABULATION & INTERPRETATION
46
KIND OF CHOCOLATE
92%
8%
branded
nonbranded
[1] What kind of Chocolate do you eat?
Branded 92 %
Non branded 08%
INFERENCE
92% respondents in the region of Ahmedabad consume Branded Chocolates,
while 8% still consume non branded.
47
[2] Who uses chocolates in your family?
Children 34 %
Teenager 33 %
Young 26 %
Old 07 %
CHOCOLATE USERS
0%0%0%0%
34%
33%
26%
7%
Children
Teenager
Young
Old
INFERENCE
48
Form of chocolate
14%
60%
20%
6% Cookies
Bar
Wafer
Other
Mostly children & teenagers likes chocolates in their families. So we should
give stress on children & tenager segment to increase market share. Young
people also using chocolates for consuming & for giving as a gift.
[3] What form of Chocolate do you like?
Cookies 14%
Bar 60%
Wafer 20%
Other 06%
49
INFERENCE
The above diagram suggest that the most preferred form is bar i.e. 60%,
followed by wafer i.e. 20%, Cookies are all time favorites with
14% while other forms are preferred to the extent of 6%.
[4] Which Television channel you like to watch most?
STAR 100
ZEE 15
SONY 30
CARTOON 30
Others 25
50
T.V.CHANNEL PREFERENCE
100
15
3030
25
0 20 40 60 80 100 120
Star
Zee
Sony
Cartoon
Others
INFERENCE
Mostly people like STAR channel. This channel is very popular among all the
age group people. SONY & CARTOON channels are also popular but not as
STAR. In other channels sports and news channels are preferred. CARTOON
channel is specially preferred by children. So it will be more beneficial top give
advertisements on STAR & CARTOON channels, it covers all the age groups.
[5] In between what time you like to watch television?
51
Timings _____________
5 to 8 pm 33 %
8 to 11 pm 37 %
Late Night 10 %
Morning 15 %
Afternoon 05 %
TIMING PREFERENCE
33%
37%
10%
15%
5%
5 to 8pm
8 to 11pm
Late night
Morning
After noon
INFERENCE
From the survey it was found that 37% of the respondents likes to watch T.V.
after 8 pm to 11 pm. Because Mostly people belong to service class & females
in the families got their work by this time. At 5 to 8 pm 33% respondents in
which especially children watch cartoon channel & etc. so it is good to
advertise on preferred channels on these timings.
52
[6] By which media you prefer to watch advertisements?
Television 67 %
Hoardings 17 %
Newspapers 08 %
Magazines 05 %
Others (Mention) 03 %
MEDIA PREFERENCE TO WATCH
ADVERTISEMENT
0%0%0%0%0%
67%
17%
8%
5%3%
Television
Hoardings
Newspapers
Megazines
Others
INFERENCE
Mostly people like to watch an advertisement through Television because
most of them belongs to service class. Children are getting attracted through
advertisement on television and hoardings. Company tries to give attractive
53
advertisement through T.V. and hoardings because advertisement through
hoardings is less costly.
[7] What factors effects you in a chocolate advertisement?
Brand ambassador 60
Jingles 30
Comedy 45
Music 40
Emotions 20
Others (Mention) 05
EFFECTIVE FACTORS
0
10
20
30
40
50
60
70
B
rand
am
bassador
Jingles
Com
edy
M
usic
Em
otions
O
thers
54
Ever Tasted
90%
10%
Yes
No
INFERENCE
Good Brand Ambassador generally effects people’s perception towards a
product and create an image in their mind. Mostly people likes to see
celebrities like Amitabh Bacchan, Sachin Tendulkar, M.S.Dhoni, Saniya Mirza
etc. as a Brabd Ambassador in chocolate advertisements.At the same time
people like comedy, slow music & specially children like jingles in
advertisements.
[8] Have you ever tasted Amul Chocolate?
Yes 90 %
No
10 %
55
INFERENCE
The chart shows that 90% respondents have tasted Amul Chocolate, while still
10% have not tried Amul Chocolates.
Amul must use proper techniques in order to cater the needs of every
common man.
[9] Can you recall AMUL Chocolate advertisement?
Yes 32 %
No 68 %
56
Advertising Effectiveness
32%
68%
Yes
No
INFERENCE
Here it was observed that only 32% respondents in the city of Ahmedabad
were able to recall Amul Chocolate advertisement. This shows how much
Amul lags behind in promotional activities and advertisement. Therefore Amul
must use strong promotional activities and advertisement in order to retain
their potential consumers.
[10] Which Chocolate do you like most?
57
Market share
28%
58%
13% 1%
Nestle
Cadbury
Amul
Any other
Nestle 28%
Cadbury 58%
Amul 13%
Any other 01%
INFERENCE
We can clearly gauge from the pie chart that Cadbury being on the top slot
with 58% market share dominates the chocolate market, followed by Nestle
with 28% share, whereas Amul have only 13% market share and thus lags
behind.
58
[11] What is the frequency of purchasing Chocolate?
Daily 17 %
Weekly 22 %
Fortnightly 13 %
Occasionally 48 %
INFERENCE
The frequency of chocolate differ a lot where 17% respondents buy it daily,
22% weekly, 13% fortnightly, and there is a Hugh chunk of people who buy
chocolate occasionally.
59
Frequency of
purchase
17
%
22
%
13
%
48
%
Daily
Weekly
Fortnightl
y
Occasionally
[12] How do you scale your Chocolate?
ATTRIBUTE POOR AVERAGE GOOD EXCELLENT
PRICE 48% 22% 23% 07%
SWEETNESS 20% 14% 20% 46%
PACKAGING 33% 18% 12% 37%
SOFTNESS 12% 16% 23% 49%
SCHEMES 37% 13% 17% 33%
AVAILABILIT
Y
12% 15% 23% 50%
60
LIMITATIONS
 Limited time available for interviewing the respondents. As a result of
this it was not possible to gather full information about the respondents.
 When I interviewed children and teenagers, sometimes they use to
give answers under the influence of their parents or elders.
 As summer training is going under summer season so sometimes
people are less interested in filling up questionnaire.
 Sometimes the problem which I face is language problem for which I
have to make them understand.
 Non-cooperative approach and rude behavior of the respondents.
 If the respondents answer does not falls between amongst the options
given then it will turn up to be a biased answer.
61
MY FINDINGS
 During the survey it was found that still there are 10% people who
have not tasted Amul Chocolate.
 Lake of Awareness in consumers. Many people are not know about
Amul chocolates specially children and teenagers.
 As I found that the main product of Amul is Milk and company
firstly wants to capture maximum market share in milk market which is
approx. 66%, after it Amul is concentrating upon butter & cheese which
62
has market share of approx. 88%, so it is not concentrating upon
chocolates.
 When I interviewed people then many of the people can not recall Amul
chocolate advertisement. It shows Lake of Advertisement or
advertisement is not timely given or advertisement is not
given on right time.
 In its advertisement is not using any brand ambassador which
attracts all age group people like Cadbury.
 There is lake of Sales Promotional Activities i.e. free tattoo, extra
weight, toys, quiz contest etc.
 Cadbury is main competitor and strategically better performer then
Amul.
 I find the main thing is that “Amul” brand name has very good image in
consumer’s mind and they consider it as Pure & Good Product.
 People who have tasted Amul Chocolate are not ready to purchase
the same again.
SUGGESTIONS
63
 In order to maintain and increase the sales in the city of Ahmedabad,
the following recommendations regarding Amul Chocolates; particularly
regarding advertisement, distribution, promotional policies, etc, are
hereby suggested:
 First and foremost Amul should take proper action in order to improve
service, because although being on a top slot in Butter and milk
supplies it does not get the sales in chocolate, which it should get.
 Company should use brand ambassador which attracts each age
segment i.e. Saniya Mirza, Shaktimaan, Amitabh Bacchan, Superman,
Krrish, Jadoo etc.
 Amul should give local advertisements apart from the advertisements
given at the national level. Local advertisement must mention the
exclusive Amul shops of the city.
 Try and change the perception of the people through word of mouth
about Amul in advertisements, because they are the best source to
reach Children and families.
 Though Amul chocolate advertisements are rarely shown on television
yet many people could recall it as per the data of research. It shows that
64
there is only need to give advertisement only to rememorize customers.
Because Amul is very strong brand name.
 Company should launch chocolate in new attractive packing to
change image of Amul chocolate in consumers mind.
 Company should introduce sales promotion schemes like free
weight, pranky, tattoo, contest, free gifts etc.
 Advertisement can be done with the help of animations that attracts
children and teenagers because chocolates are consumed largely in this
segment.
 Company should launch chocolates in new flavors like –
Mix Fruit
Pineapple
Elaichi
Coffee
Strawberry
Banana
Mango
65
CONCLUSION
As we know that Amul is very big organization and market leader
in dairy products. It has maximum market share in Milk, Butter and Cheese,
which are its main/core products. As we know Amul is a co-operative
organisaion but chocolate industry is a profitable industry we can’t ignore it.
With the help of research, company can find out its week points in chocolate
product and can increase its market share through rectify mistakes. People
66
have believed in Amul’s product and they will accept its chocolates also if
effective actions were taken.
The survey resulted into following conclusions :
 Amul must come up with new promotional activities such that
people become aware about Amul Chocolates like Chocozoo,
Bindaaz, and Fundoo.
 Quality is the dominating aspect which influences consumer to
purchase Amul product, but prompt availability of other chocolate
brands and aggressive promotional activities by others influences
the consumer towards them and also leads to increase sales.
 In comparison to Amul Chocolate, the other players such as Cadbury,
Nestle, and Perfetti provide a better availability and give
competition to the hilt.
67
 People are mostly satisfied with the overall quality of Amul Chocolate,
but for the existence in the local market Amul must use aggressive
selling techniques.
BIBLIOGRAPHY
1. www.amul.com
2. www.amuldairy.com
3. www.google.com
4. www.marketresearch.com
5. www.dairy.com
6. Research Methodology. ( Harper W.Boyd, C. R. Kothari )
68
APPENDIX
QUESTIONNAIRE
I am a student of PGDBM from INSTITUTE OF RURAL
MANAGEMENT, JODHPUR conducting a survey on Effectiveness of
advertising towards sales of Chocolates.
[1] What kind of Chocolate do you eat?
Branded ______ Non-branded ______
[2] Who uses chocolates in your family?
Children Teenager
Young Old
[3] What form of Chocolate do you like?
69
Cookies _____ Bar _____
Wafer _____ Other _____
[4] Which Television channel you like to watch most?
STAR _______ ZEE ________
SONY _______ CARTOON ________
Others _______
[5] In between what time you like to watch television?
Timings _____________
[6] By which media you prefer to watch advertisements?
Television Hoardings
Newspapers Magazines
Others (Mention)
[7] Which advertisement you like the most?
_______________
[8] What factors effects you in a chocolate advertisement?
70
Brand ambassador _______ Jingles ________
Comedy _______ Music ________
Others (Mention) _______
[9] Have you ever tasted Amul Chocolate?
Yes _____ No ______
[10] Can you recall AMUL Chocolate advertisement?
Yes ____ No ____
[11] What is the frequency of purchasing Chocolate?
Daily ______ Weekly _______
Fortnightly ______ Occasionally _______
[12] How do you scale your Chocolate?
ATTRIBUTE
POOR AVERAG
E
GOOD EXCELLEN
T
PRICE
SWEETNESS
PACKAGING
SOFTNESS
71
SCHEMES
AVAILABILIT
Y
[13] Which Chocolate do you like most?
AMUL ____________
CADBURY ____________
NESTLE ____________
PERFETTI ____________
OTHERS ____________
[14] What would you like to see in a chocolate advertisement?
______________________________________________
______________________________________________
______________________________________________
______________________________________________
NAME: ___________
72
AGE: ___________
10-15 15-25 25-35 35-45 45 and
above
THANK YOU
_________________
______________
____________
73

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Effectivenessofchocolateadvertisementtowardsitssales

  • 1.
  • 2. A PROJECT REPORT ON AMUL CHOCOLATES AND PROJECT WORK ENTITLED AS “ EFFECTIVENESS OF CHOCOLATE ADVERTISEMENT TOWARDS ITS SALES “ PREPARED AND PRESENTED TO Mr. RAHUL KUMAR MANAGING DIRECTOR KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS‘UNION LIMITED ANAND Under the guidance of Mr. Pankaj Gadhavi Mr. G. D. Trivedi 2
  • 3. Marketing Department Office & Adm. Department BY CHANDRAJ PANDYA (2005 – 07) (1 ST MAY TO 30 TH JUNE, 2006) Faculty of Management Studies Institute of Rural Management Jodhpur (RAJASTHAN) 3
  • 4. 4
  • 5. PREFACE The PGDBM programme is well structured and integrated course of business studies. The main objective of practical training at PGDBM level is to develop skill in student by supplement to the theoretical study of business management in general. Industrial training helps to gain real life knowledge about the industrial environment and business practices. The PGDBM programme provides student with a fundamental knowledge of business and organizational functions and activities, as well as an exposure to strategic thinking of management. In every professional course, training is an important factor. Professors give us theoretical knowledge of various subjects in the college but we are practically exposed of such subjects when we get the training in the organization. It is only the training through which I come to know that what an industry is and how it works. I can learn about various departmental operations being performed in the industry, which would, in return, help me in the future when I will enter the practical field. Training is an integral part of PGDBM and each and every student has to undergo the training for 2 months in a company and then prepare a project report on the same after the completion of training. During this whole training I got a lot of experience and came to know about the management practices in real that how it differs from those of theoretical knowledge and the practically in the real life. 5
  • 6. In today’s globalize world, where cutthroat competition is prevailing in the market, theoretical knowledge is not sufficient. Beside this one need to have practical knowledge, which would help an individual in his/her carrier activities and it is true that “Experience is best teacher”. ACKNOWLEDGEMENT With immense pleasure, I would like to present this project report for Kaira District Co-operative Milk Producers’ Union Ltd., Anand . It has been an enriching experience for me to undergo my summer training at AMUL, which would not have possible without the goodwill and support of the people around. As a student of INSTITUTE OF RURAL MANAGEMENT I would like to express my sincere thanks too all those who helped me during my practical training programme. Words are insufficient to express my gratitude toward Mr. Rahul Kumar, the Managing Director of AMUL. I would like to give my heartily thanks to Mr. J. K. Joshi, Manager of Administration, who permitted me to get training at AMUL. I am very thankful to Mr. Pankaj Gadhavi, who helped me at every 6
  • 7. step whenever needed and Mr. G.D.Trivedi who arranged all possible visits for me at AMUL. As we know research work needs hard work, keen insight and long patience with scholarly vision based on content operation hence it becomes a humble duty to express my sincere gratitude to Mr. Dalveer Singh, Production incharge, and Mr. H.B Ramgadhia of chocolate plant at MOGAR. At last but not least my grateful thanks is also extended to Mr. Mukesh Mandun (Director’ FMS-IRM’ Jodhpur) and my thanks to all my faculty members for the proper guidance and assistance extended by them. I am also grateful to my parents, friends, Mr. Kartik Pandya & Mr. Kapil Pandya to encourage & giving me moral support. However, I accept the sole responsibility for any possible error of omission and would be extremely grateful to the readers of this project report if they bring such mistakes to my notice. Date : 30 TH June, 2006 CHANDRAJ PANDYA Place : Anand (GUJRAT) PGDBM Duration : 1 ST May to 30 th June, 2006 SEM II CONTENTS 7
  • 8. Sr. No. Chapter Name Page No. 1. Introduction & History 7 2. Marketing Research 17 3. Research Design 21 4. Limitations 45 5. My Findings 46 6. Suggestions 47 7. Conclusion 48 8. Bibliography 49 8
  • 9. ANAND MILK UNION LIMITED THE KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION LIMITED ANAND 9
  • 10. INTRODUCTION AND HISTORY In the year 1946 the first milk union was established. This union was started with 250 liters of milk per day. In the year 1955 AMUL was established. In the year 1946 the union was known as KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS’ UNION. This union selected the brand name AMUL in 1955. The brand name Amul means “AMULYA”. This word derived form the Sanskrit word “AMULYA” which means “PRICELESS”. A quality control expert in Anand had suggested the brand name “AMUL”. Amul products have been in use in millions of homes since 1946. Amul Butter, Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya have made Amul a leading food brand in India. (The total sale is Rs. 6 billion in 2005). Today Amul is a symbol of many things like of the high-quality products sold at reasonable prices, of the genesis of a vast co-operative network, of the triumph of indigenous technology, of the marketing savvy of a farmers' 10
  • 11. organization. And have a proven model for dairy development (Generally known as “ANAND PATTERN”). In the early 40’s, the main sources of earning for the farmers of Kaira district were farming and selling of milk. That time there was high demand for milk in Bombay. The main supplier of the milk was Polson dairy limited, which was a privately owned company and held monopoly over the supply of milk at Bombay from the Kaira district. This system leads to exploitation of poor and illiterates’ farmers by the private traders. The traders used to beside the prices of milk and the farmers were forced to accept it without uttering a single word. However, when the exploitation became intolerable, the farmers were frustrated. They collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the freedom movement. Sardar Patel advised the farmers to sell the milk on their own by establishing a co-operative union, Instead of supplying milk to private traders. Sardar Patel sent the farmers to Shri Morarji Desai in order to gain his co-operation and help. Shri Desai held a meeting at Samarkha village near Anand, on 4 th January 1946. He advised the farmers to form a society for collection of the milk. 11
  • 12. These village societies would collect the milk themselves and would decide the prices at which they can sell the milk. The district union was also form to collect the milk from such village co-operative societies and to sell them. It was also resolved that the Government should be asked to buy milk from the union. However, the govt. did not seem to help farmers by any means. It gave the negative response by turning down the demand for the milk. To respond to this action of govt., the farmers of Kaira district went on a milk strike. For 15 whole days not a single drop of milk was sold to the traders. As a result the Bombay milk scheme was severely affected. The milk commissioner of 12
  • 13. Bombay then visited Anand to assess the situation. Having seemed the condition, he decided to fulfill the farmers demand. Thus their cooperative unions were forced at the village and district level to collect and sell milk on a cooperative basis, without the intervention of Government. Mr. Verghese Kurien showed main interest in establishing union who was supported by Shri Tribhuvandas Patel who lead the farmers in forming the Co-operative unions at the village level. The Kaira district milk producers union was thus established in ANAND and was registered formally on 14 th December 1946. Since farmers sold all the milk in Anand through a co-operative union, it was commonly resolved to sell the milk under the brand name AMUL. At the initial stage only 250 13
  • 14. liters of milk was collected everyday. But with the growing awareness of the benefits of the cooperativeness, the collection of milk increased. Today Amul collect 11 lakhs liters of milk everyday. Since milk was a perishable commodity it becomes difficult to preserve milk flora longer period. Besides when the milk was to be collected from the far places, there was a fear of spoiling of milk. To overcome this problem the union thought out to develop the chilling unit at various junctions, which would collect the milk and could chill it, so as to preserve it for a longer period. Thus, today Amul has more than 150 chilling centers in various villages. Milk is collected from almost 1073 societies. With the financial help from UNICEF, assistance from the govt. of New Zealand under the Colombo plan, of Rs. 50 millions for factory to manufacture milk powder and butter was planned. Dr.Rajendra Prasad, the president of India laid the foundation on November 15, 1954. Shri Pandit Jawaharlal Nehru, the prime minister of India declared it open at Amul dairy on November 20, 1955. 14
  • 15. PEOPLE POWER: AMUL'S SECRET OF SUCCESS The system succeeded mainly because it provides an assured market at remunerative prices for producers' milk besides acting as a channel to market the production enhancement package. What's more, it does not disturb the agro-system of the farmers. It also enables the consumer an access to high quality milk and milk products. Contrary to the traditional system, when the 15
  • 16. profit of the business was cornered by the middlemen, the system ensured that the profit goes to the participants for their socio-economic upliftment and common good. Looking back on the path traversed by Amul, the following features make it a pattern and model for emulation elsewhere. Amul has been able to: • Produce an appropriate blend of the policy makers farmers board of management and the professionals: each group appreciating its rotes and limitations, • Bring at the command of the rural milk producers the best of the technology and harness its fruit for betterment. • Provide a support system to the milk producers without disturbing their agro-economic systems, 16
  • 17. • Plough back the profits, by prudent use of men, material and machines, in the rural sector for the common good and betterment of the member producers and • Even though, growing with time and on scale, it has remained with the smallest producer members. In that sense. Amul is an example par excellence, of an intervention for rural change. The Union looks after policy formulation, processing and marketing of milk, provision of technical inputs to enhance milk yield of animals, the artificial insemination service, veterinary care, better feeds and the like - all through the village societies. Basically the union and cooperation of people brought Amul into fame i.e. AMUL (ANAND MILK UNION LIMITED), a name which suggest THE TASTE OF INDIA. 17
  • 18. Plants First plant is at ANAND, which engaged in the manufacturing of milk, butter, ghee, milk powder, flavored milk and buttermilk. 18
  • 19. Second plant is at MOGAR, which engaged in manufacturing chocolate, nutramul, Amul Ganthia and Amul lite. Third plant is at Kanjari, which produces cattelfeed. 19
  • 20. Fourth plant is at Khatraj, which engaged in producing cheese. Today, twelve 20
  • 21. dairies are producing different products under the brand name Amul. Today Amul dairy is no. 1 dairy in Asia and no. 2 in the world, which is matter of proud for Gujarat and whole India. 21
  • 22. BOARD MEMBERS Shri Ramsinh Prabhatsinh Parmar Chairman Shri Rajendrasinh Dhirsinh Parmar Vice-Chairman Shri Dhirubhai Amarsinh Zala Director Smt. Mansinh Kohyabhai Chauhan Director Shri Maganbhai Gokalbhai Zala Director Shri Shivabhai Mahijibhai Parmar Director Shri Pravinsinh Fulsinh Director 22
  • 23. Solanki Shri Chandubhai Madhubhai Parmar Director Shri Bhaijibhai Amarsinh Zala Director Shri Bipinbhai Manishankar Joshi Director Smt. Sarayuben Bharatbhai Patel Director Shri Ranjitbhai Kantibhai Patel Director Shri B. M. Vyas Managing Director G.C.M.M.F Shri Deepak Dalal District Registrar Shri Rahul Kumar Managing Director MARKETING RESEARCH 23
  • 24. Marketing research plays an important role in the process of marketing. Starting with market component of the total marketing talks. It helps the firm to acquire a better understanding of the consumers, the competition and the marketing environment. DEFINITION “Marketing research is a systematic gathering, recording and analysis marketing problem to facilitate decision making.” - Coundiff & Still. “Marketing research is a systematic problem analysis, model building and fact finding for the purpose of important decision making and control in the marketing of goods and services. - Phillip Kotler. MAIN STEPS INVOLVED IN MARKETING RESEARCH Defining the Marketing Problem to be tackled and identifying the market research problem involved in the task. (1) Define the problem and its objectives. (2) Identify the problem. (3) Determine the information needed. 24
  • 25. (4) Determine the sources of information. (5) Decide research methods. (6) Tabulate, Analyze and interpret the data. (7) Prepare research report. (8) Follow-up the study. (1) Define the problem and its objectives :- This includes an effective job in planning and designing a research project that will provide the needed information. It also includes the establishment of a general framework of major marketing elements such as the industry elements, competitive elements, marketing elements and company elements. (2) Identify the problem :- Identifying the problem involves getting acquainted with the company, its business, its products and market environment, advertising by means of library consultation and extensive interviewing of company’s officials. (3) Determining the specific Information needed :- In general the producer, the manufacturer, the wholesaler and the retailer try to find out four things namely :- (1) What to sell (2) When to sell 25
  • 26. (3) Where to sell (4) How to sell (4) Determine the sources of information :- (a) Primary Data :- Primary datas are those which are gathered specially for the project at hand, directly – e.g. through questionnaires & interviews. Primary data sources include company salesman, middleman, consumers, buyers, trade association’s executives & other businessman & even competitors. (b) Secondary Data :- These are generally published sources, which have been collected originally for some other purpose. Source are internal company records, government publication, reports & publication, reports & journals, trade, professional and business associations publications & reports. (4)Decide Research methods for collecting data :- If it is found that the secondary data cannot be of much use, collection of primary data become necessary. Three widely used methods of gathering primary data are A) Survey 26
  • 27. B) Observation C) Experimentation A) Survey Method :- In this method, information gathered directly from individual respondents, either through personal interviews or through mail questionnaires or telephone interviews. B) Observation Method :- The research data are gathered through observing and recording their actions in a marketing situation. This technique is highly accurate. It is rather an expensive technique. C) Experimental Method :- This method involves carrying out a small scale trial solution to a problem, while at the same time, attempting to control all factors relevant to the problem. The main assumption here is that the test conditions are essentially the same as those that will be encountered later when conclusions derived from the experiment are applied to a broader marketing area. D) The Panel Research :- In this technique the same group of respondents is contacted for more then one occasion; and the information obtained to find out if there has been any in their taste demand or they want any special quality, color, size, packing in the product. a) Preparation of questionnaire b) Presetting of questionnaire c) Planning of the sample 27
  • 28. (5) Tabulate, Analysis and Interpret the Data :- The report must give/contain the following information:- a) The title of research b) The name of the organization for which it has been Conducted c) The objectives of research d) The methodology used e) Organization and the planning of the report f)A table of contents along with charts and diagrams used in the reports g) The main report containing the findings h) Conclusion arrived at end recommendations suggested i)Appendices (containing questionnaire / forms used sample design, instructions.) 28
  • 29. (6) Follow-up the study :- The researchers, in the last stage, should follow up this study to find if his recommendation are being implemented and if not, why RESEARCH DESIGN 29
  • 30. “Advertising is a paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor.” 1. RESEARCH PROBLEM  Increase the awareness level of AMUL CHOCOLATE.  Seek the general perception of consumer towards AMUL CHOCOLATE.  To find the performance of AMUL CHOCOLATE vis-à-vis other Brands.  To know the consumer psyche and their behaviour towards AMUL CHOCOLATE. 30
  • 31. 2. RESEARCH OBJECTIVES & related sub objectives  To know the relationship of sales with the advertisement.  To know awareness of people towards Amul chocolates.  To know in which segment chocolates are mostly like/preferred.  To know which advertisement tool is mostly preferred by people.  To know the preference of Amul chocolates with comparison to Other competitive brands.  To know the factors which affects consumer’s buying behaviour to purchase chocolates. 31
  • 32. 3. Information requirement • First, I had to know about all the competitors present in the chocolate 32
  • 33. segment (Reputed and well established brands as well as Local brands). • Before going for the survey I had to know the comparative packs and prices of all the competitors existing in the market. • Since chocolate is a product that attracts children and youngsters hence I had to trace the market and segment it, which mainly deals with people of various age groups. • As chocolate is different product, the main information needed is the various types of chocolates available in the market, their calorific value and various other facts. They can be termed as : • As Amul chocolate advertisements are mainly done through hoardings but on television the advertisement is being telecasted timely and on the proper time or not. 33
  • 34. AMUL CHOCOLATE is made from Sugar, Cocoa Butter, Milk Solids, Chocolate mass. Composition: • Milk Fat 2% • Sugar 55% 34
  • 35. • Total Fat 32.33% (Milk Fat + Cocoa Fat) • Cocoa Solids 7.5% • Milk Solids 20% 4. Choice of research design – alternatives & choice Despite the difficulty of establishing an entirely satisfactory classification system, it is helpful to classify marketing research on the basis of the fundamental objectives of the research. Consideration of the different types, their applicability, their strengths, and their weakness will help the student to select the type best suited to a specific problem. The two general types of research are: EXPLORATORY RESEARCH Exploratory research seeks to discover new relationship, emphasis on discovery of ideas. Marketing researches devote a significant portion of their work on exploratory studies when very little is known about the problem being examined. 35
  • 36. CONCLUSIVE RESEARCH Conclusive studies attempts to determine the frequency with which something occurs or the relationship between two phenomenons. Usually conclusive studies assume certain under underlying characteristics of the market or have some precise statement of research questions/hypothesis. 5. RESEARCH INSTRUMENT USED - DETAILS & WHY? If one wants to know what type of dentifrice people use, what they think of, television commercials, or why they buy particular brands of cars, the natural procedure is to ask them. Thus, the questionnaire method has come to be the more widely used of the two data collection method. Many consumers are now familiar with the telephone caller who greets them with “We are making a survey”, and then proceeds to ask a series of questions. Some interviews are conducted in person, others by telephone, and others by mail. Each of these 36
  • 37. has its special advantages and disadvantages and limitations. The questionnaire method in general, however, has a number of pervasive advantages and disadvantages. Discussion of particular variations will be more meaningful if these characteristics of the general methods are brought out first. A questionnaire consists of list of questions to be asked from the respondents and the space provided to record the answer / responses. Questionnaire can be used for the personal interviews, focus groups, mails and telephonic interviews. The choice among these alternatives is largely determined by the type of information to be obtained and by the type of respondents from whom it is to be obtained. The common factor in all varieties of the questionnaire method is this reliance on verbal responses to question, written or oral. Questionnaire in the project consists of:  Multiple choice questions  Dicthomus 37
  • 38. MULTIPLE CHOICE QUESTIONS: Questions of this type offer the respondents an alternative to choose the right answer among others. It is faster, time saving and less biased. It also simplifies the tabulating process. OPEN END QUESTIONS: In this type respondents are free to answer in their own words and express the ideas they think are relevant, such questions are good as first questions or opening questions. They introduce the subject and obtain general reaction. DICTHOMUS: These are the questions which are Boolean in nature. These answers are straightforward and respondents have to answer them in a straight way. That means the answer can only be either ‘Yes” or ‘No’. 38
  • 39. 6. SAMPLING TECHNIQUE USED & SAMPLE SIZE - WHY? Sample design is a definite plan of obtaining some items from the whole population. The sample design used in this project is two state sampling i.e. Cluster and convenience. In the probability sampling methods, each items in the sample is chosen one at a time from a complete list of universe elements. In marketing research practice, it will sometimes be more expedient to select 39
  • 40. clusters or groups of universe elements, rather than to choose sample items individually. Sampling methods in which universe elements are chosen in groups ---- rather than individually -- are called cluster-sampling methods. They are widely used in the sampling of human populations. When no complete universe listing exists, a type of sampling is called area sampling may be the only practically feasible form of probability sampling. NONDISGUISED, STRUCTURED TECHNIQUES The non structured techniques for attitude measurement are primarily of value in exploratory studies, where the researcher is looking for the salient attributes of given products and the important factors surrounding purchase decisions as seen by the consumer. Structured techniques can provide a more objective measurement system, one which is more comparable to a scale or a yardstick. The term scaling has been applied to the efforts to measure attitudes objectively, and a number of useful scales have been developed. 40
  • 41. SAMPLING METHODS Sample design is a definite plan of obtaining some items from the whole population. The sample design used in this project is two state sampling i.e. cluster sampling and convenience sampling. The whole city was divided into some geographical areas and I have chosen Memnagar, Ashram road, Sattelite, Bopal, Bodekdev, Vastrapur, Navrangpura, Usmanpura, Maninagar and Narayanpura. The total sample size was 200. CLUSTER SAMPLING Here the whole area is divided into some geographical area and a definite number of consumers were to be surveyed. CONVINIENCE SAMPLING 41
  • 42. This type of sampling is chosen purely on the basis of convenience and according to convenience.I visited Garden, Parks, Temple, Superstores, Theatres and Gymnasium. SAMPLING 1. Sampling Technique : Non probability sampling (A non probability sampling technique is that in which each element in the 42
  • 43. population does not have an equal chance of getting selected) 2. Sample Unit : People who buy chocolates available in retail outlets, superstores, etc 3. Sample size : 200 respondents (Age ranging between 15 yrs to 65 yrs) 4. Method : Direct interview through questionnaire. 5. Data analysis method : Graphical method. 6. Area of survey : Ahmadabad District. 7. Timing of survey : 9.00 am to 12.30 pm and 5.00 pm to 8.00 pm 43
  • 44. FIELD WORK- METHOD USED FOR DATA COLLECTION • Questionnaire was prepared keeping the objective of research in mind. • Questions were asked to respondents as regards to there willingness to purchase Chocolates. • The help of questionnaires conducted direct interviews, in order to get accurate information. • In order to get correct information I had to approach consumers ranging from 15 yrs to 65 yrs. • I visited as many respondents as I can and asked them their real likings about any chocolate and also got an idea, How a chocolate should be? • It is really a Herculean task to understand Consumer Behaviour, as the definition suggest, “Consumer behaviour is a physical activity as well as decision process individual engaged in when 44
  • 45. evaluating, acquiring, using and disposing goods and services”. • In order to collect accurate information I visited to Garden, Parks, Temple, Superstores, Theatres and Gymnasium, each and every question was filled personally by the respondents and checked properly. • People were not willing to answer, when they were contacted between 1.00 pm to 5.00 pm, the time when most of the people take rest during the scorching heat. 45
  • 46. “Advertising is a paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor.” PRIMARY TABULATION & INTERPRETATION 46
  • 47. KIND OF CHOCOLATE 92% 8% branded nonbranded [1] What kind of Chocolate do you eat? Branded 92 % Non branded 08% INFERENCE 92% respondents in the region of Ahmedabad consume Branded Chocolates, while 8% still consume non branded. 47
  • 48. [2] Who uses chocolates in your family? Children 34 % Teenager 33 % Young 26 % Old 07 % CHOCOLATE USERS 0%0%0%0% 34% 33% 26% 7% Children Teenager Young Old INFERENCE 48
  • 49. Form of chocolate 14% 60% 20% 6% Cookies Bar Wafer Other Mostly children & teenagers likes chocolates in their families. So we should give stress on children & tenager segment to increase market share. Young people also using chocolates for consuming & for giving as a gift. [3] What form of Chocolate do you like? Cookies 14% Bar 60% Wafer 20% Other 06% 49
  • 50. INFERENCE The above diagram suggest that the most preferred form is bar i.e. 60%, followed by wafer i.e. 20%, Cookies are all time favorites with 14% while other forms are preferred to the extent of 6%. [4] Which Television channel you like to watch most? STAR 100 ZEE 15 SONY 30 CARTOON 30 Others 25 50
  • 51. T.V.CHANNEL PREFERENCE 100 15 3030 25 0 20 40 60 80 100 120 Star Zee Sony Cartoon Others INFERENCE Mostly people like STAR channel. This channel is very popular among all the age group people. SONY & CARTOON channels are also popular but not as STAR. In other channels sports and news channels are preferred. CARTOON channel is specially preferred by children. So it will be more beneficial top give advertisements on STAR & CARTOON channels, it covers all the age groups. [5] In between what time you like to watch television? 51
  • 52. Timings _____________ 5 to 8 pm 33 % 8 to 11 pm 37 % Late Night 10 % Morning 15 % Afternoon 05 % TIMING PREFERENCE 33% 37% 10% 15% 5% 5 to 8pm 8 to 11pm Late night Morning After noon INFERENCE From the survey it was found that 37% of the respondents likes to watch T.V. after 8 pm to 11 pm. Because Mostly people belong to service class & females in the families got their work by this time. At 5 to 8 pm 33% respondents in which especially children watch cartoon channel & etc. so it is good to advertise on preferred channels on these timings. 52
  • 53. [6] By which media you prefer to watch advertisements? Television 67 % Hoardings 17 % Newspapers 08 % Magazines 05 % Others (Mention) 03 % MEDIA PREFERENCE TO WATCH ADVERTISEMENT 0%0%0%0%0% 67% 17% 8% 5%3% Television Hoardings Newspapers Megazines Others INFERENCE Mostly people like to watch an advertisement through Television because most of them belongs to service class. Children are getting attracted through advertisement on television and hoardings. Company tries to give attractive 53
  • 54. advertisement through T.V. and hoardings because advertisement through hoardings is less costly. [7] What factors effects you in a chocolate advertisement? Brand ambassador 60 Jingles 30 Comedy 45 Music 40 Emotions 20 Others (Mention) 05 EFFECTIVE FACTORS 0 10 20 30 40 50 60 70 B rand am bassador Jingles Com edy M usic Em otions O thers 54
  • 55. Ever Tasted 90% 10% Yes No INFERENCE Good Brand Ambassador generally effects people’s perception towards a product and create an image in their mind. Mostly people likes to see celebrities like Amitabh Bacchan, Sachin Tendulkar, M.S.Dhoni, Saniya Mirza etc. as a Brabd Ambassador in chocolate advertisements.At the same time people like comedy, slow music & specially children like jingles in advertisements. [8] Have you ever tasted Amul Chocolate? Yes 90 % No 10 % 55
  • 56. INFERENCE The chart shows that 90% respondents have tasted Amul Chocolate, while still 10% have not tried Amul Chocolates. Amul must use proper techniques in order to cater the needs of every common man. [9] Can you recall AMUL Chocolate advertisement? Yes 32 % No 68 % 56
  • 57. Advertising Effectiveness 32% 68% Yes No INFERENCE Here it was observed that only 32% respondents in the city of Ahmedabad were able to recall Amul Chocolate advertisement. This shows how much Amul lags behind in promotional activities and advertisement. Therefore Amul must use strong promotional activities and advertisement in order to retain their potential consumers. [10] Which Chocolate do you like most? 57
  • 58. Market share 28% 58% 13% 1% Nestle Cadbury Amul Any other Nestle 28% Cadbury 58% Amul 13% Any other 01% INFERENCE We can clearly gauge from the pie chart that Cadbury being on the top slot with 58% market share dominates the chocolate market, followed by Nestle with 28% share, whereas Amul have only 13% market share and thus lags behind. 58
  • 59. [11] What is the frequency of purchasing Chocolate? Daily 17 % Weekly 22 % Fortnightly 13 % Occasionally 48 % INFERENCE The frequency of chocolate differ a lot where 17% respondents buy it daily, 22% weekly, 13% fortnightly, and there is a Hugh chunk of people who buy chocolate occasionally. 59 Frequency of purchase 17 % 22 % 13 % 48 % Daily Weekly Fortnightl y Occasionally
  • 60. [12] How do you scale your Chocolate? ATTRIBUTE POOR AVERAGE GOOD EXCELLENT PRICE 48% 22% 23% 07% SWEETNESS 20% 14% 20% 46% PACKAGING 33% 18% 12% 37% SOFTNESS 12% 16% 23% 49% SCHEMES 37% 13% 17% 33% AVAILABILIT Y 12% 15% 23% 50% 60
  • 61. LIMITATIONS  Limited time available for interviewing the respondents. As a result of this it was not possible to gather full information about the respondents.  When I interviewed children and teenagers, sometimes they use to give answers under the influence of their parents or elders.  As summer training is going under summer season so sometimes people are less interested in filling up questionnaire.  Sometimes the problem which I face is language problem for which I have to make them understand.  Non-cooperative approach and rude behavior of the respondents.  If the respondents answer does not falls between amongst the options given then it will turn up to be a biased answer. 61
  • 62. MY FINDINGS  During the survey it was found that still there are 10% people who have not tasted Amul Chocolate.  Lake of Awareness in consumers. Many people are not know about Amul chocolates specially children and teenagers.  As I found that the main product of Amul is Milk and company firstly wants to capture maximum market share in milk market which is approx. 66%, after it Amul is concentrating upon butter & cheese which 62
  • 63. has market share of approx. 88%, so it is not concentrating upon chocolates.  When I interviewed people then many of the people can not recall Amul chocolate advertisement. It shows Lake of Advertisement or advertisement is not timely given or advertisement is not given on right time.  In its advertisement is not using any brand ambassador which attracts all age group people like Cadbury.  There is lake of Sales Promotional Activities i.e. free tattoo, extra weight, toys, quiz contest etc.  Cadbury is main competitor and strategically better performer then Amul.  I find the main thing is that “Amul” brand name has very good image in consumer’s mind and they consider it as Pure & Good Product.  People who have tasted Amul Chocolate are not ready to purchase the same again. SUGGESTIONS 63
  • 64.  In order to maintain and increase the sales in the city of Ahmedabad, the following recommendations regarding Amul Chocolates; particularly regarding advertisement, distribution, promotional policies, etc, are hereby suggested:  First and foremost Amul should take proper action in order to improve service, because although being on a top slot in Butter and milk supplies it does not get the sales in chocolate, which it should get.  Company should use brand ambassador which attracts each age segment i.e. Saniya Mirza, Shaktimaan, Amitabh Bacchan, Superman, Krrish, Jadoo etc.  Amul should give local advertisements apart from the advertisements given at the national level. Local advertisement must mention the exclusive Amul shops of the city.  Try and change the perception of the people through word of mouth about Amul in advertisements, because they are the best source to reach Children and families.  Though Amul chocolate advertisements are rarely shown on television yet many people could recall it as per the data of research. It shows that 64
  • 65. there is only need to give advertisement only to rememorize customers. Because Amul is very strong brand name.  Company should launch chocolate in new attractive packing to change image of Amul chocolate in consumers mind.  Company should introduce sales promotion schemes like free weight, pranky, tattoo, contest, free gifts etc.  Advertisement can be done with the help of animations that attracts children and teenagers because chocolates are consumed largely in this segment.  Company should launch chocolates in new flavors like – Mix Fruit Pineapple Elaichi Coffee Strawberry Banana Mango 65
  • 66. CONCLUSION As we know that Amul is very big organization and market leader in dairy products. It has maximum market share in Milk, Butter and Cheese, which are its main/core products. As we know Amul is a co-operative organisaion but chocolate industry is a profitable industry we can’t ignore it. With the help of research, company can find out its week points in chocolate product and can increase its market share through rectify mistakes. People 66
  • 67. have believed in Amul’s product and they will accept its chocolates also if effective actions were taken. The survey resulted into following conclusions :  Amul must come up with new promotional activities such that people become aware about Amul Chocolates like Chocozoo, Bindaaz, and Fundoo.  Quality is the dominating aspect which influences consumer to purchase Amul product, but prompt availability of other chocolate brands and aggressive promotional activities by others influences the consumer towards them and also leads to increase sales.  In comparison to Amul Chocolate, the other players such as Cadbury, Nestle, and Perfetti provide a better availability and give competition to the hilt. 67
  • 68.  People are mostly satisfied with the overall quality of Amul Chocolate, but for the existence in the local market Amul must use aggressive selling techniques. BIBLIOGRAPHY 1. www.amul.com 2. www.amuldairy.com 3. www.google.com 4. www.marketresearch.com 5. www.dairy.com 6. Research Methodology. ( Harper W.Boyd, C. R. Kothari ) 68
  • 69. APPENDIX QUESTIONNAIRE I am a student of PGDBM from INSTITUTE OF RURAL MANAGEMENT, JODHPUR conducting a survey on Effectiveness of advertising towards sales of Chocolates. [1] What kind of Chocolate do you eat? Branded ______ Non-branded ______ [2] Who uses chocolates in your family? Children Teenager Young Old [3] What form of Chocolate do you like? 69
  • 70. Cookies _____ Bar _____ Wafer _____ Other _____ [4] Which Television channel you like to watch most? STAR _______ ZEE ________ SONY _______ CARTOON ________ Others _______ [5] In between what time you like to watch television? Timings _____________ [6] By which media you prefer to watch advertisements? Television Hoardings Newspapers Magazines Others (Mention) [7] Which advertisement you like the most? _______________ [8] What factors effects you in a chocolate advertisement? 70
  • 71. Brand ambassador _______ Jingles ________ Comedy _______ Music ________ Others (Mention) _______ [9] Have you ever tasted Amul Chocolate? Yes _____ No ______ [10] Can you recall AMUL Chocolate advertisement? Yes ____ No ____ [11] What is the frequency of purchasing Chocolate? Daily ______ Weekly _______ Fortnightly ______ Occasionally _______ [12] How do you scale your Chocolate? ATTRIBUTE POOR AVERAG E GOOD EXCELLEN T PRICE SWEETNESS PACKAGING SOFTNESS 71
  • 72. SCHEMES AVAILABILIT Y [13] Which Chocolate do you like most? AMUL ____________ CADBURY ____________ NESTLE ____________ PERFETTI ____________ OTHERS ____________ [14] What would you like to see in a chocolate advertisement? ______________________________________________ ______________________________________________ ______________________________________________ ______________________________________________ NAME: ___________ 72
  • 73. AGE: ___________ 10-15 15-25 25-35 35-45 45 and above THANK YOU _________________ ______________ ____________ 73