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SUMMER TRAINING REPORT ON

ANALYZING CONSUMER BEHAVIOUR

IN CONTEXT OF NEW PRODUCT LAUNCH

FOR

BY

BHARAT SRIVASTAVA

A-13

In Partial Fulfillment for the award of the degree

Post Graduate Diploma In Business Management

2012-2014

NEW DELHI INSTITUTION OF MANAGEMENT F-13, Okhla Phase-1, New Delhi, Pin: 110020 E-mail: info@ndimedu.com Website: www.ndimedy.com

SUMMER TRAINING REPORT ON

Analyzing consumer behavior

In context of new product launch

FOR

Under the supervision of

Ms. SANGEETA GOEL

Mr. NAGESH MISHRA

Submitted by- Submitted to- Bharat Srivastava Prof.Abha Grover

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ACKNOWLEDGEMENT

“For any successful work, it owes its thanks to many”

Hardwork, knowledge, dedication, and positive attitude all are necessary

to do any task successfully but one ingredient which is also very

important than others and at a time more important than others in co-

operation and guidance of experts and experienced person.

I am very grateful to Prof. Abha Grover (Marketing) who was my

guide during the development of this project and it was her guidance and

assistance which help me in completing my project and I am thankful for

her support and friendly guidance.

I would also like to express my heartful regards to my parents, my

friends and company mentor & staff of Bikanervala Food Pvt Ltd and

others who directly or indirectly help me a lot for the successful

completion of my project report.

So now where my training has been completed and my heart is full of

gratification, so I cannot forgot to thanks the Almighty God. His

blessings help me everywhere in my life. Thanks God……

(Bharat Srivastava)

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DECLARATION

I Bharat Srivastava student of New Delhi Institution of Management

Batch(July2012-14) declare that every part of the Project Report

Analyzing Consumer Behaviour in context of New Product Launch that I have

submitted is my original work.

I was in regular contact with the nominated faculty guide and contacted Prof. Abha

Grover several times for discussing the project.

Date of project submission:______________

(Bharat Srivastava)

Faculty’s Comments :_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

(Prof. Abha Grover)

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TABLE OF CONTENTS

EXECUTIVE SUMMARY

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Serial no. Particulars Page no.

1 ACKNOWLEDGEMENT 04

2 DECLARATION 05

3 EXECUTIVE SUMMARY 07

4 INTRODUCTION & COMPANIES PROFILE 08

5 OBJECTIVE OF THE RESEARCH 18

6 LITERATURE REVIEW 19

7 RESEARCH METHODOLOGY 21

10 OBSERVATIONS AND ANALYSIS 24

11 CONCLUSION 34

12 LIMITATIONS 36

13 SUGGESTIONS 37

14 BIBLIOGRAPHY 38

15 ANNEXURE 39

This research has been carried out for the achievement of the given aim to analyze

consumer behavior in context of new product launch. For this a descriptive

research has been carried out in delhi and NCR. A sample size of 50+ was selected

through random sampling has at the Bikanervala outlet at Noida Sector-18. The

primary data was collected to find out the solution to the problem and a suggestion

has been withdrawn at the end of this project.

The sample of 50+ consumers had been taken to fill the questionnaire. This survey

had measured the analysis of consumer behavior towards packaged product at the

company outlet.

In this project customers gone through various sensory evaluation test organized by

Bikanervala for consumers. The project also has the sensory evaluation of

consumers for various brands as well as their average feedback score to the

questionnaire in which they participated.

INTRODUCTION & COMPANY PROFILE

BIKANERVALA

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Bikanervala is one of India's most prominent families in the business of traditional

hospitality products like Sweets

and Namkeens. Our forefathers devoted their

lifetime in developing exclusive recipes which

are now our proud family secrets. To this

wealth of inherited knowledge our new

generation has now added another dimension -

Modern Technology.

Today,

BIKANERVALA FOODS PVT. LTD. is an

ISO 9001:2000, HACCP and SQF 2000cm certified company with four modern

manufacturing units in the National Capital Region and a chain of 101 outlets in

India and abroad, serving vegetarian North Indian, South

Indian, Continental, Chinese cuisine and Fast food

along with a vast variety of traditional Indian sweets and snacks.

The traditional Indian sweet shop cum restaurant is an experience in itself. Here

you can find the pleasure & warmth of traditional Indian Sweets, Namkeens, Chaat

& Snacks and 100% pure Vegetarian multi cuisine restaurant which is served &

delivered with passion and celebration.

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Bikanervala’s concept always has been to innovate and yet maintain the original

flavour of traditional Indian food with primary focus on quality, hygiene and

affordability.

Customer satisfaction is like a religion at Bikanervala and that is why we have

been able to keep our century old tradition alive. Bikanervala showrooms are

located in India, Nepal, UAE & New Zealand.

BIKANO  Bikano is our international brand of packaged Sweets, Namkeens, Papad and

Sherbets, manufactured to the world standards of hygiene and quality. Bikano’s

packaged products have always been a big hit with customers in both India and

abroad.

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Their food products like namkeens, cookies and syrups have made it the most

preferred in between meal snack all over the world.

Bikano’s concept of constant innovation through the use of modern technology for

packaging retains its original flavour for maximum time period. With this vast

variety of finest packaged products one can always ready to celebrate a sweet

moment , any time , any where. Bikano products are available in Bikanervala &

Bikano Chat Cafe showrooms and in leading super markets and retail stores in

India & abroad.

BIKANO CHAT CAFÉ  Bikano Chat Café is a new age concept of Bikanervala aimed at establishing a

strong network in the corporate and the retail segment.

It is a chain of fast food restaurants and Tuck Shops serving traditional Indian Chat,

Combo Meals, Burger, Pizza and Snacks in a modern hygienic enviornment.Their

main focus has been to provide exquisitely packaged traditional food at an

affordable price to wherever their customer groups are located, be it corporate

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houses, malls or even exhibition stalls.

Their innovative menu and state-of-the-art manufacturing and delivery systems

ensures original flavour from base-kitchen-to-customer.

VISION

To savour and share the century old culinary

heritage of Bikanervala with ultimate taste and

relishing freshness and ensuring superior

customer experience by providing highest standards of product quality & service.

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MANUFACTURING

PRODUCTION

Bikano prides itself in successfully integrating ultra modern technology to

manufacture its traditional food products in their 5 factories across India.

Their products are quite well known for being healthier than the oily snacks

that are found outside since they are fried in machines which are

programmed by Programmable Logic Controllers (PLC).

They have always been in the forefront in pioneering new technology for

modifying traditional sweet recipes of Kaju Burfi, Khoya Burfi, Patisa, Soan

Papdi etc. to having a longer shelf life and exporting them abroad.

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PRODUCTION

PACKAGING

QUALITY CONTROL

They are specially packed under ambient conditions through an application

called MAP (Modified Atmosphere Packaging).

The canned food products are very popular amongst Indians abroad, and

utmost care is taken to ensure that each of the products undergoes stringent

quality test.

PACKAGING Bikano has always been in the forefront in adopting new technology for its

products. Their state of the art canning and packaging technology ensures

that the products have a longer shelf life without losing their freshness.

The 3-ply laminate packaging extends the shelf life up to a year. It has

successfully adopted the system of Baby Carton and Master Carton to

facilitate the sale of items in Departmental Stores and Shopping Malls,

which are very popular in the Western Countries.

Even the highly perishable sweets are packaged in such a way that they have

a longer shelf life without losing their traditional taste.

QUALITY CONTROL Every product that comes out of Bikano’s factory is passesthrough stringent

quality checks before it reaches the customers.

Their state of the art manufacturing process has been awarded ISO 9000:

2008 by UL India Ltd and they are also an HACCP and SQF 2000 CM

certified organisation by SGS India Ltd.

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The Quality Assurance Department has world class testing facilities for

Colorimetric, Chromatographic, Chemical, Bacteriological and Physical

analyses thereby ensuring quality of raw material, packaging material,

packing material and finished goods.

The quality standards are at par with the requirements of FDA, and

Australian and New Zealand regulations. The demand for their products are

a testament to the quality standard held by Bikanervala.

PRODUCTS14

Business Network

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NAMKEEN SNACKS

SWEETS BAKERY

SYRUPS

National Business

Bikano has always been a name to reckon with for its traditional Indian snacks like

namkeens, sweets, cookies and sherbets. With the advent of modern technology of

packaging, its products reached far and wide across India and became an instantly

popular. There is a stringent control on quality of each and every product that goes

out of its factory, which is why it has been awarded ISO 9001: 2000 by UL India

Ltd.

Also, it is one of the very first packaged food export house registered with the

government of India and it is one of the largest in its sector.

The snacks and savouries are packed in convenient sizes and can be brought at

affordable rates. Moreover, there are special gift packs, with assorted range of

sweets and namkeens for festivals and occasions that makes Bikano a perfect gift

item.

Its large distributor network across India ensures that the products reach every

nook and corner.

International Business16

Traditionally, Bikano has always been well known for its exquisite Indian snacks

the world over. And it has been growing at an amazing 200% since past 2 years

which is a testament of its demand in the foreign countries. USA, Canada , UK ,

Germany , Australia , Singapore and Middle-East are few countries where their

products are in high demand.

Highest standards of quality are employed both during the production of their

snacks and savories. It is because of this reason, they have been awarded ISO

9001: 2000 by UL India Ltd. Bikano is also a HACCP and SQF 2000 CM certified

organization by SGS India Ltd. The quality standards are in line with the

requirements of FDA according to Australian and New Zealand regulations.

Bikano also has a large distributor network across the world, which ensures its

products get a wide reach.

OBJECTIVE OF THE RESEARCH

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As per the requirement of the project questionnaires established direct contact with the respondents for the purpose of my study, where the respondents were customers.

Following are the objectives of the research:-

To study various consumer behavior in the market of packaged food products.

To study the sensory evaluation of consumer for packaged food product.

To check prime expectation from consumers by the manufacturing company.

To check why does consumer buy any product on the basis of following constraints and rate them priority wise Brand name, taste and quality, price etc.

To study the awareness of consumer for brands available in packaged food product.

To check the demand frequency of consumers.

To study the purchasing behavior of consumer for packaged food.

LITERATURE REVIEW

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After China, India is the second largest food producer in the world with the

potential of being the number one in the future. The recent surprising rise in the

packaged and processed foods demands noted mainly in the metropolises, are due

to a variety of reasons. The metropolises are the biggest consumer of packaged

food. This can be attributed to the drastic change in the lifestyle of the consumers

of packaged food in the metros. Prevalence of nuclear families, working parents,

bachelors refusing to eat out in the, who are mostly engaged in time pressured jobs

hardly have the time and expertise needed to cook a conventional meal, which has

affected their food habits in a major way. Packaged food is a smart solution which

saves both the time and rigors of cooking a conventional meal. Increasing health

awareness amongst the consumers also makes packaged food a ready preference

since packaged food contains ingredients such as herbs, vitamins, minerals, pro-

biotic and other essential nutrients.

Analyzing consumer behavior in context of new product launch for the packaged

food industry itself is a very important subject. The topic itself describes the

behavior of consumer at the time of selection of product variants from the huge

rack of product mix by different brands and segments. This is also related to the

purchasing behavior of the consumer.

Consumer decision-making can be defined as a mental orientation characterizing a

consumer’s approach to making choice. Intention to purchase depends on the

degree to which consumers expect the product to satisfy them, when they consume

it.

In this project we are considered to find out the consumer behavior towards the

brand of Bikano. By analyzing the consumer behavior towards brand, preference to

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packaged product through questionnaire asking for the awareness towards brands,

loyalty to the brand, major influencers, and also about the ease of purchase.

RESEARCH METHODOLOGY

This section indicates what is to be researched and also shows which method is to be

adopted for the research methodology.

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Problem Statement

“To study the consumer behavior in context of new product launch”

Introduction to Research:-  

The following methodology will be used to state and justify the reason for using

the different methods selected for the research of the project. In order to achieve

the aims and objective of the study, it is very important that researcher should use

sound research tools and techniques and know how best to analyze the results.

Here, the combination of research methods has been utilized in gaining an insight

to a complex and changing area.

As in the research, the theory is already available about the consumer behavior for

the purchase decision by consumer by taking into consideration the price, quality

and the brand preference. Hence, the researcher has to find out the behavior of

consumer in context of new product launch by knowing the preference of the

consumer in the packaged food product market by comparing the prospect market

of the available competitors.

Re s earch   De s ign : -   This section carries out the topics such as research sector, research population and

instruments used for the research.

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Research Sector

Researcher is going to carry out the research on the prospects of the packaged food

products because the research is aimed at the consumer behavior in context of new

product launch.

Research Population

Research population comprises of each and every person come under the terms

consumer and customer. They may be working persons, housewives, students and

impulsive buyers.

Research Instruments

Research instruments used to find out the solution of the research problem are:

1. Questionnaire

2. Sensory Evaluation form

Sampling Techniques

Random sampling method is used so each population can get equal and fair chance

of being selected.

Sample Size

Sample size taken for the study is 50+

Source of Data

As the project title itself describes the future aimed problem as the research is

conducted problem related to new product launch. Here in the survey primary

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data is collected with the help of questionnaire method to get the main theme of

the project.

Method of Analysis

The raw data is not fruitful if it is not analyzed properly. There are various tools

available in the statistical field. Some statistical tools used for analyzing the data

are as follows:

Tabulation method

Graphical method

Data analysis

Q1. Do you purchase packaged food products?

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Percentage

YesNo

Analysis :- It was found out from the survey that most of the

customers i.e. 88% of them are buyers of packaged food products. There

were also few customers about 12% who had not purchase packaged food

products. It shows us about percentage of prospects of packaged food in

overall market of food products.

Q2. What are the reasons for purchasing packaged food products?

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Ready Available

Taste

Liked by family members

Influence of friends and relatives

Easily available in the shops

Convenient to use for snacks

Satisfaction

Save time for preparation

0% 5% 10% 15% 20% 25%

Analysis :- It was found out from survey that even though most of the

people are purchasing packaged food products because of this reason that the

products are easily available in the nearby shops, save time for preparation ,

Convenient to used for snacks ,ready available and some of the people purchasing

packaged food products for their satisfaction and for taste. Influence of friends and

relatives and family member preference has importance for very less people.

Q3. Are you aware of following brands?

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Bikano

Haldiram's

Pepsico

Fritolays

Parle

Bhagat's

0% 5% 10% 15% 20% 25% 30%

Analysis:- It was found out from the survey that people were very much aware

of Bikano, Haldiram’s, Pepsico and Parle where as they were not so much aware of

Bhagat’s and Fritolays.

Q4. Source of information for brand awareness

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TelevisionRadioNewspapers/MagazinesFriends/RelativesShopkeeper/RetailerWindow Display

Analysis:- From the survey it was found out that 61% people are aware of

product because of television which is maximum among all other sources. So

marketing people in industry should knew about all aspects tools for television

advertising.

Q5. Frequency of purchase

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DailyTwice in a weekOnce in a weekFortnightlyWhenever needed

Analysis:- From the survey it was found that people mostly like to buy

packaged products twice in a week or whenever needed. They are followed by the

people who buy the product once in a week followed by daily buyers. People don’t

like to buy the packaged products fortnightly.

Q6. Nature of purchase decisions

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Impulsive by planned purchaseUnplanned purchase

Analysis:- In the survey it was found out that people purchase namkeens

from whatever they saw displayed outside the shops . So the company should pay

special attention to supply chain management of namkeens. In case of sweets and

syrups it was generally a planed activity. But overall it is unplanned purchase

because of the lower price structure.

Q7. Place of Purchase

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Retail Outlets

Departmental Stores

Super Markets

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Analysis:

It was found that in the survey that lot of people likes to buy packaged food

product from its retail outlet rather than any super market or departmental store.

So for grabbing maximum number of customers a company should have lots of its

owned retail outlets.

Q8. Which brand do you prefer most?

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Percentage

BikanoHaldiram'sPepsicoFritolaysParleBhagat's

Analysis:

It was found that in the survey most of people give their preference to Haldiram’s

followed by Pepsico and Bikano. Fritolays, Parle and Bhagat’s are less preferred

by the customers. So Bikano is already giving a good competition to major brands

like Haldiram’s and Pepsico and also has a lot of scope in the market.

Q9. Factors influencing to prefer a particular brand

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Price

Taste

Quality

Quantity

Brand Image

Long shelf life of product

0% 5% 10% 15% 20% 25% 30% 35%

Analysis:

It was found that any product most preferred because of its quality and taste

followed by its brand image. It may be possible that because of good income level

of people price do not have any effect on the product preference. Though brand

image has more effect rather than price but have not a good percentage to become

a common cause.

Q10. What are the alternative purchase plan if prefer brand is not available?

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Percentage

Go to other shopPostpone the purchaseBuy other brandPlace order to get required brand

Analysis:

It was found that large portion of the market will go for buying the product from

other shop if the prefers brand is not available on the shop. This shows the loyalty

of the customer towards the Bikano products.

CONCLUSION

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Findings:

After analyzing the primary data which is collected from the sample with the help

of questionnaire and sensory evaluation form conclusion formed at this ground

that:

Customer purchasing decision is mostly influenced by quality and taste of

the product in the area of study.

Customer shows a very good loyalty towards brand of Bikano.

Bikano has a very good scope in the future for becoming rank one brand in

the market of packaged food product.

Customers are well aware of most of the brands.

Bikano has less market share in against its major competitors Haldiram’s

and Pepsico.

Analysis of objective of study:

This section is prepared to know about the achievement of the primary

objectives which are carved before the execution of the study.

After the successful completion of the study it can be say that our all primary

objectives are fulfilled. The analysis of the questionnaire gives the following

answer to the primary objectives.

This study tells that the consumer behavior at the market place as planned or

unplanned purchasing decision.

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The prime expectation of customer is to have quality and tasty products.

Price does not matter to a consumer in the area of study. They are affected

by quality, taste and brand of the product.

Consumers are well aware of the available brands into the market.

Demand for packaged products are not too high neither too low in the area

of study.

Future Scope of Study:

This study tells the current situation of market and consumer behavior towards our

brand. Company can use this study for knowing its area of scope to grab prospects

customers who are consumers for other companies as well as customers who are

not using packaged products.

This project can also be used as to know the consumer expectation and will be used

for the improvement in the available products.

Limitations & Constraints35

In the completion of the research work there are several limitations which are

bound the study work to some parameters.

The Data regarding the study was not readily available in a concise manner;

therefore several approximations were required to be made.

The recommendations made for future scope of study in the project are on

the basis of Analysis of Present Trends that may not become suitable on

implementation after few years.

Experience of the Researcher will be lagging in the study that might have

made the study more analytical in nature.

Time availability will be a major constraint since the study is required to be

prepared in time bound manner.

Suggestions

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On the basis of findings from the research made there are some points on which the

company should take care of:

Company should increase its product length in packaged food product.

They should work on the improvement in the product quality and their unique

selling proposition.

They should have increased their outlet chains to reach large number of

customers as the maximum buyers like to buy directly from the retail outlets.

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Bibliography

Books:

Philip Kotler

References:

Ms. Sangeeta Goel (Manager, Marketing, Bikanervala)

Mr. Nagesh Mishra(Manager, Marketing, Bikanerwala)

Mr. Akash Singh Rajput(Trainee Manager, Bikanervala)

Websites:

www.bikanervala.com

www.businessline.com

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Annexure

Questionnaire

Q1. Do you purchase packaged food products? Yes/No

Q2. What are the reasons for purchasing packaged food products?

Ready available

Taste

Liked by family membersInfluence of friends and relativesEasily available in the shopsConvenient to used for snacksSatisfaction Saved time for preparation

Q3. Are you aware of following brands?

Bikano

HaldiramPepsicoFritolaysParleBhagat’s

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Q4. Source of information for brand awareness

Television

Radios

News Papers/ Magazines

Friends/ Relatives

Shop keeper/ Retailer

Window Display

Q5. Frequency of purchase

FrequencyDailyTwice in a week Once in a weekFortnightlyWhenever needed

Q6. Nature of purchase decisions

Impulsive by planned purchasePlace of purchase

Q7. Place of purchase.

Retail OutletsDepartmental StoresSuper Markets

Q8. Which brands do you prefer most?40

BrandsBikano

HaldiramPepsicoFritolaysParleBhagat’s

Q9. Factors influencing to prefer a particular brand

FactorsPriceTasteQualityQuantityBrand ImageLong shelf life of Product

Q10. What are the alternative purchase plane if prefer brand is not available?

Alternative Purchase plans RanksGo to other shop Postpone the purchaseBuy other brandPlace order to get required brandAny other

NAME:

CONTACT:

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