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A
SUMMER INTERNSHIP PROJECT REPORT ON
“A STUDY ON BRAND AWARENESS AND MARKET RESEARCH TO
INCREASE SALES OF KARA WIPES IN MANDI(H.P)”
At
FUTURE CONSUMER ENTERPRISE LIMITED
SUBMITTED BY-
ABHISHEK MISHRA
BATCH 2016-2018
UNDER THE GUIDANCE OF
DR.PRASHANT DUBEY
INTERNAL GUIDE
MR.INDERPREET SODHI (Reg. Manager, North)
EXTERNAL GUIDE
SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR
THE DEGREE OF
POST GRADUATE DIPLOMA IN MANAGEMENT- MARKETING
INDIRA INSTITUTE OF MANAGEMENT, PUNE
JUNE - JULY, 2017
2
ACKNOWLEDGEMENT
The preparation of this project report was possible through cooperation of various persons. I would
like to express my deep gratitude to all those who helped me in the completion of this project.
I extend my sincere gratitude to Mr Inderpreet Sodhi, my company mentor and all my colleagues
who were directly or indirectly involved in the project.
I sincerely thank our Director Dr. Pandit Mali & HOD K.P. Mishra for their support and guidance
and for all the unbiased feedback on my presentations all through the PGDM course.
I would like to thank my internal project guide Dr. Prashant Dubey for his valuable guidance and
unparalleled support during the progress of this project. Without her encouragement and crucial
inputs, this project would not have been possible.
The strong interest shown by them has helped me in dealing with the problems I faced during the
course of project work. I express my profound sense of gratitude to them for timely help and
cooperation in completing the project.
With due respect, I am thankful to all the authors who contributed informative articles which
helped in finishing my project report.
ABHISHEK MISHRA
MARKETING
IIMP-PGDM
2016-2018
3
DECLARATION
This is to declare that I, Mast. Abhishek Mishra, student of Post Graduate Diploma in Management
(PGDM) 2016‐ 2018, Shree Chanakya Education Society’s Indira Institute of Management, Pune,
have given the original data and information to the best of my knowledge in this project report
titled “A STUDY ON BRAND AWARENESS AND MARKET RESEARCH TO INCREASE
SLAES OF KARA WIPES”, under the guidance of Mr. Prashant Dubey, and that no part of this
information has been used for any other assignment but for the partial fulfilment of the requirement
towards the completion of the said course.
I have prepared this project independently and I have gathered all the relevant information
personally. I have prepared this project for the year 2016‐ 2018.
I also agree in principal not to share the vital information with any other person outside the
organization and will not support the project report to any other University or Institute.
Date: Abhishek Mishra
Place: Pune
4
TABLE OF CONTENT
Content Page No.
EXCECUTIVE SUMMARY 5-9
INTRODUCTION AND
RATIONALE OF THE STUDY
10-12
INDUSTRY/ SECTOR PROFILE 13-19
COMPANY PROFILE 20-27
LITERATURE REVIEW 28-35
OBJECTIVES AND SCOPE OF
PROJECT
36-37
RESEARCH METHODOLOGY 38-41
ANALYSIS AND FINDINGS 42-58
CONCLUSIONS & SUGGESTIONS 59-64
KEY LEARNINGS 65-66
BIBLOGFRAPHY 67-68
5
EXECUTIVE SUMMARY
6
 Project Title:
A STUDY ON BRAND AWARENESS AND MARKET RESEARCH TO INCREASE SALES
OF KARA WIPES.
 Company:
Future Consumer Enterprise Limited.
 Importance of the Project:
The importance of this project was to learn various tactics like:
1. Promoting a product.
2. Pitching a product in front of peoples.
3. Market research.
4. B2B as well as B2C selling, etc.
Which are used to market a product (like Kara wet wipes) in the real market.
 Objectives of the Project:
1. Building brand awareness among prospective customers.
2. To prepare market plan for the acquisition of New Customers.
3. To analyze market potential of cosmetic industry in special reference of Kara Wipes.
The objective of the project was to communicate as well as promote our product to increase the
sales of Kara Wet Wipes. Thus, approaching to the general public and introducing our product to
them and reminding them until they gave a formal response was our priority task. However, along
with it, a primary research work was also done to supplement field work.
7
 Methodology adopted:
Research Methodology
Research approach Quantitative
Research design Descriptive
Research instrument Survey, interview (non-direct) and
observation.
Scaling Nominal and ordinal.
Sampling Non-probability Sampling.
Data Collection Primary and secondary.
Research tool Excel, pie-charts, bar, and graphs.
 Findings:
a) According to the analysis peoples in Mandi (H.P) are aware about the Kara wipes but they
are not using it much. Reason behind this is price and availability of Kara wipes in markets.
b) This shows that peoples tend to be more value oriented while buying facial wipes and they
prefer to buy cheaper product instead of a product which has higher cost in comparison to
other.
c) Study suggests that Kara is considered as premium brand in this segment due to the tag of
Future Consumer Enterprise Limited as well as due to its quality.
 Market expectation:
Customer expectation Intermediaries expectation
Reliable price. Better margin.
Product availability. Effective distribution system.
Discounts. Promotional tools.
Variants should be available in
outlets.
Sales person support.
Competitive pricing.
8
 Bottlenecks in the market:
a) 2-tier distribution channel.
b) Availability of the product.
c) Fewer margins to intermediaries.
d) Price of the product is high.
e) No sales person.
f) Inconsistency in the market.
 Learnings:
a) In these 45 days, I’ve gained much knowledge about market as well as various perceptions
of the Distributers, retailers, and customers.
b) Learnt different ways of tapping as well as pitching different peoples.
c) Practical knowledge of segmenting, targeting and positioning of product.
d) Consumer perception toward FMCG product.
e) Intermediary’s expectations from the company.
f) Distribution channel management of Kara wipes.
g) Teamwork.
h) Learning about the corporate culture.
i) Modern trade as well as General trade both helped me to brush up my sales skills.
9
 Conclusion:
 Kara has high industry attractiveness but medium business unit strength.
 Due to the competitors who are offering similar product in very less price in comparison
to Kara the sales of the Kara is affected adversely.
 Since Wet Wipes is a new concept, they are at an introductory level.
 With the increasing awareness of hygienic need and higher standard of living, people are
showing very positive response toward these products. Therefore it is placed under high
industry attractiveness.
 The circle falling in the green area indicate that company need to invest more on the
promotional activities to grow its brand and to increase the market share to hold dominant
position in markets.
10
CHAPTER I:
INTRODUCTION AND RATIONALE OF THE STUDY
11
1.1. Introduction to the title:
Kara wipes is a brand owned by Future Consumer Enterprise Limited. Future Consumer Enterprise
Limited is India’s first sourcing-to-supermarket food company by Future Group which is built on
the virtue of sharing. With the help of the brands like Kara, Care mate, and other cosmetics brands
which are owned by FCL, the company has entered into a new category of FMCG segment which
is cosmetics. As the society is changing, people now use more of the cosmetics products. Change
in trend in the wipes market has also been driven by new product development and the positive
reception of new product applications by the consumer. Personal wipes grew by 20% in value.
Primarily due to a very low sales base the customer base increased as wipes gained visibility in
modern retail formats, such as hypermarkets and supermarkets, but remained small compared with
that for retail tissue product. In 2009-10 Kara was the leading brand in the market with 56% of
share but in spite of growth of 20% in personal wipes the sales of Kara wipes is decreasing and
company data shows that sales is decreased by nearly 25%. Which also adversely affect the market
share of Kara wipes in this segment. Increasing the market share and sales is becoming the
emerging issue in the company and company is making the effort to improve their projection
technique, market strategy and improving their distributional channel to become the market leader
in personal wipes segment.
In this study we focus on collecting and analyzing the data which could give the information about
the bottlenecks which exists in the markets as well as in other marketing activities so that these
problems can be resolved for the future development. This study examine the reason behind the
downfall in the sales and market share of Kara wipes and help the organization to improve the
projection technique and market strategy for enhancing the sales and market share.
For the purpose of this study data was collected from the different markets from different
marketing trades which are as follows:
 General trade in which demand was generated for the product by visiting the outlets in
the markets and data was collect through non-directive interviews from the retailers in
which open ended question were asked from the retailers.
 Modern trading in which data was collected by non-participant observation in different
modern markets such as reliance mart and more stores which gives the information
about the buying behavior of consumers.
 Institutional trading in which work was done to increase corporate connect which
would help to increase the sales and information was gathered regarding the importance
of institutional trading of Kara wipes.
Besides this research, data was also collected to get the information about what is consumer
perception about Kara as a brand which helps the company to make the appropriate strategy for
branding of Kara wipes in the markets. During this period work was done to strengthen the sales
as well as to build the brand awareness of Kara wipes in a specific region i.e. Mandi.
12
1.2. Significance of the study:
This research gives us the idea about the difficulties that Kara wipes are facing in the market in
spite being a premium and quality product in this segment. It helps us to know about the deficiency
of the various Marketing activities as well as the distribution channel of Kara wipes and also about
the present scenario and market share of this product. It gives a scope of rethink on some of the
marketing strategy such as discount slabs to retailers, margin of the intermediaries, continuity of
the distribution channel, target customers and way of promotions.
13
CHAPTER II
INDUSTRY PROFILE
14
 Overview of the industry:
2.1. Introduction:
Disposable wipes came into the existence in nineties and has evolved into the global business
concept generating a good amount of sales. Because of strong growth year after year in sales and
popularity, the category now assumes a major role in the personal care market. Replacing to
makeup removal and deodorant wipes in personal care and furniture cleaning product in household
care, disposable wipes have gradually expanded to offer a wide range of products, replacing the
range of traditional combination of cloth, cotton, and cleaning solution.
 The concept of the wet wipes is growing in the global market at a good pace, although it is
important to know the challenges which may arise in the long run and will present great
difficulties to the companies. Those companies which are capable of combining a cutting
edge technology with the new innovative ideas which can give them a competitive
advantage from the revelries companies can survive in long run.
 In India most of the wipes are made of viscose and spun laces and Kara Wipes a branch of
Future Consumer Enterprise Limited is a major manufacturer of viscose Staple fiber in
India. Viscose staple fiber is 100% natural fiber, alcohol free and biodegradable which is
very good for skin and also easily degradable. For Kara Wipes, it is easy to do well against
the other local player as they need to purchase VSF from it.
 From last few years there has been an explosion in the number of wipes available to the
consumer. And in present scenario the perception of using the baby wipes as a facial wipes
is changing and due to this the growth of facial wipes is picking the pace in the markets.
These wipe posing as much better substitute than traditional cloth and liquid.
 In comparison with U.S and Europe countries which spend nearly 6-10% of their income
on disposable product. In India It is only 0.0001%. In India these products are considered
as life style product not the necessary one but as the lifestyle of the Indian consumer is
changing and they believe in high standard of living. So, there facial wipes are having a
great potential to grow in the Indian markets. Consumer awareness about hygiene products
increased as a result of advertising price reduction and launch of cheaper product like so-
soft, in touch, Himalayas, orisis, etc by the manufacturers over the last few years.
15
 Skin care wipes are growing in the markets and some of the reasons are. Faster pace of life
in cities, increased in nuclear family and working women and also because of higher
standard of living by peoples in metro and big cites. The disposable facial wipes are facing
competition in India as many of the manufactures are launching their cheaper products
which contain alcohol and are made up of polyester but in comparison with quality product
they are very less in price.
 The leading market research agency KSA TECHNOPAK conducted a market survey some
year back and discovered that there is a huge potential for wipes in India. According to the
survey after Delhi NCR, Chandigarh is the biggest market for cosmetics in north India.
Some of the Chinese products are also entered in Indian market like orisis which are not of
good quality and can affect the skin badly but these products are capturing the attention of
the people who are price sensitive. But increasing attention on the quality and brand of the
product will definitely help to the products which are good in quality like Kara.
 Contribution of the sector towards GDP:
The fast moving consumer goods (FMCG) segment is the fourth largest sector in the Indian
economy. The market size of FMCG in India is estimated to grow from US$ 30 billion in 2011 to
US$ 74 billion in 2018.
Food products is the leading segment, accounting for 43 per cent of the overall market. Personal
care (22 per cent) and fabric care (12 per cent) come next in terms of market share. Growing
awareness, easier access, and changing lifestyles have been the key growth drivers for the sector.
 What are FMCG goods?
FMCG goods are popularly known as consumer packaged goods. Items in this category include
all consumables (other than groceries/pulses) people buy at regular intervals. The most common
in the list are toilet soaps, detergents, shampoos, toothpaste, shaving products, shoe polish,
packaged foodstuff, and household accessories and extends to certain electronic goods. These
items are meant for daily of frequent consumption and have a high return.
 Rural – set to rise.
Rural areas expected to be the major driver for FMCG, as growth continues to be high in these
regions. Rural areas saw a 16 per cent, as against 12 per cent rise in urban areas. Most companies
rushed to capitalize on this, as they quickly went about increasing direct distribution and providing
better infrastructure. Companies are also working towards creating specific products specially
targeted for the rural market.
16
The Government of India has also been supporting the rural population with higher minimum
support prices (MSPs), loan waivers, and disbursements through the National Rural Employment
Guarantee Act (NREGA) program. These measures have helped in reducing poverty in rural
India and given a boost to rural purchasing power.
Hence rural demand is set to rise with rising incomes and greater awareness of brands.
 Urban trends
With rise in disposable incomes, mid- and high-income consumers in urban areas have shifted
their purchasing trend from essential to premium products. In response, firms have started
enhancing their premium products portfolio. Indian and multinational FMCG players are
leveraging India as a strategic sourcing hub for cost-competitive product development and
manufacturing to cater to international markets.
 Trend of industry performance for last few years:
The consumer durables market is expected to reach US$ 12.5 billion in 2015 and US$ 20.6 billion
by 2020. Urban markets account for the major share (65 per cent) of total revenues in the consumer
durables sector in India. There is a lot of scope for growth from rural markets with consumption
expected to grow in these areas as penetration of brands increases. Also demand for durables like
refrigerators as well as consumer electronic goods are likely to witness growing demand in the
coming years in the rural markets as the government plans to invest significantly in rural
electrification.
The FMCG sector has grown at an annual average of about 11 per cent over the last decade. The
overall FMCG market is expected to increase at (CAGR) of 14.7 per cent to touch US$ 110.4
billion during 2012-2020, with the rural FMCG market anticipated to increase at (CAGR) of 17.7
per cent to reach US$ 100 billion during 2012-2025.Food products is the leading segment,
accounting for 43 per cent of the overall market. Personal care (22 per cent) and fabric care (12
per cent) come next in terms of market share.
Growing awareness, easier access, and changing lifestyles have been the key growth drivers for
the consumer market. The Government of India's policies and regulatory frameworks such as
relaxation of license rules and approval of 51 per cent foreign direct investment (FDI) in multi-
brand and 100 per cent in single-brand retail are some of the major growth drivers for the consumer
market.
17
Consumer durables revenues have been growing at a healthy pace
 In 2015, revenue from consumer durables sector in India stood at US$ 9.7 billion, which further
increased to US$ 12.5 billion in FY16.
 Consumer durable market expected to grow at CAGR of 13 per cent from FY05 to FY20.
 Around two third of the total revenue is generated from urban population and rest is generated
from rural population.
 Major players in the industry:
According to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs,
and the balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are
owned by Hindustan UniLever.
The top ten India FMCG brands are:
1. Hindustan Unilever Ltd.
2. ITC (Indian Tobacco Company).
3. Nestlé India.
4. GCMMF (AMUL).
5. Dabur India.
6. Asian Paints (India).
7. Cadbury India.
8. Britannia Industries.
9. Procter & Gamble Hygiene and Health Care.
10. Marico Industries.
18
 PEST Analysis:
POLITICAL:
1. Tax exemption in sales and excise duty for small scale industries.
2. Transportation and infrastructure development in rural areas helps in distribution network.
3. Restrictions in import policies.
4. Help for agricultural sector.
ECONOMICAL:
 GDP rate.
 Inflation rate: -1.27
 Increase in Disposable income:
YEAR DI in 1000 US $
2003 556
2015 11504
19
 Indian FMCG Recorded 16% Sales Growth in Last Fiscal5. The FMCG sector is a 4th
largest sector of Indian economy with market size of more than 60,000 crore.
SOCIAL:
 Demographical analysis:
The Indian culture, social & life styles are changing drastically.
TECHNOLOGICAL:
 Technology has been simplified and available in the industry.
 Foreign players helps in high technological development.
2.2. BUISNESS STANDARDS OF COSMETIC INDUSTRY:
India's cosmetics and grooming industry market size is expected to rise manifold to $35 billion
by 2035, with consumption of cosmetics among teenagers increasing rapidly.
A study recently pegged the current market size at $6.5 billion.
The consumption pattern of cosmetics among teenagers went up substantially between 2005
and 2017 because of increasing awareness and due to the desire to look good.
Besides, the herbal cosmetic industry is expected to grow at 12 per cent in India, considering
that Indian consumers tend to purchase natural and herbal cosmetic products.
Indian market has herbal cosmetic brands like Forest Essentials, Biotique, Himalaya Herbals,
BlossomKochhar, VLCC, Dabur, Lotus, Jovees, Patanjali and Just Herbs, among others.
The survey stated that 68 per cent of young adults feel that using grooming products boosts
their confidence.
In terms of method of purchase, 62 per cent young consumers in big cities prefer to buy online
beauty and grooming products while 45 per cent tend to buy cosmetics and apparels from any
shop of their convenience.
20
CHAPTER III:
COMPANY PROFILE
21
3.1. Composition of Board:
FUTURE CONSUMER ENTERPRISE LIMITED
COMPOSITION OF BOARD
Board of Directors
Mr. G N Bajpai.
Chairman, Independent and Non-Executive Director.
Mr. Kishore Biyani.
Promoter and Vice-Chairman.
Ms. Ashni Biyani.
Whole Time Director.
Ms. Vibha Rishi.
Independent and Non-Executive Director.
Mr. Frederic de Mevius.
Independent and Non-Executive Director.
Mr. K K Rathi.
Non-Executive Director.
Mr. Adhiraj Harish.
Independent and Non-Executive Director.
Mr. Deepak Malik.
Non-Executive Director.
Mr. Narendra Baheti.
Executive Director
22
3.2. Mission, Vision and Values of the company:
VISION:
FCL shall become the creator and provider of the Food Palate for a diverse and evolving India.
We will continuously strive to upgrade the overall food consumption.
MISSION:
FCL will leverage consumer insights and cater to India's diversity by sharing the joy of food and
its bounty with all its stakeholders.
BELIEF & CULTURE:
At FCL, we believe in the act of celebrating and sharing the bounty of food. This belief in sharing
propels us to be fair, caring and responsible towards our consumers, associates, partners and
society at large.
The success of FCL in various facets represents a disciplinary culture induced with strong
leadership thoughts. A company which has built India's first ever integrated commodity sourcing
model, FCL's vast platform is equipped with diverse food production capabilities.
FCL is constantly innovating in every aspect of its value chain (from sourcing, product
development, branding and packaging) to create brands in categories that India had not invested
in so far.
3.3. Geographical Presence:
Nilgiris:
Through a network of franchisees, FCL has a strong presence in the neighborhood convenience
stores in south India. Nilgiris is one of the oldest retail, dairy and bakery brand in south India with
a strong goodwill for its range of products. Niligiris' robust backend operations including several
procurement Centre’s, logistics and IT as well as a fleet of vehicles, including refrigerated trucks,
further strengthens FCL’s distribution network.
Aadhaar:
Rural distribution is led through Aadhaar that operates through cash-and-carry model in Gujarat
and Punjab and another 38 smaller format retail stores that are either operated by the company or
through franchisees.
23
3.4. Product Categories:
Future consumer enterprise limited currently caters to various categories such as:
 Basic Foods.
 Ready to Eat Meals.
 Snacks, Beverages.
 Personal Hygiene Care and Home Care.
The product which was given by the company is Kara wipes which comes under the fourth
category i.e. Personal hygiene care and home care.
KARA- Facial Wipes
 Variants of Kara:
1. Kara refreshing wipes:
Kara refreshing wipes are made up of Aloe Vera for skin nourishment and mint oil for effective
refreshment and also with cucumber which help in smoothening cooling and softening.
2. Moisturizing wipes:
Kara Moisturizing wipes is made up with the goodness of Almond and Honey which help in
making skin more healthy and beautiful.
3. Make-up removal wipes:
Kara make-up removal wipes are made up of lavender and extract of sea weed that remove the
makeup in just one wipes. When it comes to getting rid of that layer of makeup on your skin, Kara
Makeup removal wipes are the best solution.
4. Deep pore cleansing wipes:
Deep pore cleansing wipes are made up of Jojoba and Avocado extracts. It is a very gentle way to
remove all the dust, grime and excess of oil from the skin. It unclogs pores and thoroughly
exfoliates dead skin cells.
24
5. Toning wipes:
Kara toning wipes are made up of rose and thyme extract. These wipes are the most effective way
for ensuring smooth, even toned, and fresh skin at any given point of time of the day. Thyme &
Rose extract have a host of beneficial effects on the skin giving your skin a youthful look, tone,
elasticity, and even colored complexion, along with the perfect PH balance.
6. Sunscreen wipes:
The goodness of sunscreen lotion with SPF 20 is now in an easy to carry sunscreen wipes. The
wipes is made up of rich Aloe Vera & plum extracts nourishes the skin.
25
3.5. Distribution Channels:
Distribution channel is defined as a path or the way through which the finished product travel from
the manufacturer or vendor to the end consumers. A distribution channel may be short so that a
company can utilize the resources in best possible way and spend less in transferring the goods to
the end users. There are several intermediaries in the distribution channel like distributors,
wholesaler, dealers, and retailers through which the product passes before going to the users of
that product.
Types of distribution channel:-
 Direct distribution channel: - it consists of.
Manufacture----------------------------------------------------Consumers.
 1-tier distribution channel: - it consists of.
Manufacturer-------------------distributors----------------Consumers.
 2- tier distribution channel:- it consists of
Manufacturer---------distributor--------retailer----------Consumer.
 3-tier distribution channel: - it consists of.
Manufacturer---distributors---wholesalers---retailers--Consumers.
26
3.6. Business performance:
The summarized financial performance (Standalone and Consolidated) of the Company for 2015-
16 and 2014-15 is given below:
Standalone Consolidated
2015-16 2014-15 2015-16 2014-15
Total Income 1,37,024.80 1,11,912.33 1,78,050.59 1,34,741.53
Profit/ (Loss) before Tax & Exceptional
Items.
(6,355.01) (6,860.91) (11,837.04) (10,877.61)
Less : Exceptional Items - 2,514.00 470.14 -
Profit/(Loss) before Tax (6,355.01) (9,374.91) (12,307.18) (10,877.61)
Profit/(Loss) After Tax (6,355.01) (9,374.91) (12,313.48) (10,937.03)
Profit/(Loss) After Share of Associates
& Minority Interest
NA NA (11,278.38) (10,276.42)
-Business Trends:
 Profitability
 Outlook
 Market
The industry shows a growth rate of about 7%.
27
3.7. SWOT Analysis:
SWOT Analysis of Future Consumer Enterprise Ltd provides a strategic report of businesses and
operations of the company. The SWOT analysis shows strengths, weaknesses, opportunities and
threats. This SWOT analysis of Future Consumer Enterprise Ltd can provide a competitive
advantage.
SWOT ANALYSIS
Strengths Weaknesses
-experienced business units
-high growth rate
-high profitability and revenue
-domestic market
-barriers of market entry
-reduced labor costs
-monetary assistance provided
-future cost structure
Opportunities Threats
-new products and services
-income level is at a constant increase
-growth rates and profitability
-tax changes
-increase in labor costs
-price changes
28
CHAPTER IV
LITERATURE REVIEW
29
4.1. History:
Disposable wipes came into the existence in nineties and has evolved into the global business
concept generating a good amount of sales. Because of strong growth year after year in sales and
popularity, the category is now assumes a major role in the personal care market. Replacing to
makeup removal and deodorant wipes in personal care and furniture cleaning product in household
care, disposable wipes have gradually expanded to offer a wide range of products, replacing the
range of traditional combination of cloth, cotton, and cleaning solution.
The concept of the wet wipes is growing in the global market at a good pace, although it is
important to know the challenges which may arise in the long run and will present great difficulties
to the companies. Those companies which are capable to combine cutting edge technology with
the new innovative ideas which can give them a competitive advantage from the revelries
companies can survive in long run.
In India most of the wipes are made of viscose and spun laces and Kara Wipes a branch of Future
Consumer Enterprise Limited is a major manufacturer of viscose Staple fiber in India. Viscose
staple fiber is 100% natural fiber, alcohol free and biodegradable which is very good for skin and
also easily degradable. For Kara Wipes it is easy to do well against the other local player as they
need to purchase VSF from it.
From last few years there has been an explosion in the number of wipes available to the consumer.
And in present scenario the perception of using the baby wipes as a facial wipes is changing and
due to this the growth of facial wipes is picking the pace in the markets. These wipe posing as
much better substitute than traditional cloth and liquid.
In comparison with U.S and Europe countries which spend nearly 6-10% of their income on
disposable product. In India It is only 0.0001%. In India these products are considered as life style
product not the necessary one but as the lifestyle of the Indian consumer is changing and they
believe in high standard of living. So, there facial wipes are having a great potential to grow in the
Indian markets. Consumer awareness about hygiene products increased as a result of advertising
price reduction and launch of cheaper product like so-soft, in touch, Himalayas, orisis etc. by the
manufacturers over the last few years.
30
Skin care wipes are growing in the markets and some of the reasons are. Faster pace of life in
cities, increased in nuclear family and working women and also because of higher standard of
living by peoples in metro and big cites. The disposable facial wipes are facing competition in
India as many of the manufactures are launching their cheaper products which contain alcohol and
are made up of polyester but in comparison with quality product they are very less in price.
The leading market research agency KSA TECHNOPAK conducted a market survey some year
back and discovered that there is a huge potential for wipes in India. According to the survey after
Delhi, Chandigarh is the biggest market for cosmetics in north India. Some of the Chinese products
are also entered in Indian market like orisis which are not of good quality and can affect the skin
badly but these products are capturing the attention of the people who are price sensitive. But
increasing attention on the quality and brand of the product will definitely help to the products
which are good in quality like Kara.
4.2. Future Consumer Enterprise Limited:
Future Consumer Limited (Formerly known as Future Consumer Enterprise Limited) (FCL),
India’s first sourcing-to-supermarket food company by Future Group is built on the virtue of
sharing. Starting from the seeding of food at the farm to its consumption from the plate, FCL acts
as a catalyst for each of its stakeholders. From sourcing, processing, retailing to final act of
consumption – FCL strikes a widespread cord between the lives of the farmer, a factory laborer, a
worker on the shop floor and the housewife.
Food means sharing in India. It starts at the farms where neighbors, kith and kin join hands in
tilling, sowing and harvesting of crops. Women come together to further process and prepare food.
Recipes are passed down as heirlooms, shared by friends and neighbors and now on television by
celebrity chefs.
Under FCL’s spectrum, the company sources best quality commodities from world over,
comprises of extensive portfolio of established brands in food and HPC space, builds urban
convenience store for key metros and cash-n-carry rural distribution models for other cities across
India. (Integrated front end to back end).
31
VISION
FCL shall become the creator and provider of the Food Palate for a diverse and evolving India.
We will continuously strive to upgrade the overall food consumption.
MISSION
FCL will leverage consumer insights and cater to India's diversity by sharing the joy of food and
its bounty with all its stakeholders.
BELIEF & CULTURE
At FCL, we believe in the act of celebrating and sharing the bounty of food. This belief in sharing
propels us to be fair, caring and responsible towards our consumers, associates, partners and
society at large.
The success of FCL in various facets represents a disciplinary culture induced with strong
leadership thoughts. A company which has built India's first ever integrated commodity sourcing
model, FCL's vast platform is equipped with diverse food production capabilities.
FCL is constantly innovating in every aspect of its value chain (from sourcing, product
development, branding and packaging) to create brands in categories that India had not invested
in so far.
32
4.3. Kara Wipes:
Kara skin care wipe is launched by Aditya Birla group in 2008 but it is now owned by Future
Consumer Enterprise Limited which is a venture of Future Group. It works as a solution for skin
care regime outside the home. A convenient way to look best always. Now day’s hectic schedule
gives a very little time to take care of our self and our skin. But with Kara skincare in our bag we
can easily take care of our skin when we are on the go. These wipes are made up of the unique
combination of natural ingredients. We can use these wipes anytime and anywhere easily. Kara
wipes are made from viscose fiber which is a fiber that is 100% natural and biodegradable.
Kara skincare wipes are considered as the first premium wipes in Indian market. These types of
product are popular in the western countries but it is new concept in India. Although Indian
customer are familiar with the imported product like Kara wipes. But it is the first time an Indian
company entered into this segment. The brand also mark Aditya Birla group into the Indian FMCG
market.
Kara wipes are positioned as essential accessory for skin. The target people of this brand are young
lady Professionals, College going students who need to meet a lot of peoples and travels a lot. The
aim if this brand is to create the new category of wipes in India.
Some of the reasons why product is relevant in Indian market.
 The climate which necessitates such a product.
 Growing number of lady professional.
 Improved lifestyle in urban cities.
 Peoples are becoming more fashion oriented.
The difference between the other brand and Kara is that the other brand is made up of polyester
blended non-woven fabric or paper. As polyester is not a skin friendly product it affect our skin
badly and this paper is tear off when rubbed on face and leave a lint on the face which irritates the
users often. On the other Kara is made up of Viscose fabric staple which is 100% natural and clean
all the dust and give nourishment to our skin. It doesn’t leave lint when rubbed on the skin and
makes users feel relax.
33
Characteristics of Kara skincare wipes:
• Convenient.
• Hassle free application of lotion without using cotton balls.
• Portable.
• 100 percent natural and biodegradable.
• Hygienic.
• Alcohol free.
• Dermatologically safe.
• Assurance of “Future Consumer Enterprise Limited”.
34
Different trades are as follows:
I. General trading:
General trading is related to business to consumer concept of selling the products. While
working in general trading focus was on all the retail shops like cosmetics shops, medical
stores, stand-alone stores, general stores etc. in nearly 10 big and famous markets of Mandi
and Dharamshala. In general trading work was to see the availability of Kara in the different
markets and to find the problems which retailers have regarding the product and also the
problem with the company regarding their margin and profit ratio etc. There are many
cosmetics or medical stores which didn’t have Kara wipes so my work was to create the
demand of product by influencing the behavior of these retailers and convince them to give the
purchase order for our product as well as perform promotional activities to increase brand
awareness in these locations.
II. Modern trading:
Modern trading deals with the different malls, shopping complexes and different shopping marts
where thousands of peoples come daily to purchase all their requirements starting from households
products to apparels, entertainment and eatables etc. In modern trading data was collected reliance
market and more stores.
In modern trading, the taste and preference of the consumer while purchasing the product and their
reaction after seeing the product which can give the idea of what customer want from our product
was observed. This study would help company personal to do the better projection of the strategies
which they plan and implemented in the market for the growth of their products.
35
III. Institutional trading:
Institutional trading is related to Business-to-Business selling of the products. Presently wipes
became the very good and preferred corporate gifts which are given by the pharmaceuticals
companies to the doctors, associates and to clients also. Company can sell product through
Pharmaceuticals Company and many beauty clinics can help us to increase the sales of our product
by recommending this products to their patients. In institutional trading we need to institutes which
can purchase in bulk hence increasing the products sale and share in the market.
In institutional trading focus was on the beauty clinics, saloons which also have their chain and
branches in these two locations were also targeted.
In institutional trading work was to get the linkups from these companies and clinics so that
company will be able to target the market through these institutions. This would also improve the
sales and market share of the product in the markets of Mandi..
IV. Market research:
This profile is research based in which a questionnaire was constructed and respondent was asked
to fill these questionnaires about Kara Wipes. This study and analysis will give a clear idea about
the consumer behavior and attitude toward Kara wipes which also help to make reliable strategy
and on the other hand this research will also give a clear picture about the efficiency and deficiency
of company’s distribution system. So that company could work on it to improve or enhance their
distribution system.
36
CHAPTER- V
OBJECTIVES AND SCOPE OF PROJECT
37
5.1. Objective of the study:
The main objective of this study is to conduct market research for creating new market at the
specific region Mandi (Himanchal Pradesh) and to increase brand awareness at that region.
5.1.1. Primary Objective:
 Building Brand Awareness among prospective customers.
 To prepare market plan for the acquisition of New Customers.
 To analyze market potential of cosmetic industry in special preference of Kara wipes.
5.2. Scope of the study:
This research gives us the idea about the difficulties that Kara wipes are facing in the market in
spite being a premium and quality product in this segment. It helps us to know about the deficiency
of the distribution channel of Kara wipes and also about the present scenario and market share of
this product. It gives a scope of rethink on some of the marketing strategy such as discount slabs
to retailers, target customers and way of promotions.
5.3. Summer Internship details:
Location: Mandi (Himanchal Pradesh).
Time: 45 days.
Domain: Marketing.
38
CHAPTER VI:
RESEARCH METHODOLOGY
39
Methodology
Research Methodology
Research approach Quantitative
Research design Descriptive
Research instrument Survey, interview (non-direct) and
observation.
Scaling Nominal and ordinal.
Sampling Non-probability Sampling.
Data Collection Primary and secondary.
Research tool Excel, pie-charts, bar, and graphs.
40
1.1. Research Design:
A descriptive research design is used in this study to describe the status of the different variable.
Data was being collected for the research, analysis and synthesis of which provides the systematic
information about the situation.
1.2. Research instrument used in this study:
 Survey:
A structured Questionnaire was constructed for collection of data to know the market scenario
of Kara wipes as a brand and to get customer perception regarding this brand. The
questionnaire was designed to accomplish the objective of study. Some of the question are
multi choice question and other are scored on a five point Likert scale ranging from “strongly
disagree” to “strongly agree”.
 Observation (non-participant):
Data was collected by non-participant observation. In which researcher observe about the
attribute of Kara wipes which is to attract customers and the attribute which change their
perception toward the product. This study was done in some modern markets like traditional
stores.
 Interview (non-directive):
Data was also collected by non-directive interview in which open ended question was asked
from retailers in different markets which provides the information about the demand of Kara
wipes, Intermediaries expectations from the company and bottlenecks which exists in these
markets.
41
1.3. Scaling:
In this project both nominal and ordinal scale was used as in some questions only labels was given
to the responses and some of the questions were scored on five point Likert scale to get the
information about the importance and significance of different variables to attain main objective
1.4. Sampling:
For the purpose of this study convenience sampling i.e. non-probability sampling was used for
collecting the data by getting the questionnaire filled by the respondent. It provides easiness and
quick responses from the respondent.
1.5. Data collection:
1. Primary data:
In this report primary data is collected by:
 Structured questionnaire.
 Observation while working in modern trade in reliance mart.
 Non- directive interview while interacting with the retailers and managers of the
different pharmaceuticals companies and beauty clinics.
2. Secondary data:
In this report secondary data is collected by:
 From the company data given by the industry mentor.
 Through internet and books.
42
CHAPTER VII
ANALYSIS AND FINDINGS
43
After collection of data, next task of research process is analysis and interpretation of data.
Questionnaire is processed and edited to make sure that all question are answered. The resulting
data should be logical and consistent.
After editing, data are tabulated and analyzed. Data analysis includes the statistical test which may
be editing, coding, tabulation, interpretation. Coding is the assignment of numbers to the
observation so that data can be analyzed, whereas tabulation refers to the classification and cross
classification of observed data.
The above things are common in all type of market research project. Statistical tests are applied to
certain such research where data are complex and casual relation is to be established. Statistical
tests are useful to describe the data at hand, test hypothesis and make predictions or estimates.
Descriptive analysis is use to reduce data at hand to a smaller set of number of summary measure
represent information.
To analyze the market scenario, the questions and their responses which were recorded during the
internship are mentioned below:
44
RESPONSES:
 Do you use facial wipes?
Fig. 7.1
Interpretation:
1. Out of 141 respondent 109 are using wet facial wipes for their skin.
2. Peoples in urban cities are becoming more fashion oriented and due to this demand of these
wet wipes is increased.
3. Consumers are using baby wipes to clean their face which results in growth of this segment
in markets.
77%
23%
YES NO
Q 1
45
 Mostly which brand of facial wipes you use?
Fig. 7.2
Interpretation:
1. 22% of respondent didn’t answer this question as they are not using facial wipes.
2. Johnson & Johnson is the market leader which contributes nearly 32% of sales.
3. Kara contributes only 25% of sales in Mandi (Himanchal Pradesh) markets which is
decreased from last several years.
4. 42% of the market is covered by other competitors such as Himalayas, good looks, in
touch, Dettol, and some foreign players like orisis.
35
17
28
11
18
32
JOHNSON&
JOHNSON
HIMALYAS KARA GOOD LOOK ORISIS NONE
46
 Have you ever heard/Used Kara Facial Wipes?
Fig. 7.3
Interpretation:
1. Out of 141 respondent118 used or heard about Kara wipes.
2. Out of 118 only 28 respondents is using Kara wipes presently.
82%
18%
YES NO
Q.3
47
 From where you heard about Kara facial wipes?
Fig. 7.4
Interpretation:
1. 20% of the respondents are not aware about the Kara wipes.
2. Only 15% of the respondents get aware from advertisement and company sales person.
This means that company is not making effort for the promotion of their product.
3. Kara got promoted majorly by publicity through words of mouth.
12
56
41
9
23
ADVERTISEMENT WORDS OF MOUTH RETAILERS OTHERS NOT ANSWERED
48
 Which attribute attract you to toward Kara wipes?
Fig. 7.5
Interpretation:
1. Quality is the variable toward which customers are mostly attracted.45% of the respondents
likes the quality of Kara wipes.
2. Study shows that there is less availability of Kara wipes in the markets.
3. Only 2% of respondent attract toward Kara by it price. This shows that price of the product
is not acceptable by customers.
42
3
54
11
8
23
BRAND NAME PRICE QUALITY AVAILABLITY OTHERS N.A
49
 From where you prefer to buy facial wipes?
Fig. 7.6
Interpretation:
1. Nearly 20% of respondent didn’t answer this question as they are not using facial wipes.
2. 45% of the respondents are purchasing wipes from modern markets like malls, reliance
market, metro and many other super markets exists in Mandi (Himanchal Pradesh).
21
32
6
21
35
26
MALL COSMETICSHOP GENERAL STORE MEDICAL STORE OTHER NOT ANSWERED
50
 Kara wipes are easily available in the markets?
Fig. 7.7
Interpretation:
1. 55% of the respondent disagrees on the point that Kara is easily available in the market.
2. Only 16% of respondents believe that Kara is available in the market as these respondents
are buying wipes from modern markets.
17
58
65
20
3
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
51
 All Kara variants are available in the outlets?
Fig. 7.8
Interpretation:
1. Data shows that only 5% respondents agree that all the variants of Kara wipes are available
in the markets.
20%
39%
36%
5% 0
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
Sales
52
 Retailers push you to purchase Kara wipes?
Fig. 7.9
Interpretation:
1. Graph shows that 14% of the respondents strongly disagree, 26% of respondents disagree
and 41% are neutral that retailers push them to purchase Kara wipes.
2. Only 15% of the respondents agree that retailers are making effort to sell Kara wipes in the
markets.
20
37
59
25
0
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
53
 Kara wipe is considered as premium brand product?
Fig. 7.10
Interpretation:
1. Tag of Future Consumer Enterprise Limited makes Kara a premium brand in this segment.
2. Study show 30% of the respondent agrees and 34% strongly agree that Kara is a premium
brand.
3
9
40
42
47
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
54
 Brand name influences your purchase decision?
Fig. 7.11
Interpretation:
1. Data shows that 32% of the respondents agree and 6% strongly agrees that brand name
influence their buying behavior.
2. 30% of the respondents are neutral in this so they switchers.
3. 32% of the respondents are not brand seekers and they see value for money in their
purchase.
8%
24%
30%
32%
6%
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
Sales
55
 Quality of Kara wipes is reliable?
Fig. 7.12
Interpretation:
1. 16% of the respondents didn’t answer this question because they are not using any facial
wipes.
2. Graph shows that 28% of respondents strongly agree and 24% agree that the quality of
Kara wipes is reliable.
1
8
34
41
34
23
STRONGLY
DISAGREE
DISAGREE NEUTRAL AGREE STRONGLY AGREE NOT ANSWERED
56
 Price of Kara Wipes is reasonable?
Fig. 7.13
Interpretation:
1. This data shows that majority of the people disagree that the price of Kara wipes is
reasonable.
2. This graph shows that20% of the respondent strongly disagrees and 41% of the respondents
disagrees that price of the Kara wipes is reasonable.
28
58
49
6 0
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
Series 1
57
 Are you a brand loyal customer?
Fig. 7.14
Interpretation:
1. This graph shows that how many people stick to or purchases one brand.
2. As data shows that 51% of the respondents are neutral, 22% disagree and 6% strongly
disagree when it comes to brand loyalty and they switch to different brand over times.
3. Only 25 % people agree that they are brand loyal and they use same brand for long time.
6%
22%
51%
18%
3%
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
Sales
Sales
58
 Should company need brand promotion for Kara wipes?
Fig. 7.15
Interpretation:
1. The data shows that 50 % of the respondents agree and 7% strongly agree that company
should do brand promotion.
2. Brand promotion will help to create more awareness and influencing more customers.
0% 2%
41%
50%
7%
STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
Sales
59
CHAPTER VIII
CONCLUSIONS & SUGGESTIONS
60
8.1. Findings:
 In spite of being a very little segment study shows that wet facial wipes are getting
popularity in the markets and customers are using wipes in place of other things like
handkerchief and other personal care products.
 Presently in the market of Mandi (Himanchal Pradesh), Johnson & Johnson is the market
leader which contributes nearly 32% of sales. The reason for this is customers are also
using baby wipes as facial wipes as they are very soft and Johnson & Johnson is a very
popular brand for kids section and Johnson baby wipes are very popular.
 According to the analysis peoples in Mandi (Himanchal Pradesh) are aware about the Kara
wipes but they are not using it much. Reason behind this may be the price and availability
of Kara wipes in markets.
 The customer base is increased as wipes got visibility in modern market such as super
markets and hyper markets. Sales of these products are more in modern markets as in these
markets customer explore more products and chances of impulse buying increased.
 As the study suggests Kara wipes is gaining popularity by publicity through words of
mouth where customers are spreading the news about this product. But company is not
making any direct efforts to promote these products in Markets.
 Distribution channel is not working effectively in the market of Mandi (Himanchal
Pradesh) as company adopt 2-tier distribution system due to which market coverage is very
less for Kara wipes which results in less availability of wipes in different markets.
 Channel intermediaries are not making proper efforts to promote the product and enhance
the sales of this product. As intermediaries work for company to promote the product but
in case of Kara retailers are not interested in doing so. Reason behind this is they are getting
lower margin and benefits from company as compared to other brand.
 Study suggests that Kara is considered as premium brand in this segment due to the tag of
Future Consumer Enterprise Limited on this brand.
 Customers now days becoming more fashion oriented and they prefer to buy branded
products. So it’s an opportunity with Kara to do brand promotion for their product to
increase customer base.
61
 Study shows that quality is a factor which influence customer toward Kara wipes. As
company is focusing more on the quality to attract the customer rather than any other factor.
 Price of Kara wipes is relatively higher than that of the competitors’ products as they are
using natural fibers for producing these wipes. Customers feels that the price should be
reduced as buying this much costly wipes didn’t make any sense to them.
 According to the data there are very less customers who are brand loyal and most of the
customers are switchers. So a proper branding strategy should be implemented to attract
and retain the customers.
 Market expectation:
Customer expectation Intermediaries expectation
Product should be of better quality Better margin
Reliable price Effective distribution system
Product availability Promotional tools
Discounts Sales person support
Variants should be available in outlets Competitive price so that they could
work to increase the sales
 SWOT analysis of Kara wipes:
Strengths Weakness
 High industry attractiveness.
 Premium quality product.
 Made up of 100% natural fibers.
 Biodegradable.
 Hygienic, Alcohol free.
 Higher price
 Low business unit strength.
 Middle class people hesitate to purchase.
 No promotional activities.
 Low profit margin to intermediaries.
Opportunities Threats
 Climate necessitates these types of
products
 More fashion oriented customers.
 Increased in the number of working ladies.
 Competitors.
 Chinese products such as orisis which are
very less costly than Kara.
 Baby wipes, as many customers are using
baby wipes as facial wipes.
62
8.2. Conclusion:
On the basis of the study done in this report and finding, the conclusion is that Kara wipes are the
premium brand product with good quality also, Kara has high industry attractiveness but medium
business unit strength. Some years before Kara hold a dominant position in the market nearly 56%.
But due to the competitors who are offering similar product in very less price in comparison to
Kara the sales of the Kara is affected adversely. The major reason is Kara is considered as a
premium product in this segment and it focus more on the quality because of which the price of
Kara wipes are much higher than the competitors’ products. As customers are more price sensitive
so they get attracted toward other low quality product which they can get in lower price and the
customers which concentrate more on the quality and brand of the product are buying Kara wipes.
Since Wet Wipes is a new concept, they are at an introductory level. But with the increasing
awareness of hygienic need and higher standard of living, people are showing very positive
response toward these products. Therefore it is placed under high industry attractiveness. The
circle falling in the green area indicate that company need to invest more on the promotional
activities to grow its brand and to increase the market share to hold dominant position in markets.
Distribution systemof Kara is not effective enough as in Mandi (Himanchal Pradesh). Kara have
2- tier distributional channel where only distributor and retailers are taking care of the sales and
market growth of the products. No sales person from the company is working in the markets who
can interact to the retailers and resolve their problem related to products or company.
Due to inefficiency of distribution system there is less availability of Kara wipes in the markets
which ultimately affects the sales and market coverage. Retailers are also very less interested in
selling the product as they are getting very less margin i.e. 20% on Kara wipes in comparison to
the related brands which provide 25-30% of margin in the sales of their products. In spite of this
company is not giving any benefits to the intermediaries to motivate them to sell its products in
markets.
63
8.3. Suggestions:
 Introduction of fat-agent in the markets:
Fat- agents are the stockiest who keep a lot of product and distribute them to the other outlets in
the same or nearby markets. Company should make fat-agents in the markets so that product
availability would increase which will also enhance the market coverage.
 Focus on institutional trading:
As there are many pharmaceuticals company and skin care clinics exists in Mandi (Himanchal
Pradesh) so company can focus on these institutes to increase their sales as well as customer base.
In Institutional trade purchase order is much bigger than in any other trade so if company could
able to get linkups with several companies it would be a great opportunity for increasing the market
share.
 Company should adopt competitive pricing strategy:
The price of Kara wipes are relatively higher than the competitors due to which the customers are
switching to the other brands. To resolve this problem company should adopt competitive pricing
so that customers did not switch to other brand by comparing the price of different products.
 Motivating intermediaries:
Intermediaries are the face of company in front of the customers so channel intermediaries should
be motivated by the company so that they could help in promoting the brand in the markets.
Company should increase the profit margin and provide other benefits to retailers and also look
forward to resolve their problem on time so that they will take interest in selling the products which
would help in achieving the objective of company.
 Kara needs a brand strategy:
Kara need a brand strategy because currently company is not promoting Kara wipes by any of the
means neither by advertisement nor by any other means of promotional tools and because of that
only the demand and awareness of the product is restricted which adversely affecting the sales of
the wipes in markets. So, company should advertise the product to create an awareness and demand
64
of the product which would help company to increase market coverage as well as market size.
More promotion tool should be given to the intermediaries which will work as point of purchase
material in the outlets and help company to promote the product and enhance sales.
In this era of digitalization company should focus on other medium of promoting the brand such
as social media, internet and web based applications. A page could be created on social media
websites which could create awareness and promote product to a larger extent and can help the
company to increase their customer base and demand of the product.
65
CHAPTER IX
KEY LEARNINGS
66
I have learnt a lot of the things during the project. Firstly it provided me much needed corporate
exposure like working in formal made team, business communication, prioritizing work. Secondly
it also helped me to brush up my sales & marketing skills through continuous given inputs on soft
skills and business communication during summer internship program but there is no better place
to use these skills than the workplace. My industry guide, Mr. Inderpreet Sodhi, who is a good
example of a well-disciplined person and grown by his own core values and philosophy. He neither
used to come late nor used to allow anybody to come late. It was a good learning that in corporate
world time is money and one is expected to be punctual.
In these 45 days,
a) I’ve gained much knowledge about market as well as various perceptions of the
Distributers, retailers, and customers.
b) Learnt different ways of tapping as well as pitching the product.
c) Practical knowledge of segmenting, targeting and positioning of product.
d) Consumer perception toward FMCG product.
e) Intermediary’s expectations from the company.
f) Distribution channel management of Kara wipes.
g) Teamwork.
h) Learning about the corporate culture.
i) Modern trade as well as General trade both helped me to brush up my sales skills.
67
Bibliography
68
Literary references:
 Philip Kotler: marketing management, 13th edition.
 Agrawal D.R. 2005 Business Ltd. India. Statistics Published By Vrinda
Publication (P).
 Kotler Philip, 2007, Marketing Management Published by Pearson Education
New Delhi.
 Kothari C.R.2006, Research Methodology Method & Techniques Published
by New Age International (P) Ltd. New Delhi.
 Schiff man & Kanuk 2005, Consumer Behavior Prentice Hall of India (P).
Ltd. New Delhi.
 Krishna k havaldar: sales and distribution management.
Internet references:
 www.futureconsumerlimited.in
 http://www.google.com
 http://grasimindustriesltd.com
 http://Karawipes.com
 http://scribd.com
 http://futureconsumer.in/products/details.aspx?id=19
 https://www.bcps.org/offices/lis/researchcourse/key_elements.html#design
approach
 http://www.business-standard.com/article/management/grasim-forays-into-
fmcg-through-birla-cellulose-108030901051_1.html
 http://www.euromonitor.com/medialibrary/pdf/samples/sample_report_tiss
ues_hygiene_wipes.pdf
69
ANNEXURE
 QUESTIONNAIRES :
1. Do you use facial wipes?
(a) Yes
(b) No
2. Mostly which brand of facial wipes you use?
(a) Johnson and Johnson
(b) Himalaya
(c) Kara
(d) Good Look
(e) Others
3. Have you ever heard/Used Kara Facial Wipes?
(a) Yes
(b) No
4. From where you heard about Kara facial wipes?
(a) Advertisement
(b) Word of mouth
(c) Retailers
(d) Others
5. Which attribute attract you to toward Kara wipes?
(a) Brand name
(b) Price
(c) Quality
(d) Availability
(e) Others
70
6. From where you prefer to buy facial wipes?
(a) Mall
(b) Cosmetic shop
(c) General store
(d) Medical Store
(e) Other
7. Kara wipes are easily available in the markets?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
8. All Kara variants are available in the outlets?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
9. Retailers push you to purchase Kara wipes?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
10. Kara wipe is considered as premium brand product?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
71
11. Brand name influences your purchase decision?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
12. Quality of Kara wipes is reliable?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
13. Price of Kara Wipes is reasonable?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
(f) Agree
14. Are you a brand loyal customer?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree
15. Should company need brand promotion for Kara wipes?
(a) Strongly Disagree
(b) Disagree
(c) Neutral
(d) Agree
(e) Strongly Agree

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Project kara

  • 1. 1 A SUMMER INTERNSHIP PROJECT REPORT ON “A STUDY ON BRAND AWARENESS AND MARKET RESEARCH TO INCREASE SALES OF KARA WIPES IN MANDI(H.P)” At FUTURE CONSUMER ENTERPRISE LIMITED SUBMITTED BY- ABHISHEK MISHRA BATCH 2016-2018 UNDER THE GUIDANCE OF DR.PRASHANT DUBEY INTERNAL GUIDE MR.INDERPREET SODHI (Reg. Manager, North) EXTERNAL GUIDE SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE DEGREE OF POST GRADUATE DIPLOMA IN MANAGEMENT- MARKETING INDIRA INSTITUTE OF MANAGEMENT, PUNE JUNE - JULY, 2017
  • 2. 2 ACKNOWLEDGEMENT The preparation of this project report was possible through cooperation of various persons. I would like to express my deep gratitude to all those who helped me in the completion of this project. I extend my sincere gratitude to Mr Inderpreet Sodhi, my company mentor and all my colleagues who were directly or indirectly involved in the project. I sincerely thank our Director Dr. Pandit Mali & HOD K.P. Mishra for their support and guidance and for all the unbiased feedback on my presentations all through the PGDM course. I would like to thank my internal project guide Dr. Prashant Dubey for his valuable guidance and unparalleled support during the progress of this project. Without her encouragement and crucial inputs, this project would not have been possible. The strong interest shown by them has helped me in dealing with the problems I faced during the course of project work. I express my profound sense of gratitude to them for timely help and cooperation in completing the project. With due respect, I am thankful to all the authors who contributed informative articles which helped in finishing my project report. ABHISHEK MISHRA MARKETING IIMP-PGDM 2016-2018
  • 3. 3 DECLARATION This is to declare that I, Mast. Abhishek Mishra, student of Post Graduate Diploma in Management (PGDM) 2016‐ 2018, Shree Chanakya Education Society’s Indira Institute of Management, Pune, have given the original data and information to the best of my knowledge in this project report titled “A STUDY ON BRAND AWARENESS AND MARKET RESEARCH TO INCREASE SLAES OF KARA WIPES”, under the guidance of Mr. Prashant Dubey, and that no part of this information has been used for any other assignment but for the partial fulfilment of the requirement towards the completion of the said course. I have prepared this project independently and I have gathered all the relevant information personally. I have prepared this project for the year 2016‐ 2018. I also agree in principal not to share the vital information with any other person outside the organization and will not support the project report to any other University or Institute. Date: Abhishek Mishra Place: Pune
  • 4. 4 TABLE OF CONTENT Content Page No. EXCECUTIVE SUMMARY 5-9 INTRODUCTION AND RATIONALE OF THE STUDY 10-12 INDUSTRY/ SECTOR PROFILE 13-19 COMPANY PROFILE 20-27 LITERATURE REVIEW 28-35 OBJECTIVES AND SCOPE OF PROJECT 36-37 RESEARCH METHODOLOGY 38-41 ANALYSIS AND FINDINGS 42-58 CONCLUSIONS & SUGGESTIONS 59-64 KEY LEARNINGS 65-66 BIBLOGFRAPHY 67-68
  • 6. 6  Project Title: A STUDY ON BRAND AWARENESS AND MARKET RESEARCH TO INCREASE SALES OF KARA WIPES.  Company: Future Consumer Enterprise Limited.  Importance of the Project: The importance of this project was to learn various tactics like: 1. Promoting a product. 2. Pitching a product in front of peoples. 3. Market research. 4. B2B as well as B2C selling, etc. Which are used to market a product (like Kara wet wipes) in the real market.  Objectives of the Project: 1. Building brand awareness among prospective customers. 2. To prepare market plan for the acquisition of New Customers. 3. To analyze market potential of cosmetic industry in special reference of Kara Wipes. The objective of the project was to communicate as well as promote our product to increase the sales of Kara Wet Wipes. Thus, approaching to the general public and introducing our product to them and reminding them until they gave a formal response was our priority task. However, along with it, a primary research work was also done to supplement field work.
  • 7. 7  Methodology adopted: Research Methodology Research approach Quantitative Research design Descriptive Research instrument Survey, interview (non-direct) and observation. Scaling Nominal and ordinal. Sampling Non-probability Sampling. Data Collection Primary and secondary. Research tool Excel, pie-charts, bar, and graphs.  Findings: a) According to the analysis peoples in Mandi (H.P) are aware about the Kara wipes but they are not using it much. Reason behind this is price and availability of Kara wipes in markets. b) This shows that peoples tend to be more value oriented while buying facial wipes and they prefer to buy cheaper product instead of a product which has higher cost in comparison to other. c) Study suggests that Kara is considered as premium brand in this segment due to the tag of Future Consumer Enterprise Limited as well as due to its quality.  Market expectation: Customer expectation Intermediaries expectation Reliable price. Better margin. Product availability. Effective distribution system. Discounts. Promotional tools. Variants should be available in outlets. Sales person support. Competitive pricing.
  • 8. 8  Bottlenecks in the market: a) 2-tier distribution channel. b) Availability of the product. c) Fewer margins to intermediaries. d) Price of the product is high. e) No sales person. f) Inconsistency in the market.  Learnings: a) In these 45 days, I’ve gained much knowledge about market as well as various perceptions of the Distributers, retailers, and customers. b) Learnt different ways of tapping as well as pitching different peoples. c) Practical knowledge of segmenting, targeting and positioning of product. d) Consumer perception toward FMCG product. e) Intermediary’s expectations from the company. f) Distribution channel management of Kara wipes. g) Teamwork. h) Learning about the corporate culture. i) Modern trade as well as General trade both helped me to brush up my sales skills.
  • 9. 9  Conclusion:  Kara has high industry attractiveness but medium business unit strength.  Due to the competitors who are offering similar product in very less price in comparison to Kara the sales of the Kara is affected adversely.  Since Wet Wipes is a new concept, they are at an introductory level.  With the increasing awareness of hygienic need and higher standard of living, people are showing very positive response toward these products. Therefore it is placed under high industry attractiveness.  The circle falling in the green area indicate that company need to invest more on the promotional activities to grow its brand and to increase the market share to hold dominant position in markets.
  • 10. 10 CHAPTER I: INTRODUCTION AND RATIONALE OF THE STUDY
  • 11. 11 1.1. Introduction to the title: Kara wipes is a brand owned by Future Consumer Enterprise Limited. Future Consumer Enterprise Limited is India’s first sourcing-to-supermarket food company by Future Group which is built on the virtue of sharing. With the help of the brands like Kara, Care mate, and other cosmetics brands which are owned by FCL, the company has entered into a new category of FMCG segment which is cosmetics. As the society is changing, people now use more of the cosmetics products. Change in trend in the wipes market has also been driven by new product development and the positive reception of new product applications by the consumer. Personal wipes grew by 20% in value. Primarily due to a very low sales base the customer base increased as wipes gained visibility in modern retail formats, such as hypermarkets and supermarkets, but remained small compared with that for retail tissue product. In 2009-10 Kara was the leading brand in the market with 56% of share but in spite of growth of 20% in personal wipes the sales of Kara wipes is decreasing and company data shows that sales is decreased by nearly 25%. Which also adversely affect the market share of Kara wipes in this segment. Increasing the market share and sales is becoming the emerging issue in the company and company is making the effort to improve their projection technique, market strategy and improving their distributional channel to become the market leader in personal wipes segment. In this study we focus on collecting and analyzing the data which could give the information about the bottlenecks which exists in the markets as well as in other marketing activities so that these problems can be resolved for the future development. This study examine the reason behind the downfall in the sales and market share of Kara wipes and help the organization to improve the projection technique and market strategy for enhancing the sales and market share. For the purpose of this study data was collected from the different markets from different marketing trades which are as follows:  General trade in which demand was generated for the product by visiting the outlets in the markets and data was collect through non-directive interviews from the retailers in which open ended question were asked from the retailers.  Modern trading in which data was collected by non-participant observation in different modern markets such as reliance mart and more stores which gives the information about the buying behavior of consumers.  Institutional trading in which work was done to increase corporate connect which would help to increase the sales and information was gathered regarding the importance of institutional trading of Kara wipes. Besides this research, data was also collected to get the information about what is consumer perception about Kara as a brand which helps the company to make the appropriate strategy for branding of Kara wipes in the markets. During this period work was done to strengthen the sales as well as to build the brand awareness of Kara wipes in a specific region i.e. Mandi.
  • 12. 12 1.2. Significance of the study: This research gives us the idea about the difficulties that Kara wipes are facing in the market in spite being a premium and quality product in this segment. It helps us to know about the deficiency of the various Marketing activities as well as the distribution channel of Kara wipes and also about the present scenario and market share of this product. It gives a scope of rethink on some of the marketing strategy such as discount slabs to retailers, margin of the intermediaries, continuity of the distribution channel, target customers and way of promotions.
  • 14. 14  Overview of the industry: 2.1. Introduction: Disposable wipes came into the existence in nineties and has evolved into the global business concept generating a good amount of sales. Because of strong growth year after year in sales and popularity, the category now assumes a major role in the personal care market. Replacing to makeup removal and deodorant wipes in personal care and furniture cleaning product in household care, disposable wipes have gradually expanded to offer a wide range of products, replacing the range of traditional combination of cloth, cotton, and cleaning solution.  The concept of the wet wipes is growing in the global market at a good pace, although it is important to know the challenges which may arise in the long run and will present great difficulties to the companies. Those companies which are capable of combining a cutting edge technology with the new innovative ideas which can give them a competitive advantage from the revelries companies can survive in long run.  In India most of the wipes are made of viscose and spun laces and Kara Wipes a branch of Future Consumer Enterprise Limited is a major manufacturer of viscose Staple fiber in India. Viscose staple fiber is 100% natural fiber, alcohol free and biodegradable which is very good for skin and also easily degradable. For Kara Wipes, it is easy to do well against the other local player as they need to purchase VSF from it.  From last few years there has been an explosion in the number of wipes available to the consumer. And in present scenario the perception of using the baby wipes as a facial wipes is changing and due to this the growth of facial wipes is picking the pace in the markets. These wipe posing as much better substitute than traditional cloth and liquid.  In comparison with U.S and Europe countries which spend nearly 6-10% of their income on disposable product. In India It is only 0.0001%. In India these products are considered as life style product not the necessary one but as the lifestyle of the Indian consumer is changing and they believe in high standard of living. So, there facial wipes are having a great potential to grow in the Indian markets. Consumer awareness about hygiene products increased as a result of advertising price reduction and launch of cheaper product like so- soft, in touch, Himalayas, orisis, etc by the manufacturers over the last few years.
  • 15. 15  Skin care wipes are growing in the markets and some of the reasons are. Faster pace of life in cities, increased in nuclear family and working women and also because of higher standard of living by peoples in metro and big cites. The disposable facial wipes are facing competition in India as many of the manufactures are launching their cheaper products which contain alcohol and are made up of polyester but in comparison with quality product they are very less in price.  The leading market research agency KSA TECHNOPAK conducted a market survey some year back and discovered that there is a huge potential for wipes in India. According to the survey after Delhi NCR, Chandigarh is the biggest market for cosmetics in north India. Some of the Chinese products are also entered in Indian market like orisis which are not of good quality and can affect the skin badly but these products are capturing the attention of the people who are price sensitive. But increasing attention on the quality and brand of the product will definitely help to the products which are good in quality like Kara.  Contribution of the sector towards GDP: The fast moving consumer goods (FMCG) segment is the fourth largest sector in the Indian economy. The market size of FMCG in India is estimated to grow from US$ 30 billion in 2011 to US$ 74 billion in 2018. Food products is the leading segment, accounting for 43 per cent of the overall market. Personal care (22 per cent) and fabric care (12 per cent) come next in terms of market share. Growing awareness, easier access, and changing lifestyles have been the key growth drivers for the sector.  What are FMCG goods? FMCG goods are popularly known as consumer packaged goods. Items in this category include all consumables (other than groceries/pulses) people buy at regular intervals. The most common in the list are toilet soaps, detergents, shampoos, toothpaste, shaving products, shoe polish, packaged foodstuff, and household accessories and extends to certain electronic goods. These items are meant for daily of frequent consumption and have a high return.  Rural – set to rise. Rural areas expected to be the major driver for FMCG, as growth continues to be high in these regions. Rural areas saw a 16 per cent, as against 12 per cent rise in urban areas. Most companies rushed to capitalize on this, as they quickly went about increasing direct distribution and providing better infrastructure. Companies are also working towards creating specific products specially targeted for the rural market.
  • 16. 16 The Government of India has also been supporting the rural population with higher minimum support prices (MSPs), loan waivers, and disbursements through the National Rural Employment Guarantee Act (NREGA) program. These measures have helped in reducing poverty in rural India and given a boost to rural purchasing power. Hence rural demand is set to rise with rising incomes and greater awareness of brands.  Urban trends With rise in disposable incomes, mid- and high-income consumers in urban areas have shifted their purchasing trend from essential to premium products. In response, firms have started enhancing their premium products portfolio. Indian and multinational FMCG players are leveraging India as a strategic sourcing hub for cost-competitive product development and manufacturing to cater to international markets.  Trend of industry performance for last few years: The consumer durables market is expected to reach US$ 12.5 billion in 2015 and US$ 20.6 billion by 2020. Urban markets account for the major share (65 per cent) of total revenues in the consumer durables sector in India. There is a lot of scope for growth from rural markets with consumption expected to grow in these areas as penetration of brands increases. Also demand for durables like refrigerators as well as consumer electronic goods are likely to witness growing demand in the coming years in the rural markets as the government plans to invest significantly in rural electrification. The FMCG sector has grown at an annual average of about 11 per cent over the last decade. The overall FMCG market is expected to increase at (CAGR) of 14.7 per cent to touch US$ 110.4 billion during 2012-2020, with the rural FMCG market anticipated to increase at (CAGR) of 17.7 per cent to reach US$ 100 billion during 2012-2025.Food products is the leading segment, accounting for 43 per cent of the overall market. Personal care (22 per cent) and fabric care (12 per cent) come next in terms of market share. Growing awareness, easier access, and changing lifestyles have been the key growth drivers for the consumer market. The Government of India's policies and regulatory frameworks such as relaxation of license rules and approval of 51 per cent foreign direct investment (FDI) in multi- brand and 100 per cent in single-brand retail are some of the major growth drivers for the consumer market.
  • 17. 17 Consumer durables revenues have been growing at a healthy pace  In 2015, revenue from consumer durables sector in India stood at US$ 9.7 billion, which further increased to US$ 12.5 billion in FY16.  Consumer durable market expected to grow at CAGR of 13 per cent from FY05 to FY20.  Around two third of the total revenue is generated from urban population and rest is generated from rural population.  Major players in the industry: According to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs, and the balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are owned by Hindustan UniLever. The top ten India FMCG brands are: 1. Hindustan Unilever Ltd. 2. ITC (Indian Tobacco Company). 3. Nestlé India. 4. GCMMF (AMUL). 5. Dabur India. 6. Asian Paints (India). 7. Cadbury India. 8. Britannia Industries. 9. Procter & Gamble Hygiene and Health Care. 10. Marico Industries.
  • 18. 18  PEST Analysis: POLITICAL: 1. Tax exemption in sales and excise duty for small scale industries. 2. Transportation and infrastructure development in rural areas helps in distribution network. 3. Restrictions in import policies. 4. Help for agricultural sector. ECONOMICAL:  GDP rate.  Inflation rate: -1.27  Increase in Disposable income: YEAR DI in 1000 US $ 2003 556 2015 11504
  • 19. 19  Indian FMCG Recorded 16% Sales Growth in Last Fiscal5. The FMCG sector is a 4th largest sector of Indian economy with market size of more than 60,000 crore. SOCIAL:  Demographical analysis: The Indian culture, social & life styles are changing drastically. TECHNOLOGICAL:  Technology has been simplified and available in the industry.  Foreign players helps in high technological development. 2.2. BUISNESS STANDARDS OF COSMETIC INDUSTRY: India's cosmetics and grooming industry market size is expected to rise manifold to $35 billion by 2035, with consumption of cosmetics among teenagers increasing rapidly. A study recently pegged the current market size at $6.5 billion. The consumption pattern of cosmetics among teenagers went up substantially between 2005 and 2017 because of increasing awareness and due to the desire to look good. Besides, the herbal cosmetic industry is expected to grow at 12 per cent in India, considering that Indian consumers tend to purchase natural and herbal cosmetic products. Indian market has herbal cosmetic brands like Forest Essentials, Biotique, Himalaya Herbals, BlossomKochhar, VLCC, Dabur, Lotus, Jovees, Patanjali and Just Herbs, among others. The survey stated that 68 per cent of young adults feel that using grooming products boosts their confidence. In terms of method of purchase, 62 per cent young consumers in big cities prefer to buy online beauty and grooming products while 45 per cent tend to buy cosmetics and apparels from any shop of their convenience.
  • 21. 21 3.1. Composition of Board: FUTURE CONSUMER ENTERPRISE LIMITED COMPOSITION OF BOARD Board of Directors Mr. G N Bajpai. Chairman, Independent and Non-Executive Director. Mr. Kishore Biyani. Promoter and Vice-Chairman. Ms. Ashni Biyani. Whole Time Director. Ms. Vibha Rishi. Independent and Non-Executive Director. Mr. Frederic de Mevius. Independent and Non-Executive Director. Mr. K K Rathi. Non-Executive Director. Mr. Adhiraj Harish. Independent and Non-Executive Director. Mr. Deepak Malik. Non-Executive Director. Mr. Narendra Baheti. Executive Director
  • 22. 22 3.2. Mission, Vision and Values of the company: VISION: FCL shall become the creator and provider of the Food Palate for a diverse and evolving India. We will continuously strive to upgrade the overall food consumption. MISSION: FCL will leverage consumer insights and cater to India's diversity by sharing the joy of food and its bounty with all its stakeholders. BELIEF & CULTURE: At FCL, we believe in the act of celebrating and sharing the bounty of food. This belief in sharing propels us to be fair, caring and responsible towards our consumers, associates, partners and society at large. The success of FCL in various facets represents a disciplinary culture induced with strong leadership thoughts. A company which has built India's first ever integrated commodity sourcing model, FCL's vast platform is equipped with diverse food production capabilities. FCL is constantly innovating in every aspect of its value chain (from sourcing, product development, branding and packaging) to create brands in categories that India had not invested in so far. 3.3. Geographical Presence: Nilgiris: Through a network of franchisees, FCL has a strong presence in the neighborhood convenience stores in south India. Nilgiris is one of the oldest retail, dairy and bakery brand in south India with a strong goodwill for its range of products. Niligiris' robust backend operations including several procurement Centre’s, logistics and IT as well as a fleet of vehicles, including refrigerated trucks, further strengthens FCL’s distribution network. Aadhaar: Rural distribution is led through Aadhaar that operates through cash-and-carry model in Gujarat and Punjab and another 38 smaller format retail stores that are either operated by the company or through franchisees.
  • 23. 23 3.4. Product Categories: Future consumer enterprise limited currently caters to various categories such as:  Basic Foods.  Ready to Eat Meals.  Snacks, Beverages.  Personal Hygiene Care and Home Care. The product which was given by the company is Kara wipes which comes under the fourth category i.e. Personal hygiene care and home care. KARA- Facial Wipes  Variants of Kara: 1. Kara refreshing wipes: Kara refreshing wipes are made up of Aloe Vera for skin nourishment and mint oil for effective refreshment and also with cucumber which help in smoothening cooling and softening. 2. Moisturizing wipes: Kara Moisturizing wipes is made up with the goodness of Almond and Honey which help in making skin more healthy and beautiful. 3. Make-up removal wipes: Kara make-up removal wipes are made up of lavender and extract of sea weed that remove the makeup in just one wipes. When it comes to getting rid of that layer of makeup on your skin, Kara Makeup removal wipes are the best solution. 4. Deep pore cleansing wipes: Deep pore cleansing wipes are made up of Jojoba and Avocado extracts. It is a very gentle way to remove all the dust, grime and excess of oil from the skin. It unclogs pores and thoroughly exfoliates dead skin cells.
  • 24. 24 5. Toning wipes: Kara toning wipes are made up of rose and thyme extract. These wipes are the most effective way for ensuring smooth, even toned, and fresh skin at any given point of time of the day. Thyme & Rose extract have a host of beneficial effects on the skin giving your skin a youthful look, tone, elasticity, and even colored complexion, along with the perfect PH balance. 6. Sunscreen wipes: The goodness of sunscreen lotion with SPF 20 is now in an easy to carry sunscreen wipes. The wipes is made up of rich Aloe Vera & plum extracts nourishes the skin.
  • 25. 25 3.5. Distribution Channels: Distribution channel is defined as a path or the way through which the finished product travel from the manufacturer or vendor to the end consumers. A distribution channel may be short so that a company can utilize the resources in best possible way and spend less in transferring the goods to the end users. There are several intermediaries in the distribution channel like distributors, wholesaler, dealers, and retailers through which the product passes before going to the users of that product. Types of distribution channel:-  Direct distribution channel: - it consists of. Manufacture----------------------------------------------------Consumers.  1-tier distribution channel: - it consists of. Manufacturer-------------------distributors----------------Consumers.  2- tier distribution channel:- it consists of Manufacturer---------distributor--------retailer----------Consumer.  3-tier distribution channel: - it consists of. Manufacturer---distributors---wholesalers---retailers--Consumers.
  • 26. 26 3.6. Business performance: The summarized financial performance (Standalone and Consolidated) of the Company for 2015- 16 and 2014-15 is given below: Standalone Consolidated 2015-16 2014-15 2015-16 2014-15 Total Income 1,37,024.80 1,11,912.33 1,78,050.59 1,34,741.53 Profit/ (Loss) before Tax & Exceptional Items. (6,355.01) (6,860.91) (11,837.04) (10,877.61) Less : Exceptional Items - 2,514.00 470.14 - Profit/(Loss) before Tax (6,355.01) (9,374.91) (12,307.18) (10,877.61) Profit/(Loss) After Tax (6,355.01) (9,374.91) (12,313.48) (10,937.03) Profit/(Loss) After Share of Associates & Minority Interest NA NA (11,278.38) (10,276.42) -Business Trends:  Profitability  Outlook  Market The industry shows a growth rate of about 7%.
  • 27. 27 3.7. SWOT Analysis: SWOT Analysis of Future Consumer Enterprise Ltd provides a strategic report of businesses and operations of the company. The SWOT analysis shows strengths, weaknesses, opportunities and threats. This SWOT analysis of Future Consumer Enterprise Ltd can provide a competitive advantage. SWOT ANALYSIS Strengths Weaknesses -experienced business units -high growth rate -high profitability and revenue -domestic market -barriers of market entry -reduced labor costs -monetary assistance provided -future cost structure Opportunities Threats -new products and services -income level is at a constant increase -growth rates and profitability -tax changes -increase in labor costs -price changes
  • 29. 29 4.1. History: Disposable wipes came into the existence in nineties and has evolved into the global business concept generating a good amount of sales. Because of strong growth year after year in sales and popularity, the category is now assumes a major role in the personal care market. Replacing to makeup removal and deodorant wipes in personal care and furniture cleaning product in household care, disposable wipes have gradually expanded to offer a wide range of products, replacing the range of traditional combination of cloth, cotton, and cleaning solution. The concept of the wet wipes is growing in the global market at a good pace, although it is important to know the challenges which may arise in the long run and will present great difficulties to the companies. Those companies which are capable to combine cutting edge technology with the new innovative ideas which can give them a competitive advantage from the revelries companies can survive in long run. In India most of the wipes are made of viscose and spun laces and Kara Wipes a branch of Future Consumer Enterprise Limited is a major manufacturer of viscose Staple fiber in India. Viscose staple fiber is 100% natural fiber, alcohol free and biodegradable which is very good for skin and also easily degradable. For Kara Wipes it is easy to do well against the other local player as they need to purchase VSF from it. From last few years there has been an explosion in the number of wipes available to the consumer. And in present scenario the perception of using the baby wipes as a facial wipes is changing and due to this the growth of facial wipes is picking the pace in the markets. These wipe posing as much better substitute than traditional cloth and liquid. In comparison with U.S and Europe countries which spend nearly 6-10% of their income on disposable product. In India It is only 0.0001%. In India these products are considered as life style product not the necessary one but as the lifestyle of the Indian consumer is changing and they believe in high standard of living. So, there facial wipes are having a great potential to grow in the Indian markets. Consumer awareness about hygiene products increased as a result of advertising price reduction and launch of cheaper product like so-soft, in touch, Himalayas, orisis etc. by the manufacturers over the last few years.
  • 30. 30 Skin care wipes are growing in the markets and some of the reasons are. Faster pace of life in cities, increased in nuclear family and working women and also because of higher standard of living by peoples in metro and big cites. The disposable facial wipes are facing competition in India as many of the manufactures are launching their cheaper products which contain alcohol and are made up of polyester but in comparison with quality product they are very less in price. The leading market research agency KSA TECHNOPAK conducted a market survey some year back and discovered that there is a huge potential for wipes in India. According to the survey after Delhi, Chandigarh is the biggest market for cosmetics in north India. Some of the Chinese products are also entered in Indian market like orisis which are not of good quality and can affect the skin badly but these products are capturing the attention of the people who are price sensitive. But increasing attention on the quality and brand of the product will definitely help to the products which are good in quality like Kara. 4.2. Future Consumer Enterprise Limited: Future Consumer Limited (Formerly known as Future Consumer Enterprise Limited) (FCL), India’s first sourcing-to-supermarket food company by Future Group is built on the virtue of sharing. Starting from the seeding of food at the farm to its consumption from the plate, FCL acts as a catalyst for each of its stakeholders. From sourcing, processing, retailing to final act of consumption – FCL strikes a widespread cord between the lives of the farmer, a factory laborer, a worker on the shop floor and the housewife. Food means sharing in India. It starts at the farms where neighbors, kith and kin join hands in tilling, sowing and harvesting of crops. Women come together to further process and prepare food. Recipes are passed down as heirlooms, shared by friends and neighbors and now on television by celebrity chefs. Under FCL’s spectrum, the company sources best quality commodities from world over, comprises of extensive portfolio of established brands in food and HPC space, builds urban convenience store for key metros and cash-n-carry rural distribution models for other cities across India. (Integrated front end to back end).
  • 31. 31 VISION FCL shall become the creator and provider of the Food Palate for a diverse and evolving India. We will continuously strive to upgrade the overall food consumption. MISSION FCL will leverage consumer insights and cater to India's diversity by sharing the joy of food and its bounty with all its stakeholders. BELIEF & CULTURE At FCL, we believe in the act of celebrating and sharing the bounty of food. This belief in sharing propels us to be fair, caring and responsible towards our consumers, associates, partners and society at large. The success of FCL in various facets represents a disciplinary culture induced with strong leadership thoughts. A company which has built India's first ever integrated commodity sourcing model, FCL's vast platform is equipped with diverse food production capabilities. FCL is constantly innovating in every aspect of its value chain (from sourcing, product development, branding and packaging) to create brands in categories that India had not invested in so far.
  • 32. 32 4.3. Kara Wipes: Kara skin care wipe is launched by Aditya Birla group in 2008 but it is now owned by Future Consumer Enterprise Limited which is a venture of Future Group. It works as a solution for skin care regime outside the home. A convenient way to look best always. Now day’s hectic schedule gives a very little time to take care of our self and our skin. But with Kara skincare in our bag we can easily take care of our skin when we are on the go. These wipes are made up of the unique combination of natural ingredients. We can use these wipes anytime and anywhere easily. Kara wipes are made from viscose fiber which is a fiber that is 100% natural and biodegradable. Kara skincare wipes are considered as the first premium wipes in Indian market. These types of product are popular in the western countries but it is new concept in India. Although Indian customer are familiar with the imported product like Kara wipes. But it is the first time an Indian company entered into this segment. The brand also mark Aditya Birla group into the Indian FMCG market. Kara wipes are positioned as essential accessory for skin. The target people of this brand are young lady Professionals, College going students who need to meet a lot of peoples and travels a lot. The aim if this brand is to create the new category of wipes in India. Some of the reasons why product is relevant in Indian market.  The climate which necessitates such a product.  Growing number of lady professional.  Improved lifestyle in urban cities.  Peoples are becoming more fashion oriented. The difference between the other brand and Kara is that the other brand is made up of polyester blended non-woven fabric or paper. As polyester is not a skin friendly product it affect our skin badly and this paper is tear off when rubbed on face and leave a lint on the face which irritates the users often. On the other Kara is made up of Viscose fabric staple which is 100% natural and clean all the dust and give nourishment to our skin. It doesn’t leave lint when rubbed on the skin and makes users feel relax.
  • 33. 33 Characteristics of Kara skincare wipes: • Convenient. • Hassle free application of lotion without using cotton balls. • Portable. • 100 percent natural and biodegradable. • Hygienic. • Alcohol free. • Dermatologically safe. • Assurance of “Future Consumer Enterprise Limited”.
  • 34. 34 Different trades are as follows: I. General trading: General trading is related to business to consumer concept of selling the products. While working in general trading focus was on all the retail shops like cosmetics shops, medical stores, stand-alone stores, general stores etc. in nearly 10 big and famous markets of Mandi and Dharamshala. In general trading work was to see the availability of Kara in the different markets and to find the problems which retailers have regarding the product and also the problem with the company regarding their margin and profit ratio etc. There are many cosmetics or medical stores which didn’t have Kara wipes so my work was to create the demand of product by influencing the behavior of these retailers and convince them to give the purchase order for our product as well as perform promotional activities to increase brand awareness in these locations. II. Modern trading: Modern trading deals with the different malls, shopping complexes and different shopping marts where thousands of peoples come daily to purchase all their requirements starting from households products to apparels, entertainment and eatables etc. In modern trading data was collected reliance market and more stores. In modern trading, the taste and preference of the consumer while purchasing the product and their reaction after seeing the product which can give the idea of what customer want from our product was observed. This study would help company personal to do the better projection of the strategies which they plan and implemented in the market for the growth of their products.
  • 35. 35 III. Institutional trading: Institutional trading is related to Business-to-Business selling of the products. Presently wipes became the very good and preferred corporate gifts which are given by the pharmaceuticals companies to the doctors, associates and to clients also. Company can sell product through Pharmaceuticals Company and many beauty clinics can help us to increase the sales of our product by recommending this products to their patients. In institutional trading we need to institutes which can purchase in bulk hence increasing the products sale and share in the market. In institutional trading focus was on the beauty clinics, saloons which also have their chain and branches in these two locations were also targeted. In institutional trading work was to get the linkups from these companies and clinics so that company will be able to target the market through these institutions. This would also improve the sales and market share of the product in the markets of Mandi.. IV. Market research: This profile is research based in which a questionnaire was constructed and respondent was asked to fill these questionnaires about Kara Wipes. This study and analysis will give a clear idea about the consumer behavior and attitude toward Kara wipes which also help to make reliable strategy and on the other hand this research will also give a clear picture about the efficiency and deficiency of company’s distribution system. So that company could work on it to improve or enhance their distribution system.
  • 36. 36 CHAPTER- V OBJECTIVES AND SCOPE OF PROJECT
  • 37. 37 5.1. Objective of the study: The main objective of this study is to conduct market research for creating new market at the specific region Mandi (Himanchal Pradesh) and to increase brand awareness at that region. 5.1.1. Primary Objective:  Building Brand Awareness among prospective customers.  To prepare market plan for the acquisition of New Customers.  To analyze market potential of cosmetic industry in special preference of Kara wipes. 5.2. Scope of the study: This research gives us the idea about the difficulties that Kara wipes are facing in the market in spite being a premium and quality product in this segment. It helps us to know about the deficiency of the distribution channel of Kara wipes and also about the present scenario and market share of this product. It gives a scope of rethink on some of the marketing strategy such as discount slabs to retailers, target customers and way of promotions. 5.3. Summer Internship details: Location: Mandi (Himanchal Pradesh). Time: 45 days. Domain: Marketing.
  • 39. 39 Methodology Research Methodology Research approach Quantitative Research design Descriptive Research instrument Survey, interview (non-direct) and observation. Scaling Nominal and ordinal. Sampling Non-probability Sampling. Data Collection Primary and secondary. Research tool Excel, pie-charts, bar, and graphs.
  • 40. 40 1.1. Research Design: A descriptive research design is used in this study to describe the status of the different variable. Data was being collected for the research, analysis and synthesis of which provides the systematic information about the situation. 1.2. Research instrument used in this study:  Survey: A structured Questionnaire was constructed for collection of data to know the market scenario of Kara wipes as a brand and to get customer perception regarding this brand. The questionnaire was designed to accomplish the objective of study. Some of the question are multi choice question and other are scored on a five point Likert scale ranging from “strongly disagree” to “strongly agree”.  Observation (non-participant): Data was collected by non-participant observation. In which researcher observe about the attribute of Kara wipes which is to attract customers and the attribute which change their perception toward the product. This study was done in some modern markets like traditional stores.  Interview (non-directive): Data was also collected by non-directive interview in which open ended question was asked from retailers in different markets which provides the information about the demand of Kara wipes, Intermediaries expectations from the company and bottlenecks which exists in these markets.
  • 41. 41 1.3. Scaling: In this project both nominal and ordinal scale was used as in some questions only labels was given to the responses and some of the questions were scored on five point Likert scale to get the information about the importance and significance of different variables to attain main objective 1.4. Sampling: For the purpose of this study convenience sampling i.e. non-probability sampling was used for collecting the data by getting the questionnaire filled by the respondent. It provides easiness and quick responses from the respondent. 1.5. Data collection: 1. Primary data: In this report primary data is collected by:  Structured questionnaire.  Observation while working in modern trade in reliance mart.  Non- directive interview while interacting with the retailers and managers of the different pharmaceuticals companies and beauty clinics. 2. Secondary data: In this report secondary data is collected by:  From the company data given by the industry mentor.  Through internet and books.
  • 43. 43 After collection of data, next task of research process is analysis and interpretation of data. Questionnaire is processed and edited to make sure that all question are answered. The resulting data should be logical and consistent. After editing, data are tabulated and analyzed. Data analysis includes the statistical test which may be editing, coding, tabulation, interpretation. Coding is the assignment of numbers to the observation so that data can be analyzed, whereas tabulation refers to the classification and cross classification of observed data. The above things are common in all type of market research project. Statistical tests are applied to certain such research where data are complex and casual relation is to be established. Statistical tests are useful to describe the data at hand, test hypothesis and make predictions or estimates. Descriptive analysis is use to reduce data at hand to a smaller set of number of summary measure represent information. To analyze the market scenario, the questions and their responses which were recorded during the internship are mentioned below:
  • 44. 44 RESPONSES:  Do you use facial wipes? Fig. 7.1 Interpretation: 1. Out of 141 respondent 109 are using wet facial wipes for their skin. 2. Peoples in urban cities are becoming more fashion oriented and due to this demand of these wet wipes is increased. 3. Consumers are using baby wipes to clean their face which results in growth of this segment in markets. 77% 23% YES NO Q 1
  • 45. 45  Mostly which brand of facial wipes you use? Fig. 7.2 Interpretation: 1. 22% of respondent didn’t answer this question as they are not using facial wipes. 2. Johnson & Johnson is the market leader which contributes nearly 32% of sales. 3. Kara contributes only 25% of sales in Mandi (Himanchal Pradesh) markets which is decreased from last several years. 4. 42% of the market is covered by other competitors such as Himalayas, good looks, in touch, Dettol, and some foreign players like orisis. 35 17 28 11 18 32 JOHNSON& JOHNSON HIMALYAS KARA GOOD LOOK ORISIS NONE
  • 46. 46  Have you ever heard/Used Kara Facial Wipes? Fig. 7.3 Interpretation: 1. Out of 141 respondent118 used or heard about Kara wipes. 2. Out of 118 only 28 respondents is using Kara wipes presently. 82% 18% YES NO Q.3
  • 47. 47  From where you heard about Kara facial wipes? Fig. 7.4 Interpretation: 1. 20% of the respondents are not aware about the Kara wipes. 2. Only 15% of the respondents get aware from advertisement and company sales person. This means that company is not making effort for the promotion of their product. 3. Kara got promoted majorly by publicity through words of mouth. 12 56 41 9 23 ADVERTISEMENT WORDS OF MOUTH RETAILERS OTHERS NOT ANSWERED
  • 48. 48  Which attribute attract you to toward Kara wipes? Fig. 7.5 Interpretation: 1. Quality is the variable toward which customers are mostly attracted.45% of the respondents likes the quality of Kara wipes. 2. Study shows that there is less availability of Kara wipes in the markets. 3. Only 2% of respondent attract toward Kara by it price. This shows that price of the product is not acceptable by customers. 42 3 54 11 8 23 BRAND NAME PRICE QUALITY AVAILABLITY OTHERS N.A
  • 49. 49  From where you prefer to buy facial wipes? Fig. 7.6 Interpretation: 1. Nearly 20% of respondent didn’t answer this question as they are not using facial wipes. 2. 45% of the respondents are purchasing wipes from modern markets like malls, reliance market, metro and many other super markets exists in Mandi (Himanchal Pradesh). 21 32 6 21 35 26 MALL COSMETICSHOP GENERAL STORE MEDICAL STORE OTHER NOT ANSWERED
  • 50. 50  Kara wipes are easily available in the markets? Fig. 7.7 Interpretation: 1. 55% of the respondent disagrees on the point that Kara is easily available in the market. 2. Only 16% of respondents believe that Kara is available in the market as these respondents are buying wipes from modern markets. 17 58 65 20 3 STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
  • 51. 51  All Kara variants are available in the outlets? Fig. 7.8 Interpretation: 1. Data shows that only 5% respondents agree that all the variants of Kara wipes are available in the markets. 20% 39% 36% 5% 0 STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE Sales
  • 52. 52  Retailers push you to purchase Kara wipes? Fig. 7.9 Interpretation: 1. Graph shows that 14% of the respondents strongly disagree, 26% of respondents disagree and 41% are neutral that retailers push them to purchase Kara wipes. 2. Only 15% of the respondents agree that retailers are making effort to sell Kara wipes in the markets. 20 37 59 25 0 STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
  • 53. 53  Kara wipe is considered as premium brand product? Fig. 7.10 Interpretation: 1. Tag of Future Consumer Enterprise Limited makes Kara a premium brand in this segment. 2. Study show 30% of the respondent agrees and 34% strongly agree that Kara is a premium brand. 3 9 40 42 47 STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE
  • 54. 54  Brand name influences your purchase decision? Fig. 7.11 Interpretation: 1. Data shows that 32% of the respondents agree and 6% strongly agrees that brand name influence their buying behavior. 2. 30% of the respondents are neutral in this so they switchers. 3. 32% of the respondents are not brand seekers and they see value for money in their purchase. 8% 24% 30% 32% 6% STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE Sales
  • 55. 55  Quality of Kara wipes is reliable? Fig. 7.12 Interpretation: 1. 16% of the respondents didn’t answer this question because they are not using any facial wipes. 2. Graph shows that 28% of respondents strongly agree and 24% agree that the quality of Kara wipes is reliable. 1 8 34 41 34 23 STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE NOT ANSWERED
  • 56. 56  Price of Kara Wipes is reasonable? Fig. 7.13 Interpretation: 1. This data shows that majority of the people disagree that the price of Kara wipes is reasonable. 2. This graph shows that20% of the respondent strongly disagrees and 41% of the respondents disagrees that price of the Kara wipes is reasonable. 28 58 49 6 0 STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE Series 1
  • 57. 57  Are you a brand loyal customer? Fig. 7.14 Interpretation: 1. This graph shows that how many people stick to or purchases one brand. 2. As data shows that 51% of the respondents are neutral, 22% disagree and 6% strongly disagree when it comes to brand loyalty and they switch to different brand over times. 3. Only 25 % people agree that they are brand loyal and they use same brand for long time. 6% 22% 51% 18% 3% STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE Sales Sales
  • 58. 58  Should company need brand promotion for Kara wipes? Fig. 7.15 Interpretation: 1. The data shows that 50 % of the respondents agree and 7% strongly agree that company should do brand promotion. 2. Brand promotion will help to create more awareness and influencing more customers. 0% 2% 41% 50% 7% STRONGLY DISAGREE DISAGREE NEUTRAL AGREE STRONGLY AGREE Sales
  • 60. 60 8.1. Findings:  In spite of being a very little segment study shows that wet facial wipes are getting popularity in the markets and customers are using wipes in place of other things like handkerchief and other personal care products.  Presently in the market of Mandi (Himanchal Pradesh), Johnson & Johnson is the market leader which contributes nearly 32% of sales. The reason for this is customers are also using baby wipes as facial wipes as they are very soft and Johnson & Johnson is a very popular brand for kids section and Johnson baby wipes are very popular.  According to the analysis peoples in Mandi (Himanchal Pradesh) are aware about the Kara wipes but they are not using it much. Reason behind this may be the price and availability of Kara wipes in markets.  The customer base is increased as wipes got visibility in modern market such as super markets and hyper markets. Sales of these products are more in modern markets as in these markets customer explore more products and chances of impulse buying increased.  As the study suggests Kara wipes is gaining popularity by publicity through words of mouth where customers are spreading the news about this product. But company is not making any direct efforts to promote these products in Markets.  Distribution channel is not working effectively in the market of Mandi (Himanchal Pradesh) as company adopt 2-tier distribution system due to which market coverage is very less for Kara wipes which results in less availability of wipes in different markets.  Channel intermediaries are not making proper efforts to promote the product and enhance the sales of this product. As intermediaries work for company to promote the product but in case of Kara retailers are not interested in doing so. Reason behind this is they are getting lower margin and benefits from company as compared to other brand.  Study suggests that Kara is considered as premium brand in this segment due to the tag of Future Consumer Enterprise Limited on this brand.  Customers now days becoming more fashion oriented and they prefer to buy branded products. So it’s an opportunity with Kara to do brand promotion for their product to increase customer base.
  • 61. 61  Study shows that quality is a factor which influence customer toward Kara wipes. As company is focusing more on the quality to attract the customer rather than any other factor.  Price of Kara wipes is relatively higher than that of the competitors’ products as they are using natural fibers for producing these wipes. Customers feels that the price should be reduced as buying this much costly wipes didn’t make any sense to them.  According to the data there are very less customers who are brand loyal and most of the customers are switchers. So a proper branding strategy should be implemented to attract and retain the customers.  Market expectation: Customer expectation Intermediaries expectation Product should be of better quality Better margin Reliable price Effective distribution system Product availability Promotional tools Discounts Sales person support Variants should be available in outlets Competitive price so that they could work to increase the sales  SWOT analysis of Kara wipes: Strengths Weakness  High industry attractiveness.  Premium quality product.  Made up of 100% natural fibers.  Biodegradable.  Hygienic, Alcohol free.  Higher price  Low business unit strength.  Middle class people hesitate to purchase.  No promotional activities.  Low profit margin to intermediaries. Opportunities Threats  Climate necessitates these types of products  More fashion oriented customers.  Increased in the number of working ladies.  Competitors.  Chinese products such as orisis which are very less costly than Kara.  Baby wipes, as many customers are using baby wipes as facial wipes.
  • 62. 62 8.2. Conclusion: On the basis of the study done in this report and finding, the conclusion is that Kara wipes are the premium brand product with good quality also, Kara has high industry attractiveness but medium business unit strength. Some years before Kara hold a dominant position in the market nearly 56%. But due to the competitors who are offering similar product in very less price in comparison to Kara the sales of the Kara is affected adversely. The major reason is Kara is considered as a premium product in this segment and it focus more on the quality because of which the price of Kara wipes are much higher than the competitors’ products. As customers are more price sensitive so they get attracted toward other low quality product which they can get in lower price and the customers which concentrate more on the quality and brand of the product are buying Kara wipes. Since Wet Wipes is a new concept, they are at an introductory level. But with the increasing awareness of hygienic need and higher standard of living, people are showing very positive response toward these products. Therefore it is placed under high industry attractiveness. The circle falling in the green area indicate that company need to invest more on the promotional activities to grow its brand and to increase the market share to hold dominant position in markets. Distribution systemof Kara is not effective enough as in Mandi (Himanchal Pradesh). Kara have 2- tier distributional channel where only distributor and retailers are taking care of the sales and market growth of the products. No sales person from the company is working in the markets who can interact to the retailers and resolve their problem related to products or company. Due to inefficiency of distribution system there is less availability of Kara wipes in the markets which ultimately affects the sales and market coverage. Retailers are also very less interested in selling the product as they are getting very less margin i.e. 20% on Kara wipes in comparison to the related brands which provide 25-30% of margin in the sales of their products. In spite of this company is not giving any benefits to the intermediaries to motivate them to sell its products in markets.
  • 63. 63 8.3. Suggestions:  Introduction of fat-agent in the markets: Fat- agents are the stockiest who keep a lot of product and distribute them to the other outlets in the same or nearby markets. Company should make fat-agents in the markets so that product availability would increase which will also enhance the market coverage.  Focus on institutional trading: As there are many pharmaceuticals company and skin care clinics exists in Mandi (Himanchal Pradesh) so company can focus on these institutes to increase their sales as well as customer base. In Institutional trade purchase order is much bigger than in any other trade so if company could able to get linkups with several companies it would be a great opportunity for increasing the market share.  Company should adopt competitive pricing strategy: The price of Kara wipes are relatively higher than the competitors due to which the customers are switching to the other brands. To resolve this problem company should adopt competitive pricing so that customers did not switch to other brand by comparing the price of different products.  Motivating intermediaries: Intermediaries are the face of company in front of the customers so channel intermediaries should be motivated by the company so that they could help in promoting the brand in the markets. Company should increase the profit margin and provide other benefits to retailers and also look forward to resolve their problem on time so that they will take interest in selling the products which would help in achieving the objective of company.  Kara needs a brand strategy: Kara need a brand strategy because currently company is not promoting Kara wipes by any of the means neither by advertisement nor by any other means of promotional tools and because of that only the demand and awareness of the product is restricted which adversely affecting the sales of the wipes in markets. So, company should advertise the product to create an awareness and demand
  • 64. 64 of the product which would help company to increase market coverage as well as market size. More promotion tool should be given to the intermediaries which will work as point of purchase material in the outlets and help company to promote the product and enhance sales. In this era of digitalization company should focus on other medium of promoting the brand such as social media, internet and web based applications. A page could be created on social media websites which could create awareness and promote product to a larger extent and can help the company to increase their customer base and demand of the product.
  • 66. 66 I have learnt a lot of the things during the project. Firstly it provided me much needed corporate exposure like working in formal made team, business communication, prioritizing work. Secondly it also helped me to brush up my sales & marketing skills through continuous given inputs on soft skills and business communication during summer internship program but there is no better place to use these skills than the workplace. My industry guide, Mr. Inderpreet Sodhi, who is a good example of a well-disciplined person and grown by his own core values and philosophy. He neither used to come late nor used to allow anybody to come late. It was a good learning that in corporate world time is money and one is expected to be punctual. In these 45 days, a) I’ve gained much knowledge about market as well as various perceptions of the Distributers, retailers, and customers. b) Learnt different ways of tapping as well as pitching the product. c) Practical knowledge of segmenting, targeting and positioning of product. d) Consumer perception toward FMCG product. e) Intermediary’s expectations from the company. f) Distribution channel management of Kara wipes. g) Teamwork. h) Learning about the corporate culture. i) Modern trade as well as General trade both helped me to brush up my sales skills.
  • 68. 68 Literary references:  Philip Kotler: marketing management, 13th edition.  Agrawal D.R. 2005 Business Ltd. India. Statistics Published By Vrinda Publication (P).  Kotler Philip, 2007, Marketing Management Published by Pearson Education New Delhi.  Kothari C.R.2006, Research Methodology Method & Techniques Published by New Age International (P) Ltd. New Delhi.  Schiff man & Kanuk 2005, Consumer Behavior Prentice Hall of India (P). Ltd. New Delhi.  Krishna k havaldar: sales and distribution management. Internet references:  www.futureconsumerlimited.in  http://www.google.com  http://grasimindustriesltd.com  http://Karawipes.com  http://scribd.com  http://futureconsumer.in/products/details.aspx?id=19  https://www.bcps.org/offices/lis/researchcourse/key_elements.html#design approach  http://www.business-standard.com/article/management/grasim-forays-into- fmcg-through-birla-cellulose-108030901051_1.html  http://www.euromonitor.com/medialibrary/pdf/samples/sample_report_tiss ues_hygiene_wipes.pdf
  • 69. 69 ANNEXURE  QUESTIONNAIRES : 1. Do you use facial wipes? (a) Yes (b) No 2. Mostly which brand of facial wipes you use? (a) Johnson and Johnson (b) Himalaya (c) Kara (d) Good Look (e) Others 3. Have you ever heard/Used Kara Facial Wipes? (a) Yes (b) No 4. From where you heard about Kara facial wipes? (a) Advertisement (b) Word of mouth (c) Retailers (d) Others 5. Which attribute attract you to toward Kara wipes? (a) Brand name (b) Price (c) Quality (d) Availability (e) Others
  • 70. 70 6. From where you prefer to buy facial wipes? (a) Mall (b) Cosmetic shop (c) General store (d) Medical Store (e) Other 7. Kara wipes are easily available in the markets? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree 8. All Kara variants are available in the outlets? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree 9. Retailers push you to purchase Kara wipes? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree 10. Kara wipe is considered as premium brand product? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree
  • 71. 71 11. Brand name influences your purchase decision? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree 12. Quality of Kara wipes is reliable? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree 13. Price of Kara Wipes is reasonable? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree (f) Agree 14. Are you a brand loyal customer? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree 15. Should company need brand promotion for Kara wipes? (a) Strongly Disagree (b) Disagree (c) Neutral (d) Agree (e) Strongly Agree