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MARKET RESEARCH
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Chapter I: Introduction and Research Methodology
1.1 General Introduction of the project
What is Market Research?
The process of gathering, analysing and interpreting information about a market, about
a product or service to be offered for sale in that market, and about the past, present and
potential customers for the product or service; research into the characteristics, spending habits,
location and needs of your business's target market, the industry as a whole, and the particular
competitors you face.
It is the process of collecting valuable information to help you find out if there is a
market for your proposed product or service. The information gathered from market research
helps budding entrepreneurs make wise and profitable business decisions.
Market research is any organized effort to gather information about target markets or
customers. It is a very important component of business strategy. The term is commonly
interchanged with marketing research; however, marketing research is concerned specifically
about marketing processes, while market research is concerned specifically with markets.
Market research is a key factor to maintain competitiveness over competitors. Market
research provides important information to identify and analyze the market need, market size
and competition.
Market research, which includes social and opinion research, is the systematic gathering
and interpretation of information about individuals or organizations using statistical and
analytical methods and techniques of the applied social sciences to gain insight or support
decision making.
History of Market Research:
Market research began to be conceptualized and put into formal practice during the
1920s, as an offshoot of the advertising boom of the Golden Age of radio in the United States.
Advertisers began to realize the significance of demographics revealed by sponsorship of
different radio programs.
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Using Market Research
Market research is an extremely valuable tool that can help you:
make decisions about pricing, promotion, product and location
understand how your products or services fit your target market
deliver and expand your products and services
better understand how your competitors operate
understand the current environment of your industry
identify new opportunities
give context to your performance and reputation
test concepts, new products or marketing ideas
minimise risks to your business.
Market research is useful at all stages of the business life cycle. If you are starting a
business, it can help you work out your competitive advantage. If your business is already
established, you can use market research to develop new products and services and target
customers more effectively.
Researching your market helps you target your ideal customer, identify new market
opportunities and improve your sales performance.
The key to any successful business is to understand what it is that your customers want
and giving this to them in a way that is profitable for you. Many entrepreneurs make the mistake
early on of thinking that they know what their customers want without ever asking them. This
can result in some very expensive mistakes later on.
In order to find out what exactly it is that your customers want you must undertake a
process called ‘Market Research’.
Successful businesses make regular market research the foundation of their marketing
and sales planning. You can develop strong marketing strategies based on what you find out
about your products and services, your customers, your competitors, your industry and the
challenges in your marketplace.
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Market research can also help you identify areas of your business that could be updated
or changed.
It's important to clearly define your market research goals so that you can give yourself
the best chance of finding accurate and useful results.
The exchange between sellers (supply) and buyers (demand) for particular goods or
services is called a market. A market does not necessarily exist in a single location, nor need it
be a real location – products can be bought and sold online.
Markets change constantly and businesses need to have a clear understanding of both
the supply and demand. The principal role of market research, therefore, is to provide a business
with a comprehensive view of consumers in order to develop products and services that satisfy
their needs better than the competition. Also, given the increased complexity of the business
environment, it is no longer enough to make key decisions using a ‘gut-feel’ approach alone.
Decisions need to be informed and market research helps to support this process, significantly
reducing the level of financial risk attached with investment decisions.
Market research involves the capture and analysis of consumer, competitor and market trend
data. This enables researcher to assess more accurately the level of demand for the products. It
also influences decisions to target capital investment on projects that will offer the best return
on that investment, such as opening a new store or entering a new market, etc.
Market research provides consumer feedback. It is essential for researcher to have this
dialogue with the consumer to gain insight into what they think about its range of products,
brands and services. This enables the business to meet its demands and outperform the
competition. It helps the business develop a clear and informed strategic business plan which
all business colleagues can work towards fulfilling. For example, this information can create a
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winning marketing mix to target promotions to reach different customer groups or influence
decisions on range planning in new stores.
Use of Market Research for Business/Planning
Market research is a way of getting an overview of consumers' wants, needs and beliefs.
It can also involve discovering how they act. The research can be used to determine how a
product could be marketed. Peter Drucker believed market research to be the quintessence of
marketing.
Factors that can be investigated through market research include:
Market Information
Through Market information one can know the prices of different commodities in the
market, as well as the supply and demand situation. Market researchers have a wider role than
previously recognized by helping their clients to understand social, technical, and even legal
aspects of markets.
Market Segmentation
Market segmentation is the division of the market or population into subgroups with
similar motivations. It is widely used for segmenting on geographic differences, personality
differences, demographic differences, technographic differences, use of product differences,
psychographic differences and gender differences. For B2B segmentation firmographics is
commonly used.
Market Trends
Market trends are the upward or downward movement of a market, during a period of
time. Determining the market size may be more difficult if one is starting with a new
innovation. In this case, you will have to derive the figures from the number of potential
customers, or customer segments.
SWOT Analysis
SWOT is a written analysis of the Strengths, Weaknesses, Opportunities and Threats to
a business entity. Not only should a SWOT be used in the creation stage of the company but
could also be used throughout the life of the company. A SWOT may also be written up for the
competition to understand how to develop the marketing and product mixes.
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Another factor that can be measured is marketing effectiveness. This includes
Customer analysis
Choice modelling
Competitor analysis
Risk analysis
Product research
Advertising the research
Marketing mix modelling
Simulated Test Marketing
Use of Ansoff's Matrix as an tool to perform Market Research
Research can also provide information about the size and performance of markets. It
can inform a business about who the key competitors are, what they are doing, and their market
share. Potential areas of opportunity within an international, national and local context can also
be identified. By using tools such as an Ansoff’s matrix to assess the levels of risk, Researcher
can then decide which marketing strategies to focus on.
These are:
Market Penetration– winning greater market share in its existing markets.
Market Development– entering new countries or new retail sectors.
Product Development– acquiring or developing new products or brands.
Diversification– taking the business in a completely new direction.
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Accurate and thorough information is the foundation of all successful business ventures
because it provides a wealth of information about prospective and existing customers, the
competition, and the industry in general. It allows business owners to determine the feasibility
of a business before committing substantial resources to the venture.
Market research provides relevant data to help solve marketing challenges that a
business will most likely face--an integral part of the business planning process. In fact,
strategies such as market segmentation (identifying specific groups within a market) and
product differentiation (creating an identity for a product or service that separates it from those
of the competitors) are impossible to develop without market research.
Market Research Process
The market research process involves researching your customers, competitors, and
industry and market environment. You can research each of these separately, and then combine
the results to get an overall view of where your business fits in the market.
Undertaking your own market research is generally more cost-effective than hiring
someone else to do it for you. It can also help you build stronger relationships with your
customers, and learn valuable market research skills and knowledge. However, conducting
your own market research can be time-consuming and may require specialised skills to make
informed judgements and objective recommendations.
If you plan to conduct your own market research, consider these important steps.
Making an initial investigation-
Before you start researching your market, conduct an initial investigation to work out
what kind of information you need and what you can expect to get. You need to check that you
have enough sources to get useful information. If not, you may need to reconsider your market
research objectives. Alternatively, you may find there is a lot of information already available
to you, so you can reduce the scope of your research to save time and money.
Planning your Market Research -
Your initial investigation will help you work out what methods and sources you will
need to use to meet your objectives. You may choose to combine different research approaches
to gather the right information.
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You will also need to consider how much time and money you have to conduct your
market research and if your staff will be able to help. This will help you work out how in-depth
and comprehensive your research will be. It will also impact on the methods that you use.
Collecting the data -
Once you have a clear plan for your research, you can start collecting data. It's important
to stay true to your planning - stick to the sources you have identified. Also, make sure you
monitor your budget carefully - don't let your quest for information exceed your budget.
To get the most out of your market research, make sure all the information you collect
is as detailed and complete as possible. Incomplete data can produce misleading or irrelevant
results.
Processing the data -
Keep your research objectives in mind when you process your data. Coming up with
some practical ways to process the information and data you have uncovered will make it easier
later on to reach conclusions.
These may include:
using tables to list and group your information
identifying major trends and themes as well as strengths, weaknesses, opportunities and
threats
writing a sentence for every major point you uncover (to help you gain an accurate
picture of what the key points and opinions are), and listing them according to the
number of times the point appears.
Interpreting the data -
Interpreting or analysing the results you have gained is a key step to getting the most
from your market research. It is essential to gain a thorough understanding of what your
research is saying - as you may get some unexpected results.
As you review your information and start to interpret what it means for you, consider
whether you have gathered enough data to give you conclusive results. You may need to do
further research to reach a conclusion.
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Reaching conclusions -
Your data analysis provides the basis for drawing conclusions. Ultimately, market
research provides information that reduces risk and uncertainty and increases your chance of
business success. The final conclusions should meet your initial objectives; consider what
options you have discovered in your analysis to best meet your larger business objectives.
To reach conclusions about your research:
examine the major themes and trends
review the tables you created when processing your data and refer to your objectives to
be sure you have enough information to reach informed conclusions
assess and separately list the strengths, weaknesses, opportunities and threats you have
identified
look for gaps in your information that make it difficult to draw a definitive conclusion
from the results of your research
Review your initial research plan and consider what you need to change to provide
more comprehensive results.
1.2 Objectives of study
Identify the consumer response to the company’s product.
Know the consumers’ needs and expectations.
Seek maximum information about the consumer, i.e. the know consumers’ income
range, their location, buying behaviour, etc.
Evaluate the reputation of the company in the market.
Customer reactions to price increases or product changes.
Help company to introduce new products in the market and improve its existing
products.
Help the marketing manager to decide about the quality of the product, product
modification, packaging, pricing, branding, etc.
Provide prerequisite information to forecast the marketing budget.
Supply up-to-date information about market trends, demand and supply position, etc.
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1.3 Scope of Study
To study the Industry & Market Environment
Research into industry and market factors will focus on information about any political,
legal, economic, social and cultural issues or trends that can affect your business.
You can then use this external research to gather information about the composition of
your target market, gaps in the market, new market trends and where new market opportunities
might lie.
Industry and market environment research might cover:
business regulations
market demographics (e.g. age, gender, income)
market size and trends
marketing channels
sociographics (e.g. beliefs and attitudes, interests, lifestyle factors).
To study Market Competition
Competitor Research will gather information about existing and potential competitors.
You can use your competitor research to gather information such as your competitor's current
market advantages, weaknesses in their promotional strategies, and how their customers view
their products and service.
Competitor research might cover:
current turnover and market share
pricing structures
products and services
marketing, advertising and branding.
To study Customer
Customer Research is done to gather information on who your customers or potential
customers are and what, when, where and how they buy. Customer research can also give you
valuable insights into your customers' attitudes towards your business and your products and
services.
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Customer research might cover:
customer demographics (e.g. age, gender, income)
social and lifestyle trends
needs and expectations
attitudes towards you and your competitors.
To forecast Sales
To estimate Demand for new products
1.4 Research Methodology
1.4.1 Formation of Problem
Specify the Research Objectives - A clear statement of objectives will help you develop
effective research.
Review the Environment or Context of the Research Problem - As a marketing
researcher, you must work closely with your team. This will help you determine
whether the findings of your project will produce enough information to be worth the
cost. In order to do this, you have to identify the environmental variables that will affect
the research project.
Explore the Nature of the Problem - Research problems range from simple to complex,
depending on the number of variables and the nature of their relationship. If you
understand the nature of the problem as a researcher, you will be able to better develop
a solution for the problem.
Define the Variable Relationships - Marketing plans often focus on creating a sequence
of behaviours that occur over time, as in the adoption of a new package design, or the
introduction of a new product. During the problem formulation stage, you will want to
generate and consider as many courses of action and variable relationships as possible.
The Consequences of Alternative Courses of Action - There are always consequences
to any course of action. Anticipating and communicating the possible outcomes of
various courses of action is a primary responsibility in the research process.
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1.4.2 Importance of Hypothesis in Research
Hypothesis is a tentative statement about the probable solution to a problem of research
study well in advance prior to conducting the research study. It is a proposed statement made
on the basis of limited evidence that can be proved or disproved and is used as a starting point
for further investigation.
Research studies are expected to have number of data which need to be analysed using
statistical tools ultimately to arrive at research findings. Hence it becomes inevitable for the
Researcher to establish one main Hypothesis and many sub Hypothesis to support the main
Hypothesis.
As an Intern Trainee I was not supposed to conduct any statistical analysis of data. Thus
there was No Hypothesis formed during my project work.
1.4.3 Collection of Data
Market research involves two types of data:
Primary Information -
This is research you compile yourself or hire someone to gather for you. When
conducting primary research, you can gather two basic types of information: exploratory or
specific. Exploratory research is open-ended, helps you define a specific problem, and usually
involves detailed, unstructured interviews in which lengthy answers are solicited from a small
group of respondents. Specific research, on the other hand, is precise in scope and is used to
solve a problem that exploratory research has identified. Interviews are structured and formal
in approach. Of the two, specific research is the more expensive.
Primary research is sometimes known as field research. This is because it involves gathering
data through new research.
This data can be collected in either a quantitative or qualitative format.
Quantitative Research
Quantitative research is numerically-based and obtains the hard numbers from which
decisions can be made with confidence. Examples of quantitative market research at JD
include:
Exit surveys – carried out face-to-face with consumers as they leave the store. This is a
simple survey covering a cross-section of stores to gather the views of consumers in
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different locations and regions. At JD the purpose of the survey is primarily to
understand the reasons for visit, frequency of visit/purchase and reasons for and against
purchase.
The ‘shopping bag’ survey – the JD research team monitors what carrier bags customers
entering JD stores are carrying. This helps identify what other stores JD customers use
and are spending money in. It provides competitor insight and an idea of which retailers
attract a similar customer profile to JD, a variable that can influence the location of new
JD store openings.
On-site fieldwork – JD’s dedicated Site Research team invests significant time
researching new locations. This involves defining the extent of a location’s catchment
area, reviewing the presence and quality of the competition and assessing the pitch and
visibility (i.e. how busy the area is) of a unit. This helps build a detailed SWOT analysis
of each new site.
Qualitative research
Qualitative information is a primary form of market research which focuses on
consumer feelings and opinions on a product or service. This type of research illuminates the
facts and figures collected through quantitative research. Examples of qualitative research at
JD include:
Focus groups – by speaking at length with small groups of 8-10 people, more insightful
questions can be asked regarding brands and new product developments. At JD these
are typically run in schools and colleges, where it can get direct feedback from its core
consumers.
Depth interviews – this involves a researcher accompanying the consumer on a
shopping trip in store. This drills deeper into shopper behaviour and their reactions to
stores.
When undertaking market research, it is important to reflect the views of all consumers
within the business’ target market. However, this would be a huge exercise. One way of
managing this is to use sampling methods. Sampling involves taking the responses of a
representative group of consumers that are likely to reflect the opinions of the customer base.
When conducting primary research using your own resources, first decide how you'll question
your targeted group: by direct mail, telephone, or personal interviews.
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Secondary Information -
This type of research is already compiled and organized for you. Examples of secondary
information include reports and studies by government agencies, trade associations or other
businesses within your industry. Most of the research you gather will most likely be secondary.
Secondary research is sometimes known as ‘desk research’. This research draws on
material that has been collected by another organisation to provide market information.
Secondary research data provides a fact based overview of the market.
Examples of secondary research include:
Government census data –
The census is conducted every 10 years across the UK and brings together data on
factors such as the number of people, their ages and occupations in a location.
Geo-demographic data –
Collected by specialist agencies, this segmentation tool profiles consumers based on
their life stage (e.g. marital status, number of children) and their lifestyle (e.g. newspapers read,
leisure activities, TV programmes watched).
Commercial market research reports –
Prepared by research experts, these provide estimates of the size (volume of sales) in
each product or market category and market share by operators within these sectors. At JD this
information is invaluable when assessing new product markets (e.g. outdoors) or international
opportunities (e.g. France and Spain).
However, there are drawbacks with any form of market research. It costs money to
collect and analyse large amounts of information and the results are not always definitive.
Numerical data might be biased, particularly if the sample size is too small. Focus groups may
be skewed if one member of a focus group is too dominant and stops others from voicing their
opinions.
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1.4.4 Research Instrument
There are four main types of research instruments available to market researchers:
(1) Questionnaires or surveys,
(2) Psychological tools,
(3) Mechanical devices, and
(4) Qualitative measurements.
Questionnaires or surveys -
For gathering primary research data, surveys are the most commonly used of the
instruments. Although the survey instrument is flexible and relatively inexpensive, it requires
careful attention during development. All surveys should be piloted tested, at least to some
degree, before they are released and administered to a target sample. The forms that the
questions take should be carefully considered to ensure they perform as expected and that they
fit well into the survey document as a whole. Developing survey questions is both an art and a
science. Fortunately, many guidelines to survey construction, administration, and scoring are
available.
Psychological Tools –
Three commonly used psychological tools used to collect primary data are:
Laddering questions techniques - Laddering questions basically just continue to probe
deeper into the perspectives and opinions of respondents. The technique is iterative, so
that each subsequent question is generated according to the response to the previous
question. Laddering is a technique that has been widely used in creative problem-
solving methods and workshops.
In-depth interviewing – It consists of probing ever deeper into the customer experience.
Earnest Dichter developed the technique—at which he excelled—and differentiated
between qualitative research and quantitative research by referring to the former as head
shrinking and the latter as nose counting. Needless to say, Dichter was a proponent of
qualitative research.
Rorschach-like tests - An interview technique similar to what is done in Rorschach
testing has been developed for market research by Gerald Zaltman of Olson Zaltman
Associates. The instrument is known as the Zaltman Metaphoric Elicitation Technique
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(ZMET) and uses metaphoric images to access the associations that consumers have
with certain product types. Typically, a participant in a ZMET-based study will collect
images from a wide array of pictures that have no verbal content in order to express the
associated feelings and thoughts they have with regard to a product type.
Mechanical devices-
There are sometimes used to measure physiological responses of research participants
to product attributes or advertisements. Generally, what is measured is interest or emotions in
response to what is seen, heard, felt, or smelled. Mechanical devices used in primary research
data collection include Galvanometers, eye cameras, eye gaze recorders, audiometers, and
tachistoscopes that show an image or ad for a brief flash.
Qualitative measures-
These are becoming more common in primary research as advanced in technology
support different approaches. Consumers are being turned loose with sophisticated technology
on which they can record their impressions of product or aspects of their consumer experience.
Some market research provider agencies even go into the homes of consumers to film their
interactions with products. These videos are trimmed down to a highlight reel that is used to
analyze consumer behaviour. One of the primary reasons for preferring qualitative measures to
surveys or interviewing is that the expressed beliefs and intentions of consumers often fail to
match their actual behaviour in the realm of brand engagement or purchase decisions.
1.4.5 Making Sampling Plan
A sampling plan is a detailed outline of which measurements will be taken at what
times, on which material, in what manner, and by whom. Sampling plans should be designed
in such a way that the resulting data will contain a representative sample of the parameters of
interest and allow for all questions, as stated in the goals, to be answered.
After deciding on the research approach and instruments, the marketing researcher must
design a sampling plan.
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This calls for three decisions:
Sampling unit - Who is to be surveyed? The marketing researcher must define the
target population that will be sampled. In the American Airlines survey providing
an internet facility in their First class with a nominal fee, should the sampling unit
be only first class or business travellers, first class vacation travellers or both?
Should travellers under age 18 be interviewed? Should both husbands and wives be
interviewed? Once the sampling unit is determined, a sampling frame must be
developed so that everyone in the target population has an equal or known chance
of being sampled.
Sample size- How many people should be surveyed? Large samples give more
reliable results than small samples. However, it is not necessary to sample the entire
target population or even a substantial portion to achieve reliable results. Samples
of less than 1% of a population can often provide good reliability, with a credible
sampling procedure.
Sampling procedure- How should the respondents be chosen? To obtain a
representative sample, a probability sample of the population should be drawn.
Probability sampling allows the calculation of confidence limits for sampling error.
Probability Sample
Simple random sample - every member of the population has an equal chance of
selection.
Stratified random sample - The population is divided into mutually exclusive
groups (such as age groups), and random samples are drawn from each group.
Cluster (area) sample - The population is divided into mutually exclusive groups
(such as city blocks) and the researcher draws a sample of the groups to interview.
Non-probability Sample
Convenience sample - The researchers select the most accessible population
members.
Judgment sample - The researcher selects population members who are good
prospects for accurate information.
Quota sample - The researcher finds and interviews a prescribed number of people
in each of several categories.
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The steps involved in developing a sampling plan are:
identify the parameters to be measured, the range of possible values, and the required
resolution
design a sampling scheme that details how and when samples will be taken
select sample sizes
design data storage formats
assign roles and responsibilities
Once the sampling plan has been developed, it can be verified and then passed on to
the responsible parties for execution.
1.5 Research Limitation
Market Research (MR) is a costly affair.
It is also lengthy and time-consuming.
It has a limited scope.
It has a limited practical value.
It can't predict consumer behaviour.
It can't give 100% accurate results.
It provides suggestions and not solutions.
Non-availability of qualified and experienced staff affects its quality.
It uses a fragmented approach.
It can be misused.
Non-availability of a reliable data affects it.
It is resistant to marketing managers.
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Chapter II: Company Information
2.1 About IMRB International
IMRB is the vision of Mr. Subhas Ghoshal, the legendary head of HTA (now JWT).
We are born out of conviction that good advertising can only be built on sound consumer
insight. We are the University of the Indian market research. We are one of the top 20 Market
Research companies in the world. IMRB was set up in 1970, a full 37 years after BMRB was
set up in UK by JWT. With over 1200 employees, IMRB is one of the largest providers of
market research in India in an industry estimated to be worth a minimum of $ 187 million.
IMRB is a part of WPP which is formed by Sir Martin Sorrell in 1985. WPP is a £8.68
billion; revenue company with 138,000 employees in 2400 offices across 107 countries. Kantar
is WPP’s research, insight & consultancy network. Kantar was founded in 1993, is now the
world’s fourth largest research conglomerate. It boasts of $1.7 billion worth of revenue with
offices in 160 offices across 95 countries.
IMRB International is a division of Hindustan Thompson Associates (HTA) in India.
IMRB is a member of the Kantar Group, one of the world largest research, information, insight
and consultancy network and part of the WPP Group.
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2.2 IMRB’s Achievements – IMRB’s Goals
IMRB has demonstrated its vision and leadership in the Indian market by establishing
several industry wide measurement and rating systems. Notable amongst these is our
pioneering role in establishing India’s first TV rating system (TAM) and the creation of social
economic classification (SEC) system in India.
We have won several prestigious awards. Amongst them the most noteworthy being
the MR Agency of the year from 2005-2009. We have presented cutting edge research for
several years at international forums including ESOMAR and won awards for our efforts. We
have also been awarded the WPP’s Atticus award jointly with JWT.
2.3 IMRB Clients
Our top clients include:
Bharti Group
Cadbury
Ford Group
Frito Lay
Glaxo Smithkline
Heinz
Indian Airlines
ITC Group
Millward Brown
Nestle
Pepsi Group
Reckitt Benckiser
TVS Motors
Unilever Group and so on.
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2.4 IMRB’s Strength
2.5 IMRB’s Divisions
IMRB International has been offering specialised research services for around 4
decades to clients in India and overseas. IMRB International operates out of its five full service
offices in Mumbai, Delhi, Kolkata, Chennai and Bangalore and is supported by 15 other
regional centre’s for collection of survey information.
IMRB International has eleven specialist units:
Abacus Business Operations: ABO
Abacus Business Operations: ABO is an ISO 9001:2008 certified specialist unit of IMRB
International. It has the largest Custom research fieldwork and data collection capabilities in
the country. With over 200 full time employees managing and supervising the work of over
4000 interviewers on any given day, we conduct over 4 million interviews annually. Over and
above this, we interview another 1.5 million + telephonically.
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IMRB International Divisions: ABACUS MARKET ANALYTICS
ABACUS MARKET ANALYTICS unit offers a wide range of services to all the research
units in IMRB. These include data processing, charting, statistical analysis, database
management and updating, software development and testing.
Abacus Research
Abacus Research looks after the domestic and International Field and tab business. They
service Clients and Research Agencies which have their own Research set up and only want
the data collected and clean data sent to them. Abacus Research has a team of expert Project
Management Executives led by a seasoned and highly experienced Operations Director. This
team also has the experience of managing the largest number of automotive clinics and have a
protocol set up for the same. Abacus Research also runs FlexiBus – a study which gives Clients’
the advantage and of quick turnaround on a few critical questions and the flexibility to study
the Target Group in markets of their choice at the cost of an Omnibus
IMRB International Divisions: BIRD
BIRD, the Business & Industrial Research Division of IMRB International, is the market
research and consultancy division servicing B2B and industrial markets. For catering to
technology markets including IT hardware, software & services and Telecommunication, there
is an exclusive eTechnology Group within BIRD.
IMRB International Divisions: BSG
The Brand Science Group (BSG) is a new unit at IMRB International that primarily focuses
on Brand and Communication Research. Over the last few years IMRB Brand Science has been
working towards the development of various tools that would help us get a better understanding
of the Brand and its communication in an Indian Context.
IMRB International Divisions: CSMM
Customer Satisfaction Management & Measurement (CSMM) is an independent, specialist
unit of IMRB International. CSMM is an exclusive member of the Walker Information Global
Network (WIGN) in the Indian subcontinent.
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IMRB International Divisions: IMRB Consult
IMRB Consult is a specialised division of IMRB International which provides quick
turnaround, reliable and cost effective solutions to a marketer’s business issues by drawing on
its existing array of syndicated in house databases
IMRB International Divisions: Media & Panel Group
Media and Panel is an independent, specialist unit of IMRB International, incorporated in
1992. MPG handles different kinds of research both syndicated and customized. MPG has 4
different verticals: Consumer Panel (MarketPulse), Retail Unit, Media Unit, Mindtech
Software and Systems.
IMRB International Divisions: PQR
Probe Qualitative Research is one of India's leading qualitative research groups and has
executives specially trained in India and overseas in qualitative research methods.
Drawing on learning from ethnography, psychology and anthropology. It has created an array
of validated tool-kits.
2.6 Services offered by IMRB International
Advertising and Promotion research
Corporate and Employee research
Product and Packaging research
B2B and Industrial research
Customer satisfaction research
Strategic market research
Brand research
Mystery Shopper Insights (MSI)
Channel and retail research
Pricing research
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2.7 About MRSI (Market Research Society of India) Awards
MRSI was established in 1988 and is a non-profit autonomous market research body
formed by research providers and users to uphold and enhance the professional standards of
market research and consumer insight in the country. The quality of talent in India has been
well-recognized in the research industry internationally, among the insight functions in global
companies and in academia. MRSI has more than 40 corporate and 100 individual members.
IMRB International has won the coveted ‘The MR Agency of the Year 2013’ for a
record-breaking seventh time. The winners were declared at the recently held 23rd Annual
Market Research Seminar of the Market Research Society of India (MRSI), which was attended
by over 200 industry professionals.
Of the 22 papers presented at the seminar, seven were from IMRB and three papers
went on to win in their respective categories.
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Chapter III: Market Research Profile at IMRB International
3.1 About Market Research Profile
In common man’s term Market Research is simply collecting/gathering data about the
industry, market trends and environment, competitors position in the industry and most
important all the possible information about the people who can be the potential customer of
your product or service.
Being an intern, I was supposed to go through the similar work of collecting information
about the market trends, customer’s tastes & preference which are ever changing as per the
change in trends or their income level, standard of living, etc. than study the demographics of
what could be the client’s or company’s potential customer and so on.
So during the course of my internship I worked on various different types of projects
which involved different kind of responsibilities, different challenges and altogether different
requirements. The projects done were performed for various Clients. In some cases respondent
and sometimes even the interviewer is not aware about who the Client is, this is known as
“Blind Study”.
Purpose of Blind Study
Imagine you are participating in an experiment to determine if drinking a sports drink
makes you feel more energetic compared to drinking water. If you are aware of the experiment's
aim and you are then given a sports drink to consume, you may subconsciously convince
yourself that you feel more energetic. This is called participant bias and occurs when
participants behave in the way they believe the researcher wants them to behave. To mitigate
this effect, researchers use blind experiments, in which it is hidden from participants which
group they are in.
So instead of receiving a drink that is obviously a sports drink, you may receive a drink
that appears to be water but has nutrients added to it so that it is equivalent to drinking a sports
drink. This way, which group you are in is hidden from you - you are 'blind' to which group
you are in.
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3.2 Projects Undertaken
It could be categorized on the basis of work done as follow:
Questionnaire based survey -
In this kind of projects, a researcher is supposed to conduct the interview of the
respondent i.e. to meet the respondent face-to-face and ask him/her all the questions in
the survey form. Such survey might include questions about user’s experience about a
particular product he/she has been using for a while or it may contain questions
regarding their future use in order to forecast the demand for a particular product for
which survey is being conducted.
Monitoring employees during the Self-filled survey -
In this kind of survey, an interviewer just need to monitor the employees while
they fill the survey form on their own. Such surveys are conducted when the company
wants to check the feedback of their own employee’s satisfaction.
Respondent’s live experience survey -
In this kind of survey, interviewer need to record the respondent’s experience
about the particular product sample given to the respondent and accordingly note down
the same reaction and answer in the survey form.
Product Verification survey -
In this kind of survey, interviewer surprisingly visits the respondent who is the
user of the product being surveyed and checks whether the user is actually using it or
not and accordingly conducts the interview for the same by asking him/her questions in
the survey form.
Mystery Audit -
In this kind of research study, interviewer visits the client side as a customer
and behaves as if he is there to purchase their product or avail their service and observes
about different parameters and then make an analysis for the same. In this kind of
survey, respondent is not aware about the fact that he is being tested by the interviewer
and he thinks that the interviewer is just a customer.
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3.3 Clients
The list of the Clients for which I worked is as follow:
Pepsi MTv Indies
State bank of India
Tata Photon
Wyeth Limited/Pfizer Inc.
ITC Candyman
De Beers Jewellery
Jotun
Airtel
Godrej
Mercedes-Benz India Pvt Ltd
Bose Corporation
Nissan Motor Corporation
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Chapter IV: Client details - NISSAN MOTOR CORPORATION
4.1 About NISSAN MOTOR CORPORATION
Nissan Motor Corporation is a Japanese multinational automobile manufacturer
headquartered in Nishi-ku, Yokohama, Japan. It was founded on December 26, 1933 by
Masujiro Hashimoto, Kenjiro Den, Rokuro Aoyama, Meitaro Takeuchi and Yoshisuke
Aikawa.
Since 1999, Nissan has been part of the Renault–Nissan Alliance, a partnership between
Nissan and French automaker Renault. As of 2013, Renault holds a 43.4% voting stake in
Nissan, while Nissan holds a 15% non-voting stake in Renault. Carlos Ghosn serves as CEO
of both companies.
Nissan Motor sells its cars under the Nissan, Infiniti, Datsun, and NISMO brands.
Nissan was the sixth largest automaker in the world behind Toyota, General Motors,
Volkswagen Group, Hyundai Motor Group, and Ford in 2012. Taken together, the Renault–
Nissan Alliance would be the world’s fourth largest automaker. Nissan is the leading Japanese
brand in China, Russia and Mexico.
4.2 Products by NISSAN MOTOR CORPORATION
Automotive Products
Nissan has produced an extensive range of mainstream cars and trucks, initially for
domestic consumption but exported around the world since the 1950s.
It also produced several memorable sports cars, including the Datsun Fairlady 1500,
1600 and 2000 Roadsters, the Z-car, an affordable sports car originally introduced in 1969; and
the GT-R, a powerful all-wheel-drive sports coupe.
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In 1985, Nissan created a tuning division, Nismo, for competition and performance
development of such cars.
In China, Nissan produces cars in association with the Dongfeng Motor Group
including the 2006 Nissan Livina Geniss, the first in a range of a new worldwide family of
medium sized car.
Nissan launched the Qashqai SUV in South Africa, along with their new motorsport
Qashqai Car Games.
In 2010, Nissan created another tuning division, IPL, this time for their premium/luxury
brand Infiniti.
In 2011, after Nissan released the Nissan NV-Series in the United States, Canada, and
Mexico, Nissan created a commercial sub brand called Nissan Commercial Vehicles which
focuses on commercial vans, pickup trucks, and fleet vehicles for the US, Canadian, and
Mexican Markets.
Nissan also sells a range of kei cars, mainly as a joint venture with other Japanese
manufacturers like Suzuki or Mitsubishi. Until 2013, Nissan rebadged kei cars built by other
manufacturers. Beginning in 2013, Nissan and Mitsubishi shared the development of the
Nissan DAYZ / Mitsubishi eK Wagon series. Nissan also has shared model development of
Japanese domestic cars with other manufacturers, particularly Mazda, Subaru, Suzuki and
Isuzu.
Electric Vehicles
Nissan introduced its first battery electric vehicle, the Nissan Altra at the Los Angeles
International Auto Show on 29 December 1997. Unveiled in 2009, the EV-11 prototype electric
car was based on the Nissan Tiida (Versa in North America), with the conventional gasoline
engine replaced with an all-electric drivetrain. In 2010, Nissan introduced the Nissan LEAF as
the first mass-market, all-electric vehicle launched globally. As of March 2014, the Nissan Leaf
is the world's best-selling highway-capable all-electric car ever. Global sales totalled 100,000
Leafs by mid-January 2014, representing a 45% market share of worldwide pure electric
vehicles sold since 2010.
Nissan's second all-electric vehicle, the Nissan e-NV200, released in Europe in June
2014, followed by Japan in October 2014. The e-NV200 commercial van is based on the Nissan
Leaf. Nissan plans to launch two additional battery electric vehicles by March 2017.
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Trucks
The Nissan Titan was introduced in 2004, as a full-size pickup truck produced for the
North American market, the truck shares the stretched Nissan F-Alpha platform with the Nissan
Armada and Infiniti QX56 SUVs. It was listed by Edmunds.com as the best full-size truck.
Autonomous Cars
In August 2013 Nissan announced its plans to launch several driverless cars by 2020.
The company is building in Japan a dedicated autonomous driving proving ground, to be
completed in 2014. Nissan installed its autonomous car technology in a Nissan Leaf all-electric
car for demonstration purposes. The car was demonstrated at Nissan 360 test drive event held
in California in August 2013. In September 2013, the Leaf fitted the prototype Advanced
Driver Assistance System was granted a license plate that allows to drive it on Japanese public
roads.
Non-Automotive Products
Nissan has also had a number of ventures outside the automotive industry, most notably
the Tu–Ka mobile phone service (est. 1994), which was sold to DDI and Japan Telecom (both
now merged into KDDI Corporation) in 1999. Nissan offers a subscription-based telematics
service in select vehicles to drivers in Japan, called CarWings. Nissan also owns Nissan
Marine, a joint venture with Tohatsu Corp that produces motors for smaller boats and other
maritime equipment.
4.3 About NISSAN MOTOR INDIA PRIVATE LIMITED
Nissan Motor India Pvt Ltd (NMIPL) is a wholly owned subsidiary of Nissan Motor
Co. Ltd Japan. The company was incorporated in 2005 and offers innovative and exciting
products across hatchback, MUV, SUV and sedan segments in India. Nissan in India has a
portfolio of two brands, Nissan and Datsun.
In February 2008, Nissan, together with its global alliance partner Renault signed a
MoU with Government of Tamil Nadu to set up a manufacturing plant at Oragadam, near
Chennai with an investment of INR 45 billion over a period of 7 years. On 17 March 2010, the
Renault-Nissan alliance plant was inaugurated in a record time of 21 months since its ground
breaking ceremony in June 2008.
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4.4 Models by NISSAN in India
Nissan Micra (launched 2010)
Nissan Sunny (launched 2011)
Nissan Evalia (launched 2012)
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Nissan Micra Active (launched 2013)
Nissan Terrano (launched 2013)
Nissan Teana (launched 2013)
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Except Nissan Teana, rest 5 models are manufactured locally and only Teana is
imported from Italy.
Nissan also discontinued 2 models namely Nissan X-Trial and Nissan 370Z.
4.5 Comparative Analysis of Car Companies in India
Comparison of Cars sold by top companies in June 2014 to that of June 2013 is as below:
The above chart also indicates the % growth or fall in their sales during the same period.
Comparison of Cars sold by top companies in June 2014 to that of March 2014 is as below:
Company June’14 March’14 Difference
Value % growth
Maruti Suzuki 1,00,964 1,02,269 -1305 -1.28%
Hyundai Motor India 33,514 35,003 -1489 -4.25%
Mahindra & Mahindra 16,780 23,433 -6653 -28.39%
Honda Cars India 16,316 18,426 -2110 -11.45%
Ford India 7,258 6,356 902 14.19%
Toyota Kirloskar Motor 12,010 8,206 3804 46.36%
GM India 5,172 6,601 -1429 -21.65%
Nissan Motor India 4,362 7,019 -2657 -37.85%
The above chart also indicates the % fall or growth of sales of car for a particular
company for the mentioned period. As it can be seen, Toyota’s sales has jumped up by 46.36%
along with that only Ford’s sales has increased. Whereas, all other companies have seen the
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downfall in their sales with Nissan to be the maximum of all with a downfall of 37.85%.
However, though Maruti’s sales has gone down by 1.28% it has still managed to top the chart
by selling the most i.e. 1,00,964 units in just a single month of June’14.
Comparison of Cars sold by NISSAN from March 2014 to June 2014 is as below:
Months March’14 April’14 May’14 June’14
NISSAN 7,019 5,301 5,021 4,362
The above chart shows that how the Sales of NISSAN is declining month-by-month. In
July’14 only 607 Datsun’s were sold, falling 77 percent from their peak in April. This indicates
the amount of competition in the automobile industry, India.
When the competition is so intense, it becomes vital for any Company to do some
research, study the industry, current trends in the market, and demographics of the samples/
target audience, studying their tastes & preferences before launching any new model in the
market. It is also equally important to conduct the research after the launch of model to check
whether awareness for the new model is done properly or not, are consumers able to identify
the model just by seeing its advertisements (name of the model is blurred during the research),
or by listening to its jingle, or by seeing the posters, etc.
That’s exactly what Nissan did after the launch of their new model NISSAN SUNNY.
4.6 Abut NISSAN SUNNY
Nissan launched the new model of NISSAN SUNNY on 3rd July, 2014 in India. The
new model went on sale immediately at all Nissan dealerships across the country.
The New Sunny is based on the popular tenth generation model but receives
comprehensive updates inside and out, making it bolder, more appealing and even more
desirable.
The tenth generation Sunny was first launched in India in 2011 and has been Nissan’s
flagship sedan in the country ever since. The New Sunny builds on this solid foundation and
fortifies Nissan’s presence in the increasingly popular Sedan segment.
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The New Sunny range includes three petrol and five diesel variants with prices
starting at INR 6.99 lakh for the XE petrol variant. Its other variants details are as follows:
New Sunny Petrol -
Grade XE XL XL CVT
Price in INR
(ex-showroom, New Delhi) 6,99,000 7,61,000 8,91,000
New Sunny Diesel -
Grade XE D XL D XV D XV D Premium
(Leather)
XV D Premium
(Safety)
Price in INR
(ex-showroom, New Delhi) 7,99,000 8,60,000 9,33,036 9,80,128 9,60,536
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Competitors of Nissan Sunny
The chart below shows the list of top competitor models of Nissan Sunny and their sales
in the month of Jan’14 & Feb’14.
Car Model Feb ’14 Jan ’14 Difference in Value % growth
Nissan Sunny 248 646 -398 -61.61 %
Nissan Teana 0 4 -4 -100 %
Renault Scala 213 151 62 41.06 %
Honda City 7213 7184 29 0.40 %
Honda Amaze 6030 7398 -1368 -18.49 %
Hyundai Verna 3342 3803 -461 -12.12 %
Volkswagen Vento 1191 1294 -103 -7.96 %
Maruti Dzire 18353 19232 -879 -4.57 %
Skoda Rapid 961 1188 -227 -19.11 %
Toyota Etios 2371 2808 -437 -15.56 %
Mahindra Verito 293 320 -27 -8.44 %
Ford Fiesta Classic 205 438 -233 -53.20 %
Fiat Linea 420 178 242 135.96 %
Chevrolet Sail Sedan 521 758 -237 -31.27 %
The above analysis clearly indicates the huge competition level there for Nissan Sunny.
As the sales of Nissan Sunny declined by 61.61% during the mentioned period making the sale
of only 248 units in Feb-14, which led to the launch of its new model.
Besides that Maruti Dzire remains to be the top sedan car sold in India with 18353 units
being sold in Feb’14 followed by Honda City with 7213 units.
Fiat Linea’s sales increased by 135.96% max by any model increasing its sales from
178 to 420 units. Where there was a huge decline of 1368 units in the sale of Honda Amaze
and Nissan Teana was not able to sell even a single unit in the month of Feb’14.
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Chapter V: Market Research Study for NISSAN MOTOR INDIA
PRIVATE LIMITED
5.1 Need for Research Study
As the competition is ever increasing and the market is ever-changing, so it becomes
necessary for the market players to study the consumers as well as their competitors.
Consumers buy what they can recognize easily and about what they are aware of. So its gets
essential for the companies to stay updated about their target audience and whether they are
aware about their company’s product or not.
5.2 Problem Statement
To conduct the Market Research to study the consumers behaviour towards their newly
launched model NISSAN SUNNY.
5.3 Research Methodology
Target Group of Research - All those people between the age group of 26-45, having
income above 30,000/- p.m. and are the intenders of the Car in the coming 3 years.
Basic Requirement - The respondent should be the intender of the brand new car only
and not the second-hand car. He/she should be looking to purchase a car of or above INR 3
lacs. Respondent should be the decision-maker in buying of a car.
Phases of Research - The research was conducted in two phases as follow:
In first phase, interview was conducted on the paper-based questionnaire, where the
researcher is to ask them all the related questions in the 1st session & in the 2nd session
respondent was sent one mail regarding the NISSAN SUNNY which contained their
advertisement, posters & company’s logo and they were ask to identify the brand and
model and to respond with whether they are aware of the same or not.
In second phase, interview was conducted on the laptop where both the sessions were
clubbed together, so that interviewer can record their live opinion about the brand
advertisement and logo and can record their level of awareness.
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5.4 Objectives of this Study
To find the no. of intenders of the brand new car in the next 3 years and categorize them
under the intenders of either B Hatchback, B+ Hatchback, Sedan, SUV or MPV vehicle.
To record the level of awareness of target group about the brand & its new model.
5.5 Drawbacks of this Study
Researcher’s inability to reach to all the intenders, so the analysis conducted is based
on just a set of target group and not the entire target group.
Decision of the buyer may change after a particular timer period, as the time considered
in the study was of 3 years, so many new models may come in the market during that
time frame, which may change the buyer’s decision.
Buyer may either completely drop the plan of buying a car or may switch to a second-
hand car due to any personal issue down the line.
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Chapter VI: Data Analysis and Interpretation and Findings
Part A: Data Analysis and Interpretation
Analysis no. 1
Sampling Size: 28 respondents were interviewed for filling the survey form.
Sampling Method = 5 convenience sampling, 23 random sampling.
Interpretation:
Out of the 28 respondents being interviewed 22 were selected, whereas other 6 were
rejected due to the termination criteria like age above 45, income below 30,000/-, intenders of
second-hand car. So, the rejection rate was 21%.
Analysis no. 2
Division of Age Group among the successful 22 respondents
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Age Group No. of Respondents Percentage of Respondents
26-30 15 68.18 %
31-35 6 27.27 %
36-40 1 4.55 %
41-45 0 0
Total 22 100 %
Interpretation:
The above chart shows that among the 22 car intenders who were successfully
interviewed, major chunk of the buyers fall in the age group of 26-30. So this clearly indicates
that people mostly look for buying the new car when they are in age group of 26-30, as they
are usually married by this time, have a decent job in hand and are expanding with the family.
Whereas once the age goes on increasing intention of buying a new car goes on decreasing.
Analysis no. 3
Division of income-level of the respondents
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Income Level No. of Respondents Percentage of Respondents
₹ 30,000-60,000 18 81.82 %
₹ 60,001-1,00,000 2 9.09 %
₹ 1,00,001 + 2 9.09 %
Total 22 100 %
Interpretation:
Among the 22 respondents, 18 fall in the earning group of Rs. 30,000-60,000/- p.m.
which states that buying a car is becoming like a status symbol for the working people, despite
of having a low income-level of around 30,000/- p.m. they are planning of buying a car. This
also states that disposable income of the consumers is increasing day-by-day as few might have
a decent job in hand and also there’s a fair deal of having job security. Also, the various EMI
scheme’s offered by the car manufacturing company helps the consumers in buying of a new
car even if they have a low disposable income.
Analysis no. 4
Interpretation:
As shown in the pie chart, 21 among the total of 22 car intenders are married. Which
means consumers often think of buying the car after getting married, as they are well-settled
by the time and also have a big family to accommodate into.
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Analysis no. 5
No. of Family Members Respondents Count Percentage of Respondents
3 3 13.64 %
4 5 22.73 %
5 13 59.09 %
6 1 4. 55 %
Total 22 100 %
Interpretation:
Usually those family having around 4-5 members in their family, plan to buy a car. As
it becomes easy for the big family to travel together under 1 vehicle.
Analysis no. 6
Finding the Socio-Economic Class of the Respondent’s Family. It is recorded by taking
into account the Educational Qualification & the Occupation of the Chief Wage Earner (CWE)
of the family. CWE is the one who contributes the most to the family expenses.
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Interpretation:
As it can be seen, car intenders usually belong to the family with A1 or A2 SEC class
i.e. those earning a decent amount of money and having high disposable income.
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Analysis no. 7
Likelihood of buying either Air-Conditioner, Refrigerator, Television, 2 wheeler,
Microwave Oven or Laptop along with buying a Car in the next 3 years.
Interpretation:
The above chart shows that those who are planning to buy a car in the upcoming period,
do not plan to buy too many other products during that same period of time. As we can see
very less consumers are opting to buy other products along with car.
Products Intenders of other Products along with Car
Microwave Oven 0
Air-Conditioner 3
Refrigerator 0
Television 2
2-wheeler 1
Laptop 4
Total 10
The above table shows that out of 22 respondents only 10 are thinking to buy some
other product along with the car.
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Analysis no. 8
Time Duration No. of Respondents Percentage of Respondents
0-6 months 4 18.18 %
6-12 months 12 54.55 %
12-24 months 6 27.27 %
24-36 months 0 0
Total 22 100 %
Interpretation
The chart shows that people usually takes a long time before buying a new car. Time
taken to decide usually extends from 6 months - 2 years. However this fact affects the analysis
done during the research as 1-2 year is a sufficient duration for the buyer to change his decision
regarding which model to buy as the market is evolving fast and new models are launched
frequently.
0 2 4 6 8 10 12
0-6 months
6-12 months
12-24 months
24-36 months
4
12
6
0
Expected time of buying the
Car
time frame
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Analysis no. 9
To check whether the respondent has a Car already in his/her family or is the first time
buyer. We categorize the respondents under 3 titles as follow:
Pure First Time Buyer – those who do not own a car currently and none of their family
members in the household is having a car.
Non-Pure First Time Buyer – those who do not own a car currently but have a car in
their household which is owned by some other member in the family.
Non First Time Buyer – those who already own a car currently.
Buyer Category No. of Respondents Percentage of Respondents
Pure First Time Buyer 19 86.36 %
Non-Pure First Time Buyer 2 9.09 %
Non First Time Buyer 1 4. 55 %
Total 22 100 %
Interpretation:
It shows that people usually buy only 1 car. Very few people go on for buying more
than 1 car.
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Analysis no. 10
Budget Range No. of Respondents Percentage of Respondents
₹ 3-5 lacs 4 18.17 %
₹ 5-8 lacs 12 54.55 %
₹ 8-10 lacs 3 13.64 %
₹ 10+ lacs 3 13.64 %
Total 22 100 %
Interpretation:
The above chart shows that people usually buy the car in the range of 5-8 lacs. It also
gives an estimation about the pace at which automobile industry will grow and what would be
the expected revenue from this sector.
0
2
4
6
8
10
12
3-5 lacs 5-8 lacs 8-10 lacs 10+ lacs
4
12
3 3
Budget
Budget
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Analysis no. 11
Sales of the particular type of the Car
Type of Car No. of Respondents Percentage of Respondents
Hatchback B 4 18 %
Hatchback B+ 12 55 %
Sports Utility Vehicle 0 0
SEDAN 5 23 %
Multi-Purpose Vehicle 1 4 %
Total 22 100 %
Interpretation:
In the upcoming 3 years, sales of the Hatchback B+ Car would be the most. The above
chart shows that, out of the 22 respondents 12 are the intenders of Hatchback B+ car. Whereas,
the buyers for SUV are expected to be the least in the upcoming period. SEDAN’s and
Hatchback B type of class will have the little demand in the coming years.
Analysis no. 12
Conducting analysis of the more general make & model of the car that the respondents
intends to buy.
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The Category-wise analysis for the same is as follow:
Demand0
0.5
1
1.5
2
Hyundai
EON
Maruti
Wagon R
Chevrolet
Spark
Datsun Go
Hatchback B segment
Demand
8%
17%
42%
0%
25%
0%8%
Hatchback B+ Segment
Chevrolet Beat
Maruti Ritz
Hyundai i20
Nissan Micra
Maruti Swift
Ford Figo
Volkswagen Polo
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0 0.5 1 1.5 2
Honda City
Nissan Sunny
Renault Scala
Volkswagen Vento
Hyundai Verna
2
1
0
2
0
SEDAN Segment
Demand
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Sales Forecast of Cars Count Percentage of Total Sales
Hyundai Eon 1 4.55 %
Maruti Wagon R 1 4.55 %
Datsun Go 2 9.09 %
Chevrolet Beat 1 4.55 %
Maruti Ritz 2 9.09 %
Hyundai i20 5 22.71 %
Maruti Swift 3 13.63 %
Volkswagen Polo 1 4.55 %
Honda City 2 9.09 %
Volkswagen Vento 2 9.09 %
Toyota Innova 1 4.55 %
Nissan Sunny 1 4.55 %
Nissan Micra 0 0
Nissan Evalia 0 0
Total 22 100 %
Interpretation:
The expected sales for Hyundai i20 is the highest as per the sample group considered,
followed by Maruti Swift. Hyundai and Maruti as the car makers are expected to make the
highest sales in the next 3 years in the Hatchback segment. Whereas, in the Sedan segment
Honda and Volkswagen have the good hold. However forecast for companies like Mahindra,
Renault, Nissan, Chevrolet doesn’t seem to be good enough.
So this car makers need to revise their strategies to be in the market.
Analysis no. 13
Internet Usage per week No. of Respondents Percentage of Respondents
Everyday 16 72.73 %
5-6 days 6 27.27 %
3-4 days 0 0
Total 22 100 %
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Interpretation:
The above chart shows that, working people usually use internet every day for checking
their e-mails. This was important for the phase I of the study as the 2nd session was based on
completing the study over internet.
Analysis no. 14
The further analysis were conducted only on the respondents being interviewed in the
2nd phase of the survey. So, the segregation of the respondents being interviewed in which
phase is important here.
Phase I27%
Phase II73%
Interview conducted in
Phase I Phase II
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Interpretation:
Out of the total 22 successful interviews that were conducted, 6 were done in phase I
and 16 were done in phase II. It means that the further analysis is being done only on the 16
respondents, as the data for the phase I was sent directly to the company’s mail and was not
shared. Whereas, the remaining was conducted in one go at the time of interview itself on
laptop.
Analysis no. 15
Interpretation:
It shows that NISSAN is a well-known brand in the market and consumers are usually
able to identify the brand by just seeing their logo as well. 94 % of respondents were able to
identify the brand by its logo. So, the brand recognition is high for NISSAN.
Analysis no. 16
To see whether the respondent is able to recognize the make & model of the shown car
by looking at its poster.
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Interpretation:
8 out of 16 respondents (50 % of the respondents) were able to identify that the poster
shown is of NISSAN SUNNY. It means that the awareness done by NISSAN for their new
brand was not able to reach to the entire target group and thus might result in the less sale of
the model.
Analysis no. 17
0
2
4
6
8
Yes No
8 8
Model Recognition through its Poster
Ability to identify the model
Yes19%
No81%
ADVERTISMENT SEEN BEFORE
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Interpretation:
It states that, out of the total 16 respondents only 3 respondents (19 %) have seen the
advt. before, which states that the marketing strategies of NISSAN was not that effective for
their newly launched SUNNY. So they need to revise their advertising campaign in order to
reach the mass audience.
Analysis no. 18
Media Class No. of Respondents Percentage of respondents
YouTube (Internet) 3 100 %
Television 0 0
Total 3 100 %
Interpretation:
Out of the 3 respondents who have seen the advertisement before none of them have
seen it on the TV, all have seen it on the YouTube specially searching for that model.
This shows that Media Vehicle selected by NISSAN on the TV was incorrect, as it was
not able to reach to the target audience and thus they were required to search for the same on
Internet.
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Part B: Findings
From the analysis done we come to know that NISSAN is a well-known brand in the
automobile industry. But when it comes to buying a car consumers usually move towards even
more established brands like Maruti or Hyundai’s Hatchback cars, whereas Honda and
Volkswagen are more popular under the Sedan segment and Toyota is almost ruling the Utility
Vehicle segment. So we see that different companies have established their hold into different
segments. However, NISSAN is not able to match up to the level of these carmakers.
Findings also state that the major problem for NISSAN has been with their
Advertisement campaign, they are not able to create awareness as they would like to for their
newly launched models. Their reach has been limited due to the Media Class & Media Vehicles
that they have selected for their campaign.
Despite of being the well established brand where we saw that 95% of the car intenders
are able to identify NISSAN with their logo, still they haven’t been successful in being the top
of-the-mind brand. They have failed in creating the Brand Recall effectively which has resulted
in the decline of their sales, rather into low sales.
Few other analysis stated that the consumers usually plan of buying a new car when
they are in the age group of 25-30, i.e. mostly after their marriage and when they are expanding
in the family.
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Chapter VII: Conclusion
Market Research study has become one of the most important factor in the success of
any company, especially in the Automobile Industry. As the competition is intense in this
industry, so every step taken by any company will affect all its competitors as well.
If any well-known brand comes with a cheaper range car then it becomes important for
others to imitate that otherwise the first-mover will tap the market easily and gain most of the
market share. Even if any company comes with the new technology or the new feature in their
car, then others are forced to imitate that to stay in the league and keep moving along with the
trend, such is the competition in this Industry.
So, market research study helps any company to find out the rapidly changing
preferences of the consumers and the current industry trends which helps them stay up-to-date.
It also helps them in analyzing their strategies and identify the loopholes in it and accordingly
revise the strategies in order to meet the expectations of the consumers and more particularly
the target audience they are catering to.
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Chapter VIII: Recommendations
My recommendations firstly in general to the companies would be that when they are
spending so much in the technology, aesthetics of the products, its features and specifications.
Then it’s better to spend some amount in the market research to study the tastes and preferences
of the consumers, their demographics and buying behaviours and also in studying the industry
and in performing competitor analysis before stepping in the market with a new product to
safeguard it from the disaster or total failure.
For NISSAN in particular, it’s important for them to enter in the new market segment
as they currently do not cater much in the Hatchback segment which is rather the most selling
car in India. Their basic version that is Nissan Micra Active XL starts from 5+ lacs (on-road
price) in Mumbai. So they should start manufacturing cars in the range of around 3.5-4 lacs to
cater to the low-budget segment as well.
NISSAN also need to change their advertisement campaigns especially the media class
and media vehicle to reach to the masses and to the entire target group.
