STUDY OF CONSUMER PREFERENCE TOWARDS CADBURY AND NESTLE CHOCOLATES
PROJECT REPORT SUBMITTED TO RIMT-IMCT, IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION
GUIDE:
SUBMITTED BY:
Ms. MANJARI
JASDEEP SINGH KANDHARI ENROLMENT No.632222356
RIMT-INSTITUTE OF MANAGEMENT AND COMPUTER TECHNOLOGY,MANDI GOBINDGARH
DECLARATION Hereby declare that the project report entitled “STUDY OF CONSUMER PREFERENCE TOWARDS NESTLE AND CADBURY CHOCOLATES” submitted for the degree of Master of Business Administration, is my original work and the project report has not formed the basis for the award of any diploma, degree, associate ship, fellowship or similar other titles. It has not been submitted to any other university or institution for the award of any degree or diploma.
Place: Date:
Jasdeep Singh MBA-IV Sem
CERTIFICATE This is to certify that Mr.JASDEEP SINGH of MBA fourth semester of RIMT, Mandi Gobindgarh has completed her project report on the topic of “STUDY OF CONSUMER PREFERENCE TOWARDS NESTLE AND CADBURY CHOCOLATES” under the supervision of Ms.MANJARI faculty member of RIMT-IMCT. To best of my knowledge the report is original and has not been copied or submitted anywhere else. It is an independent work done by him
Ms.Manjari RIMT-IMCT Mandi Gobindgarh
ACKNOWLEDGEMENT Survey is an excellent tool for learning and exploration. No classroom routine can substitute which is possible while working in real situations. Application of theoretical knowledge to practical situations is the bonanzas of this survey. Without a proper combination of inspection and perspiration, it’s not easy to achieve anything. There is always a sense of gratitude, which we express to others for the help and the needy services they render during the different phases of our lives. I too would like to do it as I really wish to express my gratitude toward all those who have been helpful to me directly or indirectly during the development of this project. First of all I wish to express my profound gratitude and sincere thanks to my esteemed learned Director Dr. B.S. Bhatia, Director RIMT, Mandi Gobindgarh, who allowed me to conduct the survey. I would like to thank my professor Ms. Manjari who was always there to help and guide me when I needed help. His perceptive criticism kept me working to make this project more full proof. I am thankful to him for his encouraging and valuable support. Working under him was an extremely knowledgeable and enriching experience for me. I am very thankful to him for all the value addition and enhancement done to me. No words can adequately express my overriding debt of gratitude to my parents whose support helps me in all the way. Above all I shall thank my friends who constantly encouraged and blessed me so as to enable me to do this work successfully. Jasdeep Singh MBA
TABLE OF CONTENTS CHAPTER NUMBER I
CHAPTER NAME
CONTENTS
PAGE
INTRODUCTION
NUMBER 2
CONSUMER PREFERENCE SCOPE OF THE STUDY OBJECTIVES OF THE
3 4 5
STUDY LIMITATIONS OF THE
6
STUDY HISTORY OF CHOCOLATE
10
CHOCOLATE
15
PRODUCTION CONSUMTION OF
19
CHOCOLATE IN INDIA NESTLE’S PROFILE CADBURY’S PROFILE BASIS OF RESEARCH AND
20 25 33
DESIGN ANALYSIS OF DATA FINDINGS CONCLUSION SUGGESTIONS AND
36 61 62 63
INTRODUCTION TO THE STUDY
II
INTRODUCTION OF CHOCOLATE AND COMPANY’S PROFILE
III
RESEARCH & DESIGN
IV
METHODOLOGY FINDINGS & ANALYSIS
RECOMENDETATIONS V VI
BIBLIOGRAPHY ANNEXURE
65 67
LIST OF TABLES TABLE
TITLE
PAGE
NUMBER 1
LIKING FOR THE CHOCOLATES
NUMBER 36
2 3 4 5 6 7 8
DIFFERENT AGE GROUPS PREFERENCE ACCORDING TO AGE GROUPS BRAND PREFERENCE PURCHASE OF CADBURY CHOCOLATES PURCHASE OF NESTLE CHOCOLATES OVERALL PURCHASE OF CHOCOLATES PREFERENCE OF SUBRANDS OF CADBURY
37 38 39 40 41 42 43
9
CHOCOLATES PREFERENCE OF SUB-BRANDS OF NESTLE
44
10 11
CHOCOLATES INFLUENCING FACTORS DURING PURCHASE INFLUENCING FACTORS DURING PURCHASE OF
45 46
12
CADBURY CHOCOLATES INFLUENCING FACTORS DURING PURCHASE OF
47
13
NESTLE CHOCOLATES FACTORS GIVING MOST SATISFACTION TO
48
14
CONSUMERS FACTORS GIVING MOST SATISFACTION TO
49
15
CONSUMERS IN CADBURY CHOCOLATE FACTORS GIVING MOST SATISFACTION TO
50
16 17 18 19 TABLE
CONSUMERS IN NESTLE CHOCOLATE FORM PREFERENCE PACK OF CHOCOLATES PREFERED PROMOTIONAL OFFERS FACTORS AFFECTING PURCHASE TITLE
51 52 53 54 PAGE
NUMBER 20 21 22
MEDIA OF ADVERTISEMENT FREQUENCY OF CONSUMPTION REASONABLE PRICE
NUMBER 55 56 57
23 24
CONSUMER’S BRAND LOYALTY REACTION OF CONSUMERS IF NEW BRAND IS
58 59
INTRODUCED
LIST OF GRAPHS TABLE NUMBER 1 2 3 4 5 6 7 8 9 10 11 12 13 14
TITLE
PAGE
LIKING FOR THE CHOCOLATES DIFFERENT AGE GROUPS PREFERENCE ACCORDING TO AGE GROUPS BRAND PREFERENCE PURCHASE OF CADBURY CHOCOLATES PURCHASE OF NESTLE CHOCOLATES OVERALL PURCHASE OF CHOCOLATES FORM PREFERENCE PACK OF CHOCOLATES PREFERED PROMOTIONAL OFFERS FACTORS AFFECTING PURCHASE MEDIA OF ADVERTISEMENT FREQUENCY OF CONSUMPTION REASONABLE PRICE
NUMBER 36 37 38 39 40 41 42 51 52 53 54 55 56 57
15 16
CONSUMER’S BRAND LOYALTY REACTION OF CONSUMERS IF NEW BRAND IS INTRODUCED
58 59
INTRODUCTION In this research I have survey the product performance and buying behavior of two famous brands of chocolates – Nestle and Cadbury, which are consumed by people of all ages. During this research I have interacted with people of “Ambala”. After this research I came to know how people perceives these products on the variables like price, quality, advertisement, satisfaction, taste, packaging, brand loyalty etc. I also came to know which particular brand of chocolate is most preferred by people of different age groups. In this research I have surveyed that how frequently and how much chocolate they consume, whether they buy small, big or family pack. Trend of ongoing changes in their likings has been shown in the report. In this report I have tried to explain the entire research and facts product wise.
CONSUMER PREFERENCE All marketing starts with the consumer. So consumer is a very important person to a marketer. Consumer decides what to purchase, for whom to purchase, why to purchase, from where to purchase, and how much to purchase. In order to become a successful marketer, he must know the liking or disliking of the customers. He must also know the time and the quantity of goods and services, a consumer may purchase, so that he may store the goods or provide the services according to the likings of the consumers. Gone are the days when the concept of market was let the buyer’s beware or when the market was mainly the seller’s market. Now the whole concept of consumer’s sovereignty prevails. The manufacturers produce and the sellers sell whatever the consumer likes. In this sense, “consumer is the supreme in the market”. As consumers, we play a very vital role in the health of the economy local, national or international. The decision we make concerning our consumption behavior affect the demand for the basic raw materials, for the transportation, for the banking, for the production; they effect the employment of workers and deployment of resources and success of some industries and failures of others. Thus marketer must understand this.
Preference (or "taste") is a concept, used in the social sciences, particularly economics. It assumes a real or imagined "choice" between alternatives and the possibility of rank ordering of these alternatives, based on happiness, satisfaction, gratification, enjoyment, utility they provide. More generally, it can be seen as a source of motivation. In cognitive sciences, individual preferences enable choice of objectives/goals. The study of the consumer preference not only focuses on how and why consumers make buying decision, but also focuses on how and why consumers make choice of the goods they buy and their evaluation of these goods after use. So for success of any company or product promotion it is very necessary to depart its concentration towards consumer preference.
SCOPE OF THE STUDY As learning is a human activity and is as natural, as breathing. Despite of the fact that learning is all pervasive in our lives, psychologists do not agree on how learning takes place. How individuals learn is a matter of interest to marketers. They want to teach consumers in their roles as their roles as consumers. They want consumers to learn about their products, product attributes, potential consumers benefit, how to use, maintain or even dispose of the product and new ways of behaving that will satisfy not only the consumer’s needs, but the marketer’s objectives. The scope of my study restricts itself to the analysis of consumer preferences, perception and consumption of Cadbury and Nestle Chocolates. There are many other brands of chocolates available but my study is limited to two major players of chocolates leaving behind the others. The scope of my study is also restricts itself to Ambala region only.
OBJECTIVES OF THE STUDY This project is based on the comparative study consumer behavior towards Nestle and Cadbury chocolates. Objectives of the study are: The other objective is to know about the customer satisfaction level associated with the product and the customer preference level. To increase customer satisfaction and recapture the market share by fulfilling the customer needs. To study the factors affecting the consumption pattern.
LIMITATIONS OF THE STUDY In attempt to make this project authentic and reliable, every possible aspect of the topic was kept in mind. Nevertheless, despite of fact constraints were at play during the formulation of this project. The main limitations are as follows: Due to limitation of time only few people were selected for the study. So the sample of consumers was not enough to generalize the findings of the study. The main source of data for the study was primary data with the help of selfadministered questionnaires. Hence, the chances of unbiased information are less. People were hesitant to disclose the true facts. The chance of biased response can’t be eliminated though all necessary steps were taken to avoid the same.
Chocolate The very word makes your mouth water. Chocolate is more than just a food: it’s a state of mind.
Chocolates Chocolates! Chocolates! Every body has a liking for them, be they in the form of bar Or a tiny little gem, Or shaped like a rectangle, Or a sphere, a brick or an éclair. For chocolate lovers it is fun, To have them during rain, breeze or sun. They are white and brown in color, And taste sweet and bitter Some have them in a glass of cold coffee, or in the form of a toffee. Some eat them when they are sad Some relish them when they are happy or have sweet dreams, But I feel, to have chocolates We don’t need a reason, ‘Cause we can have it Anytime, any season!
History of chocolate: The origin of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America, who first enjoyed “chocolati” a much-prized spicy drink made from roasted cocoa beans. Throughout its history, whether as cocoa or drinking chocolate beverage or confectionary treat, chocolate has been a much sought after food.
The Aztec empire “Chocolate”(in the form of a luxury drink) was consumed in large quantities by the aztecs: the drink was described as “ finely ground, soft, foamy, reddish, bitter with chilli water, aromatic flowers, vanilla and wild bee honey. The dry climate meant the Aztecs were unable to grow cocoa trees, and had to obtain supplies of cocoa beans from “ tribute” or trade
Don Cortes The Spanish invaded Mexico in the 16th century, by this time the Aztecs had created a powerful empire, and the Spanish armies conquered Mexico. Don Cortes was made captain general and governor of Mexico. When he returned to Spain in1528 he loaded his galleons with cocoa beans and equipment for making the chocolate drink. Soon “chocolate” became a fashionable drink enjoyed by the rich in Spain.
Chocolate across Europe An Italian traveler, Francesco carletti, was the first to break the Spanish monopoly. He had visited Central America and seen how the Indians prepared the cocoa beans and how they made the drink, and by 1606 chocolate was well established in Italy.
Drinking chocolate The secret of chocolate was taken to France in 1615, when Anne, daughter of Phillip 2 of Spain married king Louis 13 of France The French court enthusiastically adopted this new exotic drink, which was considered to have medicinal benefits as well as being a nourishing food. Gradually the custom of drinking chocolate spread across Europe, reaching England in the 1650’s
First chocolate for eating Up until this point all chocolate recipes were based on plain chocolate. It was an English doctor, sir Hans’s sloane, who- after traveling in south America- focused on cocoa and food values, bringing a milk chocolate recipe back to England. The original Cadbury milk chocolate was prepared to his recipe.
History: The earliest record of chocolate was over fifteen hundred years ago in the central America rain forests, where the tropical mix of high rain fall combined with high year round temperatures and humidity provide the ideal climate for cultivation of the plant from which chocolate is derived, the cacao tree. “ Chocolate is made from the cocoa bean, found in pods growing from the trunk and lower branches of the cacao tree, Latin name “ theobroma cacao” meaning “ food of the gods” Cacao was corrupted into the more familiar “ cocoa” by the early European explorers. The Maya brewed a spicy, bittersweet drink by roasting and pounding the seeds of the cacao tree with maize and capsicum peppers and letting the mixture ferment. This drink was reserved for use in ceremonies as well as for drinking by the wealthy and religious elite; they also ate cacao porridge. The Aztecs, like the Mayans, also enjoyed cacao as a beverage fermented from the raw beans, which again featured prominently in ritual and as a luxury available only to the very wealthy. The Aztecs called this drink xocolatl, the Spanish conquistadors found this
almost impossible to pronounce and so corrupted it to the easier “ chocolat” the English further changed this to chocolate. The Aztec’s regarded chocolate as an aphrodisiac and their emperor, Montezuma reputedly drank it fifty times a day from a golden goblet and is quoted as saying of xocolatl: “ the divine drink, which builds up resistance and fights fatigue. A cup of this precious drink permits a man to walk for a whole day without food”
Chocolate in Europe Xocolatl! or chocolat or chocolate as it became known, was brought to Europe by Cortez, by this time the conquistadors had learned to make the drink more palatable to European tastes by mixing the ground roasted beans with sugar and vanilla ( a practice still continued today), thus offsetting the spicy bitterness of the brew the Aztec’s drank. The first chocolate factories opened in Spain, where the dried fermented beans brought back from the new world by the Spanish treasure fleets were roasted and ground, and by the early 17th century chocolate powder – from which the European version of the drink was made- was being exported to other parts of Europe. The Spanish kept the source of the drink- the beans- a secret for many years, so successfully in fact, that when English buccaneers boarded what they thought was a Spanish “ treasurer galleon” in 1579, only to find it loaded with what appeared to be “ dried sheep’s droppings, they burned the whole ship in frustration. If only they had known, chocolate was so expensive at that time, that it was worth it’s weight in silver ( if not gold), chocolate was treasure indeed ! Within a few years, the cocoa beverage made from the powder produced in Spain had become popular throughout Europe, in the Spanish Netherlands, Italy, France, Germany and – in about 1520 – it arrived in England. The first chocolate house in England opened in London in 1657 followed rapidly by many others. Like the already well established coffee houses, they were used as clubs where the wealthy and business community met to smoke a clay pipe of tobacco, conduct business and socialize over a cup of chocolate.
Back to the America’s Event’s went full circle when English colonists carried chocolate (and coffee) with them to England’s colonies in north America. Destined to become the united states of America and Canada, they are now the worlds largest consumers – by far – of both chocolate and coffee, consuming over half of the words total production of chocolate alone.
The Quakers The Quakers were, and still are, a pacifist religious sect, an offshoot of the puritans of English civil war and pilgrim fathers fame and a history of chocolate would not be complete without mentioning their part in it. Some of the most famous names in chocolate were Quakers, who for centuries held a virtual monopoly of chocolate making in the English speaking world – fry, Cadbury and row tree are probably the best known. Its probably before the time of the English civil war between parliament and king Charles 1st that the Quaker’s who evolved from the puritans, first began their historic association with chocolate. Because of their pacifist religion, they were prohibited from many normal business activities, so as an industrious people with a strong belief in the work ethic (like the puritans), they involved themselves in food related businesses and did very well. Baking was a common occupation for them because bread was regarded as the biblical “staff of life”, and bakers in England were the first to add chocolate to cakes so it would be a natural progression for them to start making pure chocolate. They were also heavily involved in breakfast cereals but that’s another story. What is certain is that the fry, row tree and Cadbury families in England among others, began chocolate making and in fact Joseph fry of fry &sons (founded 1728 in Bristol, England) is credited with producing and selling the world’s first chocolate bar. Fry’s have now all but disappeared (taken over by Cadbury) and row tree have merged Swiss company nestle, to form the largest chocolate manufacturer in the world. Cadbury have stayed with chocolate production and are now, if not quite the largest, probably one of the best-known chocolate makers in the world.
Chocolate as we know it The first mention of chocolate being eaten in solid form is when bakers in England began adding cocoa powder to cakes in the mid 1600’s. Then in 1828 a Dutch chemist, Johannes van houten, invented a method of extracting the bitter tasting fat or “cocoa butter” from the roasted ground beans, his aim was to make the drink smoother and more palatable, however he unknowingly paved the way for solid chocolate as we know it. Chocolate as we know it today first appeared in 1847 when fry & sons of Bristol, England – mixed sugar with cocoa powder and cocoa butter (made by the van houten process) to produce the first solid chocolate bar then in1875 a Swiss manufacturer, Daniel peters, found a way to combine (some would say improve, some would say ruin) cocoa powder and cocoa butter with sugar and dried milk powder to produce the first milk chocolate.
CHOCOLATE PRODUCTION The cocoa-bean -- the heart of the sweetest delicacy in the world -- is bitter! This is why, up to the 18th century some native tribes ate only the sweetish flesh of the cocoa fruit. They regarded the precious bean as waste or used it, as was the case among the Aztecs, as a form of currency.
TheVarieties There are two quite different basic classifications of cocoa, under which practically all varieties can be categorised: Criollo and Forastero cocoas. The pure variety of the Criollo tree is found mainly in its native Equador and Venezuela. The seeds are of finer quality than those of the Forastero variety. They have a particularly fine, mild aroma and are, therefore, used only in the production of high-quality chocolate and for blending. However, Criollo cocoa accounts for only 10% of the world crop. The remaining 90% is harvested from trees of the Forastero family, with its many hybrids and varieties. The main growing area is West Africa. The cocoa tree can flourish only in the hottest regions of the world.
TheHarvest Immediately after harvesting, the fruit is treated to prevent it from rotting. At fermentation sites either in the plantation or at, collecting points, the fruit is opened.
Fermentation The fermentation process is decisive in the production of high quality raw cocoa. The technique varies depending on the growing region.
Drying After fermentation, the raw cocoa still contains far too much water; in fact about 60%. Most of this has to be removed.
What could be more natural than to spread the beans out to dry on the sun-soaked ground or on mats? After a week or so, all but a small percentage of the water has evaporated.
Cleaning Before the real processing begins, the raw cocoa is thoroughly cleaned by passing through sieves, and by brushing. Finally, the last vestiges of wood, jute fibres, sand and even the finest dust are extracted by powerful vacuum equipment.
Roasting The subsequent roasting process is primarily designed to develop the aroma. The entire roasting process, during which the air in the nearly 10 feet high furnaces reaches a temperature of 130 °C, is carried out automatically.
Crushingandshelling The roasted beans are now broken into medium sized pieces in the crushing machine.
Blending Before grinding, the crushed beans are weighed and blended according to special recipes. The secret of every chocolate factory lies in the special mixing ratios, which it has developed for different types of cocoa.
Grinding The crushed cocoa beans, which are still fairly coarse are now pre-ground by special milling equipment and then fed on to rollers where they are ground into a fine paste. The heat generated by the resulting pressure and friction causes the cocoa butter (approximately 50% of the bean) contained in the beans to melt, producing a thick, liquid mixture. This is dark brown in color with a characteristic, strong odour. During cooling it gradually sets: this is the cocoa paste.
At this point the production process divides into two paths, but which soon join again. A part of the cocoa paste is taken to large presses, which extract the cocoa butter. The other part passes through various blending and refining processes, during which some of the cocoa butter is added to it. The two paths have rejoined.
CocoaButter The cocoa butter has important functions. It not only forms part of every recipe, but it also later gives the chocolate its fine structure, beautiful lustre and delicate, attractive glaze.
Cocoa Powder
After the cocoa butter has left the press; cocoa cakes are left which still contain a 10 to 20% proportion of fat depending on the intensity of compression. These cakes are crushed again, ground to powder and finely sifted in several stages and we obtain a dark, strongly aromatic powder, which is excellent for the preparation of delicious drinks - cocoa. Cocoa paste, cocoa butter, sugar and milk are the four basic ingredients for making chocolate. By blending them in accordance with specific recipes the three types of chocolate are obtained which form the basis of ever product assortment, namely:
Kneading In the case of milk chocolate for example, the cocoa paste, cocoa butter, powdered or condensed milk, sugar and flavouring - maybe vanilla - go into the mixer, where they are pulverized and kneaded.
Rolling Depending on the design of the rolling mills, three or five vertically mounted steel rollers rotate in opposite directions. Under heavy pressure they pulverise the tiny particles of cocoa and sugar down to a size of approx. 30 microns. (One micron is a thousandth part of a millimetre.)
Conching But still the chocolate paste is not smooth enough to satisfy our palates. But within two or three days all that will have been put right. For during this period the chocolate paste will be refined to such an extent in the conches that it will flatter even the most discriminating palate. Conches (from the Spanish word "concha", meaning a shell) is the name given to the troughs in which 100 to 1000 kilograms of chocolate paste at a time can be heated up to 80 °C and, while being constantly stirred, is given a velvet smoothness by the addition of certain amounts of cocoa butter. A kind of aeration of the liquid chocolate paste then takes place in the conches: its bitter taste gradually disappears and the flavor is fully developed. The chocolate no longer seems sandy, but dissolves meltingly on the tongue. It has attained the outstanding purity, which gives it its reputation.
CONSUMPTION OF CHOCOLATES IN INDIA Chocolate consumption in India is extremely low. Per capita consumption is around 160 gms in the urban areas, compared to 8-10kg in the developed countries. In rural areas, it is even lower. Chocolates in India are consumed as indulgence and not as a snack food. A strong volume growth was witnessed in the early 90’s when Cadbury repositioned chocolates from children to adult consumption. The biggest opportunity is likely to stem from increasing the consumer base. Leading players like Cadbury and Nestle have been attempting to do this by value for money offerings, which are affordable to the masses.
NESTLE’ Nestle India Nestle’ India is a subsidiary of Nestle’ S.A. of Switzerland. The company insists on honesty, integrity and fairness in all aspects of its business and expects the same in its relationships.
Nestle India- Presence Across India Beginning with its first investment in Moga in 1961, Nestlé’s regular and substantial investments established that it was here to stay. In 1967, Nestlé set up its next factory at Choladi (Tamil Nadu) as a pilot plant to process the tea grown in the area into soluble tea. The Nanjangud factory (Karnataka), became operational in 1989, the Samalkha factory (Haryana), in 1993 and in 1995 and 1997, Nestlé commissioned two factories in Goa at Ponda and Bicholim respectively. Nestlé India is now putting up the 7th factory at Pant Nagar in Uttaranchal.
Nestle’ Story Nestlé was founded in 1867 on the shores of Lake Geneva in Vevey, Switzerland and its first product was “Farine Lactée Nestlé”, an infant cereal specially formulated by Henri Nestlé to provide and improve infant nutrition. From its first historic merger with the Anglo-Swiss Condensed Milk Company in 1905, Nestlé has grown to become the world’s largest and most diversified food Company, and is about twice the size of its nearest competitor
in
the
food
and
beverage
sector.
Nestlé’s trademark of birds in a nest, derived from Henri Nestlé’s personal coat of arms, evokes the values upon which he founded his Company. Namely, the values of security, maternity and affection, nature and nourishment, family and tradition. Today, it is not only the central element of Nestlé’s corporate identity but serves to define the Company’s
products,
responsibilities,
business
practices,
ethics
and
goals.
In 2004, Nestlé had around 247,000 employees worldwide, operated 500 factories in approx. 100 countries and offered over 8,000 products to millions of consumers universally. The Company’s transparent business practices, pioneering environment policy and respect for the fundamental values of different cultures have earned it an enviable place in the countries it operates in. Nestlé’s activities contribute to and nurture the sustainable economic development of people, communities and nations. Above all, Nestlé is dedicated to bringing the joy of ‘Good Food, Good Life’ to people throughout their lives, throughout the world.
Nestle’ Brands Milk Products & Nutrition Beverages Prepared Dishes and Cooking Aids Chocolates & Confectionary
MILK PRODUCTS AND NUTRITION: NESTLÉ EVERYDAY Dairy Whitener NESTLÉ EVERYDAY Slim NESTLÉ EVERYDAY Ghee NESTLÉ MILKMAID NESTLÉ Fresh 'n' Natural Dahi NESTLÉ Fresh 'n' Natural Slim Dahi NESTLÉ Jeera Raita NESTLÉ MILKMAID Fruit yoghurt NESTLÉ Milk NESTLÉ Slim Milk BEVERAGES: NESCAFÉ CLASSIC NESCAFÉ SUNRISE NESTLÉ MILO NESCAFÉ 3 in 1 NESCAFÉ Koolerz PREPARED DISHES AND COOKING AIDS MAGGI 2-MINUTE Noodles MAGGI Vegetable Atta Noodles MAGGI Dal Atta Noodles MAGGI Rice Noodles Mania MAGGI Sauces MAGGI Pizza Mazza
MAGGI Healthy Soups MAGGI Healthy Soup- Sanjeevni MAGGI MAGIC Cubes CHOCOLATES & CONFECTIONARY NESTLÉ KIT KAT NESTLÉ KIT KAT LITE NESTLÉ MUNCH NESTLÉ MUNCH POP CHOC NESTLÉ MILKYBAR NESTLÉ MILKYBAR CHOO NESTLÉ BAR-ONE NESTLÉ FUNBAR NESTLÉ Milk Chocolate POLO POLO Powermint NESTLÉ Eclairs
NESTLEKITKAT
are crisp wafer fingers covered with choco layer. NESTLÉ KIT KAT has a unique finger format with a ‘breaking' ritual attached to it.
NESTLÉ KIT KAT is one of the most successful brands in the world and every year over 12 billion NESTLÉ KIT KAT fingers are consumed around the globe.
NESTLE MUNCH
NESTLÉ MUNCH is wafer layer covered with delicious choco layer. NESTLÉ MUNCH is so crisp, light and irresistible that you just ‘can't stop Munching.' NESTLÉ MUNCH is the largest selling SKU in the category! NESTLE MILKY BAR:
NESTLÉ MILKYBAR is a delicious milky treat, which kids love. Relaunched in January 2006 with a Calcium Rich recipe, NESTLÉ MILKYBAR is a favorite with parents to treat their kids with. NESTLE BAR-ONE
is a luscious nougat and caramel with delicious choco layer. NESTLÉ BAR-ONE constantly reminds you that it is ‘Time for Action'. NESTLE Milk Chocolate:
NESTLÉ Milk Chocolate is a milk chocolate with a delicious taste. Kids just love it!
CADBURY How Cadbury Chocolate is made
John Cadbury Milk chocolate for eating was first made by Cadbury in 1897 by adding milk powder John paste to the dark chocolate recipe of cocoa mass, cocoa butter and sugar. By today's standards this chocolate was not particularly good: it was coarse and dry and not sweet or milky enough for public tastes. There was a great deal of competition from continental manufacturers, not only the French,but
also
the
Swiss,
renowned
for
their
milk
chocolate.
Led by George Cadbury Junior, the Bournville experts set out to meet the challenge. A considerable amount of time and money was spent on research and on new plant designed to produce the chocolate in larger quantities. A recipe was formulated incorporating fresh milk, and production processes were developed to produce a milk chocolate 'not merely as good as, but better than' the imported milk chocolate'. Four years of hard work were invested in the project and in 1905 what was to be Cadbury's top selling brand was launched. Three names were considered: Jersey, Highland Milk and Dairy Maid. Dairy Maid became Dairy Milk, and Cadbury's Dairy Milk, with its unique flavour and smooth creamy texture, was ready to challenge the Swiss domination of the milk chocolate market.
By 1913 Dairy Milk had become the company's best selling line and in the mid twenties Cadbury's Dairy Milk gained its status as the brand leader, a position it has held ever since.
COMPANY OVERVIEW OF CADBURY INDIA Cadbury began its operations in 1948 by importing chocolates and then re-packing them before distribution in the Indian market. After 59 years of existence, it today has five company-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi, Mumbai,
Kolkota
and
Chennai).
The
corporate
office
is
in
Mumbai.
Currently Cadbury India operates in three sectors viz. Chocolate Confectionery, Milk Food Drinks and in the Candy category. In the Chocolate Confectionery business, Cadbury has maintained its undisputed leadership over the years. Some of the key brands are Cadbury Dairy Milk, 5 Star, Perk, Éclairs and Celebrations. Cadbury enjoys a value market share of over 70% - the highest Cadbury brand share in the world! Their flagship brand Cadbury Dairy Milk is considered the "gold standard" for chocolates in India. The pure taste of CDM defines the chocolate taste for the Indian consumer.
In the Milk Food drinks segment their main product is Bournvita - the leading Malted Food Drink (MFD) in the country. Similarly in the medicated candy category Halls is the undisputed leader. The Cadbury India Brand Strategy has received consistent support through simple but imaginative extensions to product categories and distribution. A good example of this is the development of Bytes. Crispy wafers filled with coca cream in the form of a bagged snack, Bytes is positioned as "The new concept of sweet snacking". It delivers the taste of chocolate in the form of a light snack, and thus heralds the entry of Cadbury India into the growing bagged Snack Market, which has been dominated until now by Salted Bagged Snack Brands. Bytes was first launched in South India in 2003. Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, it has worked with the Kerala Agriculture University to undertake cocoa research and released clones, hybrids that improve the cocoa yield. Today, Cadbury is poised in its leap towards quantum growth and new categories of business, namely gums, mints, snacking and gifting. It is a part of the Cadbury Schweppes Group, world's No.1 Confectionery Company.
CADBURY WORLD WIDE Cadbury is the world's largest confectionery company and have a strong regional presence in beverages in the Americas and Australia. With origins stretching back over 200 years, today their products which include brands such as Cadbury, Schweppes, Halls, Trident, Dr Pepper, Snapple, Trebor, Dentyne, Bubblicious and Bassett - are enjoyed in almost every country around the world. We employ around 60,00 people. Their heritage starts back in 1783 when Jacob Schweppe perfected his process for manufacturing carbonated mineral water in Geneva,
Switzerland. And in 1824 John Cadbury opened in Birmingham selling cocoa and chocolate. These two great household names merged in 1969 to form Cadbury Schweppes plc. Since then they have expanded their business throughout the world by a programme of organic and acquisition led growth. Concentrating on their core brands in beverages and confectionery since the 1980s, they have strengthened their portfolio through almost fifty acquisitions, including brand icons such as Mott's, Canada Dry, Halls, Trident, Dentyne, Bubblicious, Trebor, Bassett, Dr Pepper, 7 Up and Snapple. -
It employ 60,000 people in over 200 countries
-
Worlds No 1 Confectionery company
-
World's No 2 Gums company
-
World's No 3 beverage company
Cadbury Brands: Chocolates Snacks Beverages Candy SNACKS: Bytes BEVERAGES Bournvita CANDY Halls
CHOCOLATES Dairy Milk 5 Star Perk Celebrations Temptation Eclairs Gems DAIRY MILK
The
story
Cadbury
of Dairy
Milk started way back in 1905 at Bournville, U.K., but the journey with chocolate lovers in India began in 1948. The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of Cadbury Dairy Milk with a variety of ingredients and are very popular amongst teens & adults. Cadbury Dairy Milk has exciting products on offer - Cadbury Dairy Milk Wowie, chocolate with Disney characters embossed in it, and Cadbury Dairy Milk 2 in 1, a delightful combination of milk chocolate and white chocolate. Giving consumers an exciting reason to keep coming back into the fun filled world of Cadbury. Today, Cadbury Dairy Milk alone holds 30% value share of the Indian chocolate market.
5 STAR
the second largest after Cadbury Dairy Milk with a market share of 14%, Cadbury 5 Star moves from strength to strength every year by increasing its user base. Launched in 1969 as a bar of chocolate that was hard outside with soft caramel nougat inside, Cadbury 5 Star has re-invented itself over the years to keep satisfying the consumers taste for a high quality & different chocolate eating experience. One of the key properties that Cadbury 5 Star was associated with was its classic Gold colour. And through the passage of time, this was one property that both, the brand and the consumer stuck to as a valuable association. More recently, to give consumers another reason to come into the Cadbury 5 Star fold, Cadbury 5 Star Crunchy was launched. The same delicious Cadbury 5 Star was now available with a dash of rice crispies. PERK
Cadbury launched Perk in 1996. With its light chocolate and wafer construct, Cadbury Perk targeted the casual snacking space that was dominated primarily by chips & wafers.
With the rise of more value-for-money brands in the wafer chocolate segment, Cadbury Perk unveiled two new offerings - Perk XL and XXL. In 2004, with an added dose of 'Real Cadbury Dairy Milk' and an 'improved wafer', Perk became even more irresistible CELEBRATIONS
Cadbury Celebrations was aimed at replacing traditional gifting options like Mithai and dry- fruits during festive seasons. Cadbury Celebrations is available in several assortments: An assortment of chocolates like 5 Star, Perk, Gems, Dairy Milk and Nutties and rich dry fruits enrobed in Cadbury dairy milk chocolate in 5 variants, Almond magic, raisin magic, cashew magic, nut butterscotch and caramels. The super premium Celebrations Rich Dry Fruit Collection which is a festive offering is an exotic range of chocolate covered dry fruits and nuts in various flavours and the premium dark chocolate range which is exotic dark chocolate in luscious flavours. TEMPTATION
Cadbury Temptations flavours
is
a
range
of
delicious
premium
chocolate
in
five
variants - Roast Almond Coffee, Honey Apricot, Mint Crunch, Black
Forest and Old Jamaica.
RESEARCH METHODOLOGY This chapter describes the methodology of the study. This project is based on information collected from primary sources. After the detailed study, an attempt has been made to present comprehensive analysis of consumption of Cadbury and nestle chocolates consumed by the people. The data had been used to cover various aspects like consumption, consumer’s preference and customer’s satisfaction regarding Cadbury and Nestle chocolates. In collecting requisite data and information regarding the topic selected, I went to the residents of Ludhiana and collected the data.
Survey design: The study is a cross sectional study because the data were collected at a single point of time. For the purpose of present study a related sample of population was selected on the basis of convenience.
Sample Size and Design: A sample of 100 people was taken on the basis of convenience. The actual consumers were contacted on the basis of random sampling.
Research Period: Research work is only carried for 2 or 3 weeks.
Research Instrument: This work is carried out through self-administered questionnaires. The questions included were open ended, dichotomous and offered multiple choices.
Data Collection: The data, which is collected for the purpose of study, is divided into 2 bases: Primary Source: The primary data comprises information survey of “Comparative study of consumer behavior towards Nestle and Cadbury chocolates”. The data has been collected directly from respondent with the help of structured questionnaires. Secondary Source: The secondary data was collected from internet, References from Library.
Data Analysis: The data is analyzed on the basis of suitable tables by using mathematical techniques. The technique that I have used is bar technique.
ANALYSIS OF THE STUDY
LIKING FOR THE CHOCOLATES Table:1 Liking for the Chocolate
Yes
No
Number of Respondents
95
5
Numbe r of Pe rsons
Liking For the Chocolate
100 80 60 40 20 0
95 Yes No
5 Response 1
Chart:1 From the above analysis of the given sample of 100 respondents it is concluded that out of 100 people 95 people likes to eat chocolate while only 5 people don’t prefer to eat chocolate.
DIFFERENT AGE GROUPS
Table:2 AGE GROUPS NUMBER OF
0-10 14
10-20 42
20-30 33
ABOVE 30 11
RESPONDENTS
NUMBER OF RESPONDENTS
AGE GROUPS 50 40 30 20 10 0
42
33 0-10
14
11
10 to 20 20 to 30
1
Above 30
AGE GROUPS
Chart:2 According to the above analysis it is concluded that I have surveyed 100 respondents out of which 14, 42, 33, 11 belongs to age group 0-10, 10-20, 20-30, above30 respectively.
PREFERENCE ACCORDING TO AGE GROUPS
Table:3 BRANDS CADBURY NESTLE
0-10 7 5
10-20 35 6
NO CONSUMTION
2
1
AGE GROUPS 20-30 24 8 1
ABOVE 30 5 5 1
NUMBER OF CONSUMERS
PREFERENCE ACCORDING TO AGE GROUPS 45 40 35 30 25 20 15 10 5 0
1 6 1 8
NONE NESTLE
2 5 7
35 24
CADBURY 1 5 5
0-10 10 to 20 to Above 20 30 30 AGE GROUPS
Chart:3 According to the above analysis it is concluded that people of different age groups prefer mostly Cadbury brand of chocolate while Nestle brand is least preferred by the age group between 10-20. People of age group above 30 equally likes to have both brands.
BRAND PREFERENCE
Table:4 BRANDS CADBURY NESTLE
PREFERENCE BY CONSUMERS 73 22
Brand Preference
No. of Persons
80
73
60 40
22
Cadbury Nestle
20 0 1 Brands Chocolate
Chart:4 From the above analysis of given sample of 93 respondents who eat chocolates it is concluded that only 22 people prefer to eat Nestle chocolates while 73 people likes to eat Cadbury chocolates.
PURCHASE OF CHOCOLATES
PURCHASE OF CADBURY CHOCOLATES Table:5 SUB- BRANDS DAIRY MILK 5 STAR PERK CELEBRATIONS TEMPTATIONS
CADBURY CHOCOLATES NUMBER OF RESPONDANTS 69 64 61 49 41
Number of Persons
Cadbury chocolates Purchased By People
80
69
64
61
60
49
40
41
20 0 1 Sub-brands of Cadbury Chocolate
Dairy Milk
5 Star
Perk
Celebrations
Temptation
Chart:5 From the above analysis of given sample of 73 respondents who eat Cadbury chocolates it is concluded that mostly people has purchased Dairy Milk sub-brand of Cadbury while Temptation is least purchased by the people.
PURCHASE OF NESTLE CHOCOLATES Table:6 NESTLE CHOCOLATES
SUB- BRANDS KIT KAT MUNCH MILKY BAR BAR- ONE MILK CHOCOLATE
NUMBER OF RESPONDANTS 17 19 18 16 11
Number of Persons
Nestle chocolates Purchased by People 19
20 18 16 14 12 10 8 6 4 2 0
18
17
15 11
Sub-brands of Nestle Chocolates Kit Kat
Munch
Milky Bar
Bar-One
Milk Chocolate
Chart:6 From the above analysis of given sample of 22 respondents who eat Nestle chocolates it is concluded that mostly all sub-brands are purchased by people but top most is Munch followed by Milky Bar and Kit Kat. While surveying we have found that many people are not aware of Milk Chocolate.
OVERALL PURCHASE OF CHOCOLATES Table:7 OVERALL PURCHASE OF SUB- BRANDS OF CHOCOLATES SUB-BRANDS PERCENTAGE OF PURCHASE DAIRY MILK 13 5 STAR 12
PERK CELEBRATIONS TEMPTATIONS KIT KAT MUNCH MILKY BAR BAR ONE MILK CHOCOLATE
11 9 7 10 11 11 9 7
Sub-brands of Chocolates purchased By People
9%
7%
13% 12%
11%
11%
11% 10%
7%
9%
Dairy Milk 5 Star Perk Celebrations Temptation Kit Kat Munch Milky Bar Bar-One Milk Chocolate
Chart:7 From the above analysis it is concluded that overall Dairy Milk is purchased by people followed by 5 Star while Temptation and Milk Chocolate is least purchased by people.
PREFERENCE OF SUBRANDS OF CHOCOLATES PREFERENCE OF SUBRANDS OF CADBURY CHOCOLATES Table: 8 SUB- BRANDS
CADBURY CHOCOLATES GRAND TOTAL AVERAGE OF
DAIRY MILK 5 STAR PERK
PREFERENCE 315 220 176
RANKS
(GRAND TOTAL / No. OF RESPONDANTS) 4.3 3 2.4
1 2 3
CELEBRATIONS 136 1.86 4 TEMPTATION 91 1.24 5 According to the above analysis it is concluded that in Cadbury Brand, Dairy milk is the most preferred sub-brand as it is ranked first by the respondents. While Temptation is the least preferred sub-brand of Cadbury chocolates.
PREFERENCE OF SUB-BRANDS OF NESTLE CHOCOLATES Table:9 SUB- BRANDS
NESTLE CHOCOLATES GRAND AVERAGE TOTAL OF
KIT KAT MUNCH MILKY BAR BAR-ONE MILK CHOCOLATE
PREFERENCE 70 64 65 45 30
RANKS
(GRAND TOTAL / No. OF RESPONDANTS) 3.18 2.9 2.95 2.05 1.36
1 3 2 4 5
According to the above analysis it is concluded that in Nestle Brand, Munch is the most preferred sub-brand as it is ranked first by the respondents. While Milk Chocolate is the least preferred sub-brand of Cadbury chocolates.
INFLUENCING FACTORS DURING PURCHASE OVERALL INFLUENCE Table :10 FACTORS FLAVOR/TASTE PRICE QUALITY PACKAGING FORM BRAND IMAGE COLOR SHAPE QUANTITY
GRAND TOTAL 435 295 391 344 301 354 344 297 268 342
AVERAGE 4.58 3.1 4.12 3.62 3.17 3.73 3.62 3.13 2.82 3.6
RANK 1 9 2 4 7 3 4 8 10 6
According to the above analysis it is concluded that on an average mostly people are influenced by flavor/taste followed by quality, brand and image. It is surprised to know that very few people are influenced by price followed by shape of the chocolate.
INFLUENCING FACTORS DURING PURCHASE OF CADBURY CHOCOLATES Table:11 FACTORS FLAVOR/TASTE PRICE QUALITY PACKAGING FORM BRAND IMAGE COLOR SHAPE QUANTITY
GRAND TOTAL 335 235 307 277 231 271 262 224 213 262
AVERAGE 4.6 3.2 4.2 3.79 3.16 3.71 3.59 3.07 2.92 3.59
RANK 1 7 2 3 8 4 5 9 10 5
According to the above analysis it is concluded that on an average mostly people are influenced by flavor/taste followed by quality, packaging and brand. Here color and shape are not all influencing people while purchasing Cadbury chocolates.
INFLUENCING FACTORS DURING PURCHASE OF NESTLE CHOCOLATES Table:12 FACTORS FLAVOR/TASTE PRICE QUALITY PACKAGING FORM BRAND IMAGE COLOR SHAPE QUANTITY
GRAND TOTAL 100 60 84 67 70 83 82 73 55 80
AVERAGE 4.5 2.72 3.82 3.04 3.18 3.77 3.73 3.32 2.5 3.64
RANK 1 5 2 9 8 3 4 7 10 6
According to the above analysis it is concluded that on an average mostly people are influenced by flavor/taste followed by quality, brand and image. Here packaging and shape are not all influencing people while purchasing Nestle chocolates.
FACTORS GIVING MOST SATISFACTION TO CONSUMERS OVERALL Table:13 FACTORS FLAVOR/TASTE PRICE QUALITY PACKAGING FORM BRAND IMAGE COLOR SHAPE QUANTITY
GRAND TOTAL 427 337 367 338 332 358 328 332 335 328
AVERAGE 4.81 3.6 3.86 3.56 3.49 3.77 3.45 3.49 3.52 3.45
RANK 1 4 2 5 7 3 9 7 6 9
According to the above analysis it is concluded that on an average people are most satisfied with the flavor/taste of a chocolate followed by quality and brand. It is surprising to know that although people are satisfied with quality but unsatisfied with the quantity.
IN CADBURY CHOCOLATE Table:14 FACTORS FLAVOR/TASTE PRICE QUALITY PACKAGING FORM BRAND IMAGE COLOR SHAPE QUANTITY
GRAND TOTAL 334 269 282 272 264 282 247 259 258 255
AVERAGE 4.6 3.68 3.86 3.73 3.62 3.86 3.38 3.55 3.53 3.49
RANK 1 5 2 4 6 2 10 7 8 9
According to the above analysis it is concluded that on an average people are most satisfied with the flavor/taste of a chocolate followed by quality and brand. It is surprising to know that although people are satisfied with quality but unsatisfied with the quantity and image.
IN NESTLE CHOCOLATE Table:15 FACTORS FLAVOR/TASTE PRICE QUALITY PACKAGING FORM BRAND IMAGE COLOR SHAPE QUANTITY
GRAND TOTAL 93 68 85 66 68 76 81 73 77 73
AVERAGE 4.2 3.09 3.86 3 3.09 3.45 3.68 3.32 3.5 3.32
RANK 1 8 2 10 8 5 3 6 4 6
According to the above analysis it is concluded that on an average people are most satisfied with the flavor/taste of a chocolate followed by quality and image. It is surprising to know that although people are satisfied with quality but unsatisfied with the form and packaging.
FORM PREFERENCE
Table:16 FORM OF CHOCOLATE
NUMBER
HARD NUTTIES CRUNCHY CHEW
RESONDENTS 33 25 29 20
OF
Form of a Chocolate Prefered by People
Number of Consumers
40 30
33 25
29 20
20
HARD NUTTIES CRUNCHY CHEW
10 0 1 Forms
Chart:8 According to the above analysis it is concluded that most of the people likes to eat hard chocolate and chew form of a chocolate is least preferred.
PACK OF CHOCOLATES PREFERED Table:17 PACK SIZE
NUMBER OF RESPONDENTS
SMALL BIG FAMILY PACK
28 48 19
Number of Consumers
Pack of Chocolate Prefered
60 50 40 30 20 10 0
48 28 19
SMALL BIG FAMILY PACK
1Pack
Chart:9 According to the above analysis it is concluded that out of sample of 95 people who eat chocolates likes to buy big pack. Family pack is mostly preferred by aged people only.
PROMOTIONAL OFFERS Table:18 PROMOTIONAL OFFERS FREE GIFTS
NUMBER OF RESPONDENTS 52
PRICE OFFER ANY OTHER
23 20
Number of Consumers
Effect of Promotional Offers while Purchase 60
52
50 40 30 20
23
20
FREE GIFTS PRICE OFFER ANY OTHER
10 0 Promotional Offers 1
Chart: 10 According to the above analysis it is concluded that out of sample of 95 people who eat chocolate 52 are attracted by free gifts, 23 by price offers while 20 were attracted by some other reasons.
FACTORS AFFECTING PURCHASE Table:19 FACTORS
NUMBER OF
ADVERTISEMENT
RESPONDENTS 65
SUGGESTION FROM FRIENDS AND
16
RELATIVES ATTRACTIVE DISPLAY DOCTORS ADVICE BRAND AMBASSADORS INGREDIENTS
11 15 9 25
Number of Consumers
Factors Affecting Purchase
80
ADVERTISEMENT
60
SUGGESTION FROM FRIENDS AND RELATIVES
40
ATTRACTIVE DISPLAY
20
65
16 11 15
25 9
0 1Factors
DOCTOR'S ADVICE BRAND AMBASSDORS INGREDIENTS
Chart: 11 According to the above analysis it is concluded that Advertisement is the best measure to attract customers to purchase more. Its impact is much more than other factors. While friends and relatives and brand ambassadors also play a significant role in this regard.
MEDIA OF ADVERTISEMENT Table:20 MEDIA OF ADVERTISEMENT TELEVISION NEWSPAPERS BROCHURES HOARDING
NUMBER OF RESPONDENTS 82 7 3 4
DISPLAY
15
Number of Customers
Media of Advertisement influencing the Purchase
100 80
82
60 40 20
7
3
4
15
Television Newspapers Brochers Hoarding Display
0 Media Of 1 Advertising
Chart:12 According to the above analysis it is concluded that television emerges as the best media for advertisement of chocolates that compel consumers to buy. It is much more than other ways as out of 95 respondents 82 are attracted to by through television media while brochures are the least attracting media.
FREQUENCY OF CONSUMPTION Table:21 FREQUENCY OF CONSUMPTION ONCE IN A FORTNIGHT DAILY WEEKLY MONTHLY QUARTERLY
NUMBER OF RESPONDENTS 16 17 39 18 5
Frequency of Consumption
Number of Consumers
50
39
40
Once in a fortnight Daily
30 20
16
17
18
5
10
Weekly Monthly
0 1Frequency
Quarterly
Chart:13 According to the above analysis it is concluded that mostly people purchase chocolates weekly. Only 15 out of 95 purchase chocolates quarterly.
REASONABLE PRICE Table:22 PRICE OF CHOCOLATE BELOW 5 5-10 10-20 20-30 ABOVE 30
NUMBER OF RESPONDENTS 6 23 51 4 11
Number of Consumers
Reasonable Price 60 50 40 30 20 10 0
51
Below5 5 to 10
23 6
10 to 20
4
11
20 to 30 Above 30
1Price
Chart: 14 According to the above analysis it is concluded that the consumer thinks 10-20 Rs is the reasonable price of a chocolate. So it must be worthwhile to know this as it may effect the sale of chocolates.
CONSUMER’S BRAND LOYALTY Table:23 BRAND LOYALTY ACTIONS POSTPONE YOUR PURCHASE SWITCH OVER TO OTHER BRANDS GO TO OTHER SHOP FOR SEARCH OF PREFERED BRAND
NUMBER OF RESPONDENTS 26 24 45
Number of consumers
Brand Loyalty 50 40 30 20 10 0
45 26
Postpone Purchase Switch Brand
24
Search in other Shop
1 Consumers in Action of absence of Prefered Brand
Chart:15 According to the above analysis it is concluded that mostly people are loyal to the brand as in the absence of availability of their preferred brand mostly people like to search for it or they are ready to postpone their purchase.
REACTION OF CONSUMERS IF NEW BRAND IS INTRODUCED Table:24 SHIFT TO NEW BRAND OF THE
NUMBER OF RESPONDENTS
PREFERED PRODUCT NO, NOT AT ALL MAY CONSIDER NO, SHALL NOT CAN’T SAY
35 27 4 29
Number of Consumers
Reaction of consumers if new brand is introduced 40
35
30
29
27
May Consider
20 10
No, Not at all Shall Not
4
Can't Say
0 1 Reactions
Chart:16 According to the above analysis it is concluded that mostly people are addicted to the same flavor or taste and they don’t want to change it as out of 95 respondents 35 are not ready to try new brand at any cost.
REASONS FOR NOT SWITCHING OVER TO OTHER BRANDS All the consumers why they continue to buy the old brand gave various important reasons. The most important reasons given by the consumers were: Taste/Flavor Brand Image Quality Packaging
FINDINGS CONSUMER RESEARCH: Consumer research deals with consumer and their problems and solution to the problems. In this I came to know about the consumers need and expectation levels regarding products and ascertainable levels of consumer satisfaction. PRODUCT RESEARCH:
Under product research I came to know about the modification which consumers wants as to the quality, packing, shape, color, and quantity etc of their favorite chocolate. PRICING RESEARCH: This includes ability to consume, to pay for the product, how much a person can spend on his/her favorite chocolate. In this I have tried to find out consumer’s price expectations and reactions. ADVERTISING RESEARCH: Under this I have concluded that whether the advertisement appeals the consumers or not. This also includes evaluating and selecting the proper media-mix and measuring advertising effectiveness.
CONCLUSION A survey of the people has been conducted to know the liking pattern of the two products Cadbury and Nestle. It is observed that overall people like to eat Cadbury brand rather than Nestle. It is concluded that mostly people preferred Dairy Milk of Cadbury due to its flavor/taste, quality and image and due to its hard form. Some people often like to have a chocolate with good flavor, quality and crunchiness so they are going towards Kit Kat and Munch of Nestle due to its taste and crunchiness.
It is thus concluded from the facts collected that mostly people refer to buy big pack of their favorite chocolate, and sometimes some of them go for small and family pack.
SUGGESTIONS AND RECOMMENDATIONS Company should concentrate more on television for advertisement, as mostly people get attracted through television only. For promotional offers, company should go for free gifts rather than going for other ways. Nestle company should concentrate on its packing as people are least satisfied with it while Cadbury should concentrate on the shape of a chocolate.
People are unsatisfied with the price and quantity of chocolate so companies should concentrate in this regard also.
BIBLIOGRAHY http://www.cadburyindia.com http://www.nestle.com http://www.aphrodite-chocolates.co.uk/history_chocolate.htm http://www.google.com http://www.cadbury.co.nz/carnival/index.htm
http://www.packaging-technology.com/…/cadbury4.html http://www.chocolatereview.co.uk http://en.wikipedia.org/wiki/preference
QUESTIONNAIRE PROJECT REPORT ON CONSUMER PREFERENCETOWARDS NESTLE AND CADBURY CHOCOLATES
Que1. Do you eat chocolate? Yes
No
Que2. Which brand of chocolate do you prefer?
Cadbury
Nestle
Que3. Which sub-brand you have purchased? Cadbury
Nestle
Dairy Milk
Kit Kat
5Star
Munch
Perk
Milky Bar
Celebrations
Bar-One
Temptation
Milk Chocolate
Que4. Rank the sub-brands of chocolates according to your preference? (1 for most preferred) Cadbury
Nestle
Dairy Milk
Kit Kat
5Star
Munch
Perk
Milky Bar
Celebrations
Bar-One
Temptation
Milk Chocolate
Que5. How much importance do you give to the following factors when you purchase a chocolate? (Tick in the desired column) Factors Flavor/taste Price Quality Packaging Form Brand Image
Very Important
Important
Normal
Least Important
None
Color Shape Quantity Que6. How much are you satisfied with the following factors in your preferred chocolate? (Tick in the desired column) Factors Very Satisfied Normal Least Can’t Say Satisfied Satisfied Flavor/taste Price Quality Packaging Form Brand Image Color Shape Quantity Que7. Which form of a chocolate do you like? Hard Nutties Crunchy
Chew
Que8. What pack do you purchase? Small Big Family Pack Que9. Which promotional offers attract you most? Free gifts Price Offer Any other
Que10.Which of these factors affect your purchase? Advertisement Suggestion from friends and relatives Attractive Display Doctors Advice Brand Ambassadors
Ingredients Que11. Which media of advertisement influence your purchase? Television Newspapers Brochures Hoarding
Display
Que12. How frequently do you purchase chocolates? Once in a fortnight Daily Weekly Monthly Quarterly Que13. What according to you is the reasonable price of chocolate? Below5
5-10
20.30
Above 30
10-20
Que14. If your preferred brand is not available for repeat purchase then what will you do? Postpone your purchase Switch over to other brand Go to the other shop to search for your preferred brand Que15. If another brand of the same product appears in the market, will you prefer to stop buying this brand and buy the new brand? No, not at all I may consider No, I shall not
can’t say
Que16. If you don’t like to change to the new brand, then what are the reasons for continuing to purchase the old brand?
PERSONAL DETAILS Name: Address: Age: Between 0-10
Between10-20
Between 20-30
Above 30
Gender: Phone Number: Marital status: Education: Profession:
THANKS
