Summer project pratap pdf

A Summer Internship Project Report 2015

On

“IMPLEMENTATION & EVALUATION OF BRAND

PROMOTIONAL ACTIVITIES FOR DANITOL IN

SITAPUR UP”

Submitted By

Pratap Singh khangarot

National Academy of Agricultural Research Management

Indian Council of Agricultural Research

Submitted to

Sumitomo Chemical India Pvt. Ltd

Academy Guide: Company Mentor:

Dr. PC MEENA Mr. Shashi Bhushan Jha

Senior Scientist Area Sales Manager

NAARM HYDERABAD Sitapur ,UP

PRATAP SINGH KHANGAROT, PGDM (AGRICULTURE) 2014-16, NAARM, HYDERABAD. Page 2

Declaration

This is to declare that I, Pratap singh Khangarot student of Post Graduate Diploma

of management in Agriculture (2014-2016), NAARM, Hyderabad have given

original and authentic data, information and maintained full confidentiality to the

best of my knowledge in the project report titled “IMPLEMENTATION &

EVALUATION OF BRAND PROMOTIONAL ACTIVITIES FOR

DANITOL IN SITAPUR UP ” and that, no part of this information has been

used for any other assignment but for the partial fulfillment of the requirements

towards the completion of the said course.

Pratap Singh Khangarot

PGDM (Agriculture)

National Academy of Agricultural Research management, Hyderabad

Indian Council of Agricultural Research, New Delhi


Acknowledgement

I am greatly indebted Sumitomo Chemical India Private Ltd for giving me the opportunity

of having a lifetime experience of working with such a highly professional corporate

organization. It is my proud privilege to express my deepest gratitude and veneration to my

project guide Dr P.C Meena (Senior Scientist NAARM, Hyderabad) and Company Mentor

Mr. Shashi Bhushan Jha (Area Sales Manager, Sitapur UP)for providing me the

opportunity to work on the project, which has been a pleasant experience for me.

I am especially grateful to team Sumitomo for their constant support and encouragement

throughout the span of the project. The confidence they instilled in me paved the way for

proceeding with the project.

I also take this opportunity to thank the faculty members of NAARM who have toiled hard in

paving a solid foundation in me, which is indeed of great importance in carrying out the

research work. I would like to thank my family, seniors and friends who are always there to

support and encourage me.

Author

(Pratap singh khangarot)


Certification

This is to certify that Mr. Pratap Singh Khangarot a bona fide student of Post

Graduate Diploma in Management Agriculture (PGDMA) 2014-2016 batch,

National Academy of Agricultural Research Management, Hyderabad worked as

a trainee in your organization from the period (May 1 - June 30, 2015). He has

successfully completed his final project titled IMPLEMENTATION &

EVALUATION OF BRAND PROMOTIONAL ACTIVITIES FOR DANITOL IN

SITAPUR (UP) towards the partial fulfillment of her requirements for the course.

I wish him all success in future.

(Dr. PC MEENA) Date:

Senior Scientist

National Academy of Agricultural Research Management, Hyderabad.

Indian Council of Agricultural Research, New Delhi


Certification

This is to certify that Mr. PRATAP SINGH KHANGAROT a bona fide student of

Post Graduate Diploma in Management Agriculture (PGDMA) 2014-2016 batch,

National Academy of Agricultural Research Management, Hyderabad worked as a

trainee in our organization Bayer CropScience Ltd. from the period (May 1 –

June30, 2015). He has successfully completed his Final project titled

IMPLEMENTATION & EVALUATION OF BRAND PROMOTIONAL

ACTIVITIES FOR DANITOL IN SITAPUR UP towards the partial fulfillment

of her requirements for the course.

I wish him all success in future.

(Mr. Shashi Bhushan Jha) Date:

Area Sales Manager

Sumitomo Chemical India Pvt.Ltd

Sitapur, UP


Table of Content

Serial no. Particulars Page no.

1 Declaration 3

2 Acknowledgement 4

3 Certification 5-6

4 Executive Summary 8

5 Project Overview 9

6 Company Profile 10-11

7 Study area 12

9 Research methodology 13

10 Introduction 14-15

11 Pesticide Industry 16-17

12 Agrochemical Overview 18-20

13 Products Sumitomo 21

14 Denitol 22

15 Brand Promotional activities 23-24

16 Recommendations 25-26

17 Key findings 27

18 Conclusion and Learning’s, References 28


Executive Summary

In today’s competitive world for retaining in the market it is very necessary to have well

Knowledge of the consumer buying behavior and the information regarding the activities

Of competitor’s existing in the market so that we can plan our each activity according to

That Agriculture in India is a means of livelihood of almost two third of the work force in the

country. It has always been India’s most important economic sector. India ranks second

worldwide in farm output. Agriculture and allied sectors like forestry, fishing account for 13.7

% of the GDP in 2013-14, employed 52.1 % of the total work force. Despite a steady decline of

its share in the GDP, are still the largest economic sector and a significant piece of socio

economic development of India.

Indian agriculture is grown at an impressive rate of 2.7 % per annum during 50 year of

independence. This growth rate can be attributed to the gain in crop productivity.

The project is “IMPLEMENTATION & EVALUATION OF BRAND PROMOTIONAL

ACTIVITIES FOR DANITOL IN SITAPUR (UP)”

This project is carried out for Sumitomo Chemical India Private Limited, one of the leading

pesticide Companies in India, engaged in different crop segment of Pesticide .

The study deals with different objectives.

1. To plan and Implement the brand promotional activities for Danitol.

2. To evaluate the effectiveness of all the promotional activities and study the customer

response/ feedback on them.

3. To suggest suitable brand promotional mix for increasing the adaptability of Danitol.


Overview of the Project

• While Pesticide companies see business in their respective segments, policymakers

and researchers say that the country will have no option but to embrace Pesticides to

increase yield to feed the ever growing population. With declining arable land and

more mouths to feed, there is continuous pressure to increase yield and reduce losses

by usage of crop protection products.

• The crop protection chemicals accounts for ~2% of the total chemicals market in India.

• Second largest manufacturer of pesticides in Asia, second only to Japan.

• The Indian pesticides industry has been growing at 8-9% p.a. over the past five years

(FY07-FY11).

• Industry size is estimated to be USD 3.8 billion (INR 21,000 CR) in FY12 with

exports accounting for 50% of the market.

• Over the 12thplan period, the segment is expected to grow at 12-13% p.a. to reach

USD 7 Bn (INR 39,000 Cr) by FY17 with domestic demand growing at 8-9% p.a. and

export demand at 15-16% p.a.

• Three broad categories of companies are present in the industry - Multi-National,

Indian including the public sector companies and small sector units.

• Pesticide Industry in India started in 1952 as private sector undertaking, ICI at Rishra

near Calcutta, now Kolkata.


Company profile

• Sumitomo is the MNC which operates in many developed and developing countries.

• A Japanese word SUMI + TOMO

• Sumi means Environment & Tomo means Friend

• Founded September 22, 1913

• Head office (Tokyo)

• A leading research & Development Company of Japan

• Every year 5000 chemicals are tested and every second year 2-3 molecules will be passed

• More than 27000 employee in Tokyo R & D Centre

• At present, the Sumitomo Chemical Group, including over 100 subsidiaries and affiliates,

operate business in five sectors

• Basic Chemicals , Petrochemicals ,IT – related Chemicals,Health and Crop Sciences.

• Net sales JPY 2,243.8 billion

• income JPY 100.8 billion

• India-2000 ,HQ-Mumbai (MH)



Location selected for Study


Research methodology

After the objectives of the survey were well defined, the descriptive and explorative research

design was decided to be taken up. The research was of survey type and so immense importance

was given on the technicalities of sampling the method of constructing questionnaires,

interviewing the respondents, editing, coding, and tabulation of data and the statistical

techniques to analyze data.

Sampling procedure:

Sampling procedure followed were simple Random sampling for selecting Villages and

purposive sampling for selecting Farmers

Farmers Approached : 1160

Data Collection:

Data were collected through questionnaire consisting of open as well as closed ended

questions.

Data Analysis:

The collected data were properly decoded and used for analysis. The data were analyzed in MS

Excel.

Limitations of the Study:

Bias in response from the respondents.

A small amount of bias may exist on researcher side


INTRODUCTION BACKGROUND

Agriculture in India is a means of livelihood of almost two third of the work force in the

country. It has always been India’s most important economic sector. India ranks second

worldwide in farm output. Agriculture and allied sectors like forestry, fishing account for 13.7

% of the GDP in 2013-14, employed 52.1 % of the total work force. Despite a steady decline of

its share in the GDP, are still the largest economic sector and a significant piece of socio

economic development of India.

Indian agriculture is grown at an impressive rate of 2.7 % per annum during 50 year of

independence. This growth rate can be attributed to the gain in crop productivity. The strategies

adopted since independence and intensified after mid sixties primarily focused on feeding the

burgeoning population and making the country self reliant in food production. The major

factors that led to this enhanced productivity were use of synthetic fertilizers and pesticides,

selective breeding, mechanization, developing irrigation infrastructure and farm subsidies.

In shaping up the modern agriculture technology has been a vital component of it. Quality input

such as seed, chemicals, irrigation measures, fertilizers, pesticides and genetic engineering have

played a major part in raising yields. Farmers now have a better asses and wide range of these

inputs to choose from. The farmers pass through a series of steps before making of purchase of

these inputs. These steps include problem recognition, information search, alternative

evaluation, purchase decision and post purchase evaluation.

As the times are changing the consumer i.e. the farmer in this case has got better asses to the


information. Access to the information is the reason for increased awareness which is the

architect for changed consumption patterns.

The competition in Agri- input market is increasing due to large number of players into the

business area. Keeping this in view, the input suppliers are offering a wide range of products to

the farmers. This increased competition in this changing business environment has made the

consumer as powerful as he is the one who is in position of being free to choose out one from

many options. Thus business firms are now compelled to design and sell products that conform

to the consumer’s needs and desires.

In this situation, researching the farmers’ behavior towards the strategies of different firms has

become integral component of the marketing strategy. It is not only important to marketers in

promoting a giving product, service or practice as per the need of consumer but also to meet the

needs of customers in a better way.


THE PESTICIDE INDUSTRY

BACKGROUND

India produces 90,000 metric tons of agrochemicals in a year. India’s agrochemical industry

is second largest in Asia after Japan and the twelfth largest in the world. India loses nearly

30 % of its crop to pest attack. The agrochemicals industry plays a crucial role in protecting

crops from damage by weeds, pest, insect and fungus, both before and after harvest.

Agrochemicals, also referred as pesticide, are chemical compounds used for crop protection.

India is the second largest manufacturer of basic agrochemicals in Asia with 145 pesticide

registered in the country. Even though India has a large capacity in volume terms it accounts

for less than 2.5 % of the world market in the value terms. Consumption is also low in India

as compared to developed countries.

0

5

10

15

20

Taiwan Japan China USA France Pakistan India

Consu

mpti

on/h

a

Country

Comparison of Pesticide Consumption/Hectare

Consumption/Hectare


In the global market the share of MNC’s are:

Sr. no Company Sales 2013(US $million) %market share

1 Bayer (Germany) $ 7,458m 19%

2 Syengenta (Switzerland) $ 7,285m 19%

3 BASF(Germany) $ 4,297m 11%

4 Dow Agro Science(USA) $ 3,779m 10%

5 Monsanto(USA) $ 3,599m 9%

6 DuPont(USA) $ 2,369m 6%

7 Makhteshim Agan(Israel) $ 1, 895m 5%

8 Nufarm (Australia) $ 1,470m 4%

9 Sumitomo Chemical $ 1,209m 3%

(Japan)

10 Arysta Lifescience $ 1,035m 3%

(Japan)


AGROCHEMICALS MARKET- OVERVIEW

Agrochemicals are primarily used for crop protection.

They are often referred to according to the type of pest they control. In such a classification, agrochemicals are normally categorized into

the following major categories. The agrochemical sector is comprises of herbicide, insecticide and fungicide. These three are

the main component of this industry in India.

Herbicide- are the safer and do not affect the environment. The consumption is limited on

some crop and in areas. The herbicide is not used by each and every farmer in their crop. This

is due to the cheap availability of labor. But the demand is increasing day by day due to the

lack of labor (in some area, especially near city villages) and also the demand is increasing by

the weather conditions. E.g. - if there is continuous rain in the area in that case the sale of

herbicide is increased.

Insecticide- this comprise the major market part of agrochemicals market. These are the

biological and chemical agent to control the insect and pest. The insecticide act against

insect which feed on crops, leaves, root and other parts of plants.

Fungicide- fungicide is used as the preventive measure mainly. These are primarily used to

control disease. High use of new hybrid seeds has led to increase in disease, resulting in

higher sale of fungicide. In last five year the use of fungicide is increased from 8 % to 16 %.

In fungicide, Mancozeb is largest selling product.

Pesticide produces is of two type –

Innovators-


Innovators are original patent holders with strong focus on R&D

They enjoy the higher margin since they are able to charge premium price for their

products.

Generic manufacturers-

They are not directly involved in high end R& D to find new active ingredients.

They manufacture products that have gone off patent.

Even though they make off patent products, they have to go through a cumbersome and

time consuming registration process in every launch their product.

The bulk of generic products sold through the innovator companies.

Innovators in recent times have been outsourcing production of generic to low cost

destinations such as India.


The consumption of pesticide is also differ state wise and some of the state grab major share of

market and is very important for the point of view of sales and marketing.

S.no State Pesticide consumption (in %)

1 Uttar Pradesh 17%

2 Punjab 14%

3 Haryana 10%

4 West Bengal 9%

5 Maharashtra 7%

6 Gujarat 6%

7 Others 37%


Table: Product Range

Sr.no Brand Name Molecule Type

1 Danitol Fenpropathrin 10%EC Insecticide

2 Dantotsu Clothianidin 50%WDG Insecticidede

3 Leader Sulfosulfuran75%WG Herbicide

4 Sumiprempt Fenpropthrin15%+20%pyriprominn Insecticide

5 Meothrin Fenpropathrin30% Insecticide

6 Sumitaj Hydrochloride 4% Fungicide

7 Validacin Antibiotic

8 Sumipleo Pyridiel Insecticide

9 Progibb Gibbrelic Acid Growth promoter

About insects and insecticides:

Insects are the main enemy of farmer. Insects have reduced yield. To control many

insecticides are used. The insecticides may be contact or systematic insecticides. Insecticides

have proved to be great importance in our Green Revolution


DANITOL is also such contact insecticides which is the product of Sumitomo chemicals India

Pvt. Ltd.

DANITOL is insecticide which is specially designed for controlling all types of insects

which were found in earth. The molecule has been patented by organization, so no other

organization can duplicate it. The main thing which Danitol does it kills all insects in 30

minutes.

BENIFITS OF DANITOL:- 1. Danitol offers farmers result in 30 minutes and kill all type of insects in exists. 2. After using Danitol in field, one week later plant become greenish and start till ring.


Brand Promotional Activities

FARMERS MEETINGS: This was the most important tool used for promoting and branding of DANITOL product in

Sitapur district of Uttar pradesh. Farmers meeting are very effective way of contacting farmers

and giving them information about our product in very effective way. These meetings

encourage the exchange of ideas and experiences among the farmers. The meeting also serves

as an important Personal Relation exercise, wherein the company can build up goodwill

amongst its consumers. Such meetings provide company to educate farmers about new product

and also take views about the competitor Big Farmer Meetings:

We arranged big meetings which where pre-planned and small meetings which we have to

take immediately when handsome amount of farmers get together in villages. For big

meeting we adopted following method: We use to contact Head of the village i.e. Sarpanch and request him to call all farmers

from village together. Then their use to be formal announcement about meeting. In this announcement all details

were given, like place, time and topic of meeting.. So interested farmers use to gather on stipulated time and our meeting use to start and long

for at least 30 min. Then we use to answer the questions aroused by farmers. This discussion would last for 20

-25 min. Then we use to distribute Pamphlets (Literature) related to product Danitol to all

farmers present in meeting. Then we use to take down their name and contact numbers.

During meeting we use to demonstrate how Danitol worked different from other

pesticides which were available in market.


Small Farmer Meetings: Small meetings were also properly conducted by us. These meetings were unorganised but it was also helped in proper promotional activities. In following way it used to be conducted: Whenever we use to go in some village early in morning, we use to see some group of

farmers around 10-15 in number near temple or panchayat office. There, first we talk with any person introduce ourselves, tell them why have we came over

here and then proceed with meeting. This meeting would last for 20-25 min and after that discussion with farmers for 15 min. Then we use to distribute pamphlets and take down their names and contact numbers. Here, also we use to look for influential farmers for demo plots

Personal Contacts: Personal contacting is also most important part in Promotional activities of our brand. The

main idea behind contacting farmers individually is to build good PR of our product. In this

method we mostly use to contact farmers who do farming on large area, are influential

farmers, can spread name of our product to other farmers.

So, for targeting such farmers we use to contact retailers in that particular village, Sarpanch or

any good farmer. Then we use to contact them personally at their house or in field. We use to

interact with him tell about product and make him agree to take a demo plot in his field. In UP general trend is observed among farmers is to follow the cultural practices carried out

by any big progressive farmer. Many few farmers in SITAPUR (UP) were experimental. They

like to try out new technology in their farm and see its result. When he gets success then other

farmers follow that technology. So as DANITOL has got patented molecule called

FENPROPATHRIN 10% EC many farmers are ready to see its result. So in this way


influential farmers prove to be key elements in promoting our

product by WORD OF MOUTH spreading.

Looking at this condition we try to contact major farmers in every village. I think QUALITY is important and not QUANTITY. So when we will convert big progressive farmers to use our product instead of our competitor then it will help in branding of our product and ultimately other farmer will start using our product. Spread of product through Word of mouth is also important as it will create good brand image among other farmers as person spreading message is himself good farmer and experienced the product. Field Demonstrations: Field demonstrations are one of the most effective ways to educate the farmers, of the practical

aspects of the new ideas or products. In field demos farmers get to experience the product

closely. There, farmers see for themselves, the techniques and the results achieved. The farmers

are most likely to adopt the new practices and products if the field demonstration succeeds. A

well-organised demonstration would always encourage the farmers to adopt scientific

agricultural practices and good quality products.

During June-July farmers prepare their nursery and prepare their field for plantation so that

these months are free from plantation. So during my project I noticed potential farmers for

demos and talked them about demos in planting season. They will contact Territory Manager

during planting season for demos. So during my project the things which I concentrated on maximum contacts with good potential

farmers and getting plots for demonstrations during planting season. So I think if product wants

to make high Impact in market then we have to concentrate more on Demonstrations and field

visits for farmers. I have conducted 4 demos during my project.

Distribution of Literature: Literature is the reading material provided by company to the farmers giving all detail

information in small content. After our meeting we distributed pamphlets i.e. literature of

Danitol to each farmer. Literature is prepared in regional language i.e. Hindi. This pamphlets

contain all information like content of insecticide, the measurable amount to be used, on which

crops to use etc. This literature will be useful in spreading the name of our product in villages

and for word to word advertisement


TELECAMPAIGN Calls and massages were done to farmers in order to recall them about Danitol, so they can go and ask from dealer, that they want Danitol.

SUGGESTIONS

In this project titled “Implementation and Evaluation of Brand Promotional activities for

Danitol in UP” I contacted ABOVE 1100

farmers from several villages. I even contacted many dealers and retailers. There are many

key points which I learned from this project. In Rural marketing what are the important

points to be considered while branding of product as customers are different in different area.

Then in branding work, it has to be done from grass root level to make our customers aware.

In this 2 month project I learned many important points to be considered in Marketing of

Agri Input sector. Working at Grass root level i.e. contacting farmers is major issue in Rural

Agri marketing and that’s what I did in my summer project

But there are few suggestions which I think Sumitomo Chemical India should

implement in Sitapur UP. These suggestions I came to know after working and experiencing other things. Following are few suggestions:

More Concentration on Demonstrations and field visits:

Demonstrations are the most important part of promotion. The quality and ability of product

is experienced by customers. So if customers are satisfied then they will be ready to use our

product. Today farmers believe in seeing and experiencing the product first and then use it.

So we should concentrate more on field demos and arranging field visits of other farmers.

This will help in spreading importance of our product by word to word advertisement by

farmers.


Increase the number of Marketing Development Officer (MDO):

Marketing Development Officers are the important person in promoting and branding of

new product in new area. So at first we find it difficult to arrange meetings but latter

without MDO also we have done our contacts. But recently we appointed one MDO who

was having good experience in this field.

MDOs are helpful as they are mostly local people. They know all things at local level, so it proves helpful for us to change strategy according to local conditions for promotion.

So I would like to suggest Territory Manager to increase the number of MDOs in this area as

there is huge area to be covered . So increasing labor force will definitely help in Branding of

product .

Roadside Bill- Boards: In advertisement roadside boards play most important role. Such informative boards should be

set up along roadsides by our company. Important routes should be targeted. Location of board

must be eye catching so that farmer can remember it. This will help in Branding and Promotion

of product. The board must be simple but more informative in fewer words. Board must have

company logo, product image and some other information. This will help farmer to get

information of new product in short time and he would be eager to know more about it.


Key Findings

Overall Findings

Company Existing

Strategies Strategy to be

Fallow

Push Strategy

Expenditure on banner and

posters

High price with better quality

High volume low price to

Distributer & Low volume

high price to Small Dealers

Incentive to Dealer through

lucrative schemes.

Strengthening MDO,S.

Farmers’ are facing the low

credit problem still Sumitomo

provides minimum credit to

the Dealers

Availability According to

specific crop and Location

Affordability by providing in a

small packings (>80% farmers

are Small in survey area),

MDO,S can also be distribute

at a certain level.

Awareness by field

demonstrations & meetings

Acceptability by increasing

quality of products and project

it at reasonable price


Conclusions

Market force is its biggest strength and can be utilized to grab untapped markets.

Generic manufacturer (National & MNCs) and regional players are creating a substitute

product for Quality Pesticide.

Credit was the main problem farmers ware facing

Most of the Denitol users were unaware about the appropriate method and Pesticide

doses

Among the given District Farmers’ are found to be more aware and obsessed for the

Company Like DuPont due to its complete crop solution strategy and Field Assistant

link. Which is leading more threat to Sumitomo

Learning’s

An experience to work with a top class MNC.

Work Culture and Time management.

How to organize a survey/study research.

Interaction with People at different geographic locations.

Brief knowledge about Pesticide market and Industry

References

Indiaagristat.com.

FICCI Report on Agrochemicals.

Indian Seed Industry (2013).

BCS Annual Report.

Education

Summer project pratap pdf