A
BRM Project Report
On
BRAND SUCCESS OF HEALTH CARE DRINKS WITH
SPECIAL REFERENCE IN GHAZIABAD
MASTER OF BUSINESS ADMINISTRATIO 2018-20
Submitted to Submitted by
Prof NEETA SAHU DEEPAK SENGAR
(Student’s Coordinator) Roll No. - 1882070014
AKGIM, Ghaziabad MBA II Semester
AJAY KUMAR GARG INSTITUTE OF MANAGEMENT
27th K.M Stone, NH—24, Delhi Hapur Bypass Road,
Adhyatmik Nagar, Ghaziabad- 201009
ACKNOWLEDGMEN
T
I take this opportunity to humbly express our sincere thanks to all concerned with my research
project titled “STUDY ON BUYING AND READING BEHAVIOUR OF PEOPLE
TOWARDS VARIOUS NEWSPAPERS”.
I express deep feeling of guideline to CA.Neeta Sahu for providing us the opportunity to work
on such an interesting project, without her able guidance and sincere efforts this project could
not have been successfully completed. Her invaluable guidance has proved to be the key to
success in overcoming difficulties I faced during the course of the project work.
I also obliged to all the respondents who took some time out of their schedule and gave
healthy response to our questionnaire
Moreover, I express our deep sense of gratitude to all the staff members of our college, AJAY
KUMAR GARG INSTITUTE OF MANAGEMENT, for their support and guidance to me.
Name : Deepak
Sengar
Roll No.: 1882070014
Date :
CERTIFICATE
This is to certify that work entitled “STUDY ON BUYING AND READING
BEHAVIOUR OF PEOPLE TOWARDS VARIOUS NEWSPAERS” is a BRM
Project Report done by “Ms. SEJAL SINGH” bearing Roll No. “1882070014.Under
my supervision at Ajay Kumar Garg Institute of Management.
I wish her all the best for the future endeavors.
Dr. CA.Neeta sahu.
(Student’s
Coordinator)
AKGIM,Ghaziabad
TABLE OF CONTENTS
Acknowledgemen
t Certificate
Chapter 1: Executive Summary------------------------------------------------------------------- 1
Chapter 2: Introduction
Chapter 3: Objective/problem definition----------------------------------------------------------9
Chapter 4: Research Methodology----------------------------------------------------------------- 11
Chapter 5: Observation and Analysis--------------------------------------------------------------13
Chapter 6: Conclusion-------------------------------------------------------------------------------- 26
Chapter 7: References--------------------------------------------------------------------------------- 27
Chapter 8: Appendices (Questionnaire)-----------------------------------------------------------28
INTRODUCTION
onsumer is the king in modern marketing world. Consumer behavior and attitude helps to determine effective technique
and strategies by the marketers
for attaining great competition advantage in the market. In the modern competitive world people must do heavy work both
mentally and physically to
survive successfully. So that they required more energy and stamina for that they want nutritious and health drinks.
Health is man’s precious possession. It influences all his activities and shapes his destiny. An understanding of health is
the basis of all health care. Health is
wealth. This indicates the importance of health. In fact, health is a key to education, success, good citizenship and happy
life. Without good health an individual
cannot perform efficiently. A healthy individual is like a pillar of a society. The health of an individual by keeping himself
free from disease helps in stopping the
spread of disease in one’s own community and the society at large.
BRAND PREFERENCE
The word “brand” owes its origin to the Norwegian word “brandr” meaning to burn. According to American Marketing
Association, a brand is “a name, term,
sign, symbol or design or a combination of them, intended to identify the goods and services of one seller or a group of
sellers and differentiate them from those
of competitors”. Today, brands function as valuable marks of trust, superior quality, positive equity associations and
differentiating values. Brands have been
building customer loyalty, competitive advantage and positive benefit perceptions for their corporate owners. Corporate
owners brand strategy and tactics are
typically based on an understanding of how consumer brand choice behavior is influenced by marketing factors, such as
quality, price, innovation, creativity,
5
design, packaging and advertisements.
A brand preference is a measure of brand loyalty in which a consumer will choose a particular brand in presence of
competing, but will accept substitutes if that
brand is not available. Brand preference is the stage of brand loyalty at which a buyer will select a particular brand but will
choose a competitor’s brand if the
preferred brand is unavailable.
HEALTH DRINK PRODUCTS
India, the world’s largest malt-based drinks market, accounts for 22% of the world’s retail volume sales. These drinks are
traditionally consumed as milk
substitutes and marketed as a nutritious drink, mainly consumed by the old, the young and the sick. The Health Food
Drinks category consists of white drinks
and brown drinks. South and East India are large markets for these drinks, accounting for the largest proportion of all India
sales. The total market is placed at
about 90,000 ton and is estimated to be growing at about 4%. These Malt beverages, though, are still an urban
phenomenon.
White drinks account for almost two-thirds of the market. GSK Consumer Healthcare is the market leader in the white
malt beverages category with a 60.7%
overall market share. Heinz’s Complan comes in second with a market share of 12-13%. Market leader GSK also owns
other brands such as Boost, Maltova and
Viva.
Currently, brown drinks (which are cocoa-based) continue to grow at the expense of white drinks like Horlicks and
Complan. The share of the brown drinks has
6
increased from about 32% to 35% over the last five years. Cadbury’s Bournvita is the leader in the brown drink segment
with a market share of around 17%.
Other significant players are Nestle’s Milo and GCMMF’s Nutramul.
OBJECTIVES OF THE STUDY
1. To study the factors which are influencing brand preference for different brands.
2. To study the influence of gender on consumer preference for health drinks.
3. To study the influence of income on consumer preference for health drinks
HYPOTHESES DEVELOPMENT
The paper tested the following hypothesis:
1. There is no significant difference between the income of the respondents and brand preference.
2. There is no significant difference between the gender and brand preference.
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GROWTH OF HEALTH CONSCIOUSNESS
Health is an essential input for the development of human resources and the quality of life and
ultimately for the social and economic development of the nation. The health is of greater
importance from the point of view of both individuals and nation.
Health plays a wider role in survival of human beings. Without sound health we cannot do our
work effectively. Our efficiency depends upon healthy body. Health marketers create health
awareness among consumers by means of better advertisement, health organization and company
itself in terms of social responsibility. Consumers want to lives and are increasingly realizing the
importance of a healthy diet, but hectic lifestyles mean that convenience is a must.
GROWTH IN HEALTH FOOD DRINK (HFD) MARKET
The Health food drinks containing namely minerals, vitamins A and C. It is having rich diet
components comes in Health Drinks category. The market is also growing by the Innovations
pioneered by the competitive firms. It is mainly focused on children, youngster, women
(mother). Energy drinks having nutritional values and which is health enhancing. As Health
Drink Industry is producing drinks with nutritional elements and with demanded flavors.
HFD provide nourishment for the family particularly growing children and serve as energy
providers for adults. The market for malted milk powders in India is huge as the product is
widely used as a nutrition and energy supplement by children and adults.
In India the HFD market is valued at approximately Rs.13000 million and nearly 50000 tonnes.
Health Food Drinks provide nourishment for the family, particularly growing children and serve
as energy provides for adults.
MAJOR PLAYERS AND BRANDS
There are many players are surviving in the competitive world. But some of the major players
are:
Glaxo Smithkline Consumer Healthcare – Horlicks, Boost, Viva and Maltova.
Heinz India Private Limited – Complan
Cadbury – Bourvita
Nestle – Milo
Gujarat Co-operative Milk Marketing Federation (GCMMF) – Amul Shakthi.
Glaxo Smithkline Consumer Healthcare (GSKCH) is the leading major player in Indian Health
Food Drinks market. Gsk with four brands in India – Horlicks, Boost, Viva and Maltova. In
India, the Horlicks available has been scientifically caters to the nutritional needs of the Indian
diet. It helps meet the requirements of essential nutrients in children such as iron and vitamins
that aid absorption. Gsk has about 75 per cent market share of India’s health drink market along
with Boost, Viva and Maltova according to a report from press trust of India.
In 1992, as its market share grew, the brand extended itself to a new product—Horlicks Biscuits.
In 1994, it started singing the “micronutrient” story, fol lowed by its “smart nutrients” campaign
in 1998.
Another turning point came in 2005, when the brand released a clinical study which claimed that
children who consumed Horlicks were “taller, stronger, and sharper” than those who did not. For
the first time, the brand tried to communicate with children, not just their mothers.
Beginning a major advertising and marketing campaign along that theme, new variants such as
Horlicks Lite were launched, followed by the revamp of Junior Horlicks in 2006. The latest
variant is Women’s Horlicks, launched this year. The slogan for Horlicks is “The Great Family
Nourisher.” The Innovation of Horlicks are Smart Horlicks, Mother Horlicks, Junior Horlicks,
Women Horlicks and Horlicks Lite.
GSKHC - Boost
Boost is the nutritional health drink, especially for children. Boost is one of the major players in
the Rs. 1400 crore Indian Health Food Drink (HFD) market. The HFD market has two
segments: white powder segment and brown segment. Boost is a malt-based milk additive with
the flavor of chocolate. It is one of the chocolate flavoured health food drinks made by GSK.
Boost has a share of around 12% in the HFD market. Boost is positioned as an energy drink.
The tagline “Boost is the secret of my energy’.
Boost is India’s leading malt-based health food drink in a chocolate flavor. It was developed by
the Company’s Research and Development team in 1974 and launched in 1975-76. It success
characterizes the manner and skill with which Gsk consumer health care has responded to the
changing contours of this product segment in recent times
Boost has a market share of 13.5 per cent country wide amongst all HFD, while in south India –
the biggest region for the category – it commands a market share of 26% (source:ACNeilsen
Retail Audit). Boost has been one of the fastest growing brands in the Indian GSK consumer
portfolio. Realising that the energy segment had a huge potential, GSK india launched the brand
as the ‘Vitaminized Energy Fuel’ with a unique chocomalt taste.
The brand was launched nationally in the early 80s and has always been targeted at 8-14 year old
boys. It success characterizes the manner and skill with which GSK consumer Health and has
responded to the changing contours of this product segment in recent times.
GSKHC - Viva
New Viva is Vitahealth, combination of nine essential vitamins (vitamin
A,C,D,B1,B2,B6,B12,Nilacin and folic acid), iron, phosphours and calcium. Viva contains a
natural goodness of milk, wheat and malted barley.
GSKHC -Maltova
Maltova is chocolate health food drink, was acquired from jahit industries in feb 2000.
According to GSK official resources, to kids Maltova is the fun health drink, which is extremely
tasty and makes nourishment truly enjoyable and exciting. It was relaunched in June 2002 with
an enriched formulation and improved packaging. ...
Cadbury - Bourvita
In early 1990’s Cadbury reentered the Health Drink market with Bournvita, the product of
essential vitamins and minerals. Bournvita has a unique taste that combines the goodness of malt
and chocolate. It gives the child physical and mental alertness resulting in a healthy body and an active mind.
Nestle - Milo
Milo is one the HFD in India it is manufactured by ‘Nestle India Ltd’. Milo is world No.1
chocolate energy drink. Milo benefit home the experience of nestle in producing foods the
world.
Gujarat Co-operative Milk Marketing Federation (GCMMF) – Amul Shakthi
The Gujarat Cooperative Milk Marketing Federation (GCMMF) forays into the white healthfood-drink market with Amul
Shakti, a white beverage. GCMMF is eyeing 10 per cent volume
share of the market within 90 days of launch and becoming the market leader in this category
within three years.
"We believe that the market for health food drinks is a whopping 60,000 tonnes, and
traditionally, the market for white beverages is much larger than for cocoa-based drinks. Since
GCMMF focuses on milk-based products, it is natural for the company to enter markets like
health food drinks," the General Manager-Marketing, Mr R.S. Sodhi, told Business Line.
Amul Shakti is being positioned as a milk food that has "real milk for real nourishment" and
GCMMF says it will provide the brand mass media support to create consumer awareness.
GCMMF is eyeing 10 per cent volume share of the market within 90 days of launch and
becoming the market leader in this category within three years.
MARKET SHARE
Market leaders can improve their profitability by their increasing market share. However,
gaining increasing market share in the served market will not automatically improve
profitability. Much depends on a company’s strategy for gaining increasing market share.
To prepare an effective marketing strategy, a company must study its competitors as well
as its actual and potential customers.
A market leader has the largest market share in the relevant product market. To maintain
dominant, the leader looks for ways to expand total market demand, attempts to protect
its current market share, and perhaps tries to increase its market share.
Companies need to identify competitor’s strategies, objectives, strengths, weaknesses and reaction pattern.
Market leader who stay on top have learned the art of expanding the total market,
defending their current trend.
The major market share of a company will help the company earn goodwill in the market
which is one of the most important achievement for a company.
Market share helps the company in getting easy finance from the market due to its
majority market share and reputation in the market
STRATEGIES
It also describes the various strategies adopted by GlaxoSmithKline Beecham (GSK) such as
introducing sub-brands and variations in the product range, improving the packaging, and
advertising campaigns, etc., to change the image of the Horlicks brand. How the company
diversified its target market in a bid to attract new consumers.
Porter defines strategy “as the creation of a unique and valuable position involving a different
set of activities”.
Customer knowledge – continuous marketing research and Intelligence gathering
Long term outlook – It takes time to analysis each opportunity carefully and prepare the best
product, then commits itself for the long run to make this product a success
Quality strategy: Above and average quality continuously improve them
Line extension strategy : This strategy gains more shelf space and prevents competitors from
moving in to satisfy unmet market needs.
Brand extension strategy: strong brand names to launch new products. Launching a new
product under a strong existing brand name gives the new brand instant recognition and
credibility with much less advertising outlay.
Multi-brand strategy: Several brands in the same product category. Each brands meets a
different consumer want and completes against specific competitors brand.
Heavy advertising and Media pioneer: A pioneer is using the power of TV to create strong
consumer awareness and preferences.
Aggressive sales force: A key to Brand success is the close ties its sales force forms with
retailers.
Product strategies for growth
With immense pressure to grow market share and profits, marketers are always on the lookout
for ways to grow their businesses. Marketers have four variables to play with existing market,
new market, existing product, and new product. Using these four variables a company can have
four strategies to pursue. They can increase their business by serving new products in their
existing products in existing markets.
Customers perspective: Innovations can be of three types on the basis of the extent of change
they because in consumer’s existing habits – Discontinuous innovations, Dynamically
continuous innovations and continuous innovations.
Discontinuous innovation – Discontinuous innovations by their very nature are
discontinuous to every customer segment, since they comprise new to the world products
only. These new products are so fundamentally different from products that already exist
that they reshape markets and competition. The discontinuous innovation causes a
drastic change in customer’s existing habits.
Continuous innovations – Continuous innovation is the other extreme where an existing
product undergo marginal changes, without altering customer habits.
customer may not even perceive these products to be new tough the company may
invested a lot of money to improve its existing products. For instance, health drinks
like
horlicks, boost which are different from existing products only in its brand name,
healthy
ingredients, colour, fragrance, packaging is also a new product, though it is a
continuous
innovation. The continuous innovation should be above the perceptual threshold of
the
customer i.e.there should be a ‘Just Noticeable Difference’ (JND) between the
continuous
innovation and the existing options for the customer to perceive this innovation as
an
improvement.
Dynamically continuous innovation – Dynamically continuous innovation falls
between
the discontinuous and continuous innovation. The changes in customer habits
caused by
such an innovation are not as large as in a discontinuous innovation, and not as
negligible
as in a continuous innovation.
Company’s perspective:
Product replacements – includes revisions and adjustments of existing products,
repositioning and cost reductions
Addition to existing lines – for instance, addition of new brands, new
technologies,
new varieties of flavor, fragrances, size of the product and product forms.
New product lines – when the company moves to new product lines that hitherto
did not
exist in their portfolio. It widens the company’s product mix.
New to the world products – are those products that create entirely new markets.
These
products carry the highest risk since it is difficult to predict customer’s reaction.
Marketing research will be unreliable in predicting demand as people do not really
understand the full benefits of the product until they get a chance of experience
them. It
may take time for the products to be accepted. But if and when these products are
accepted, the company’s gains are huge. Successful new to the world products are
pure
technological innovations which serve a very strong latent need.
KEY-LESSON FOR SUCCESS
The probability of success of the new product should govern every decision that the
company
takes about the innovation process.
Key success indicators such as penetration (the proportion of customers who buy
the new
product at least once) and repeat purchase (the rate at which purchasers buy
again)can be found out.
STUDY ON BUYING AND READING BEHAVIOUR OF PEOPLE TOWARDS VARIOUS NEWSPAPERS
Interpretation-
In the above chart we can see that the interest of consumers to keep aware or have knowledge of current
affairs all over the world. So from survey we get following information about consumer’s interested.
CONCLUSION
All people, whether young or old, they take health drinks for relaxation, refreshment and to get energy. Thus
health drinks have become part and parcel of their
lives. Marketing strategy may give special emphasis on a few elements of marketing mix. Certain key elements
having superior selling edge will have special
emphasis e.g., personalized selling and serving, fine product quality, best value for money, economy, lowest
price, wide distribution network, etc. so the
company needs to be very vigilant in monitoring to determine the type of marketing strategies based on the taste
and preference of the consumers.
Advertisement and taste have major influence on consumers’ preference for Horlicks. Concerning the
advertising media, the study revealed that Television is
the most effective media used for advertising the brand. Horlicks can employ integrated advertising of their
products.
REFERENCES
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Indian Journal of Marketing. Volume xxxvi. Number 4.
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July, Vol.5. Issue1.pp. 78-84.
4. Etzel, M.J., B.J. Walker and W.J. Stanton. (1997). Marketing. USA: Irwin/Mc-Graw Hill.
5. Keller K (2002), “Branding and brand equity”, handbook of Marketing, Sage Publications, London, pp.151-
178.
6. Kotler, P. (1988). Marketing Management: Analysis Planning control. New jersey: Prenctice Hall, Eaglewood
Cliff.
7. Krishnamurthi, L. and S.P. Raj (1991). “An Empirical Analysis of the Relationship between Brand Loyalty
and Consumer Price Elasticity,” Marketing Science,
10,2, 172-183.
8. Menon,A. et al. (1999). “Antecedents and Consequences of Marketing Strategy Making”. Journal of
Markeing 63:1840.
9. Thomas Michael and Nedunchezhian V.R.(2012), “Impact of Media on Consumers’ Brand Preference- A
study on Carbonated Beverage Market with
Reference to Coca-Cola”, European Journal of Social Sciences. Vol.29 No.2, pp. 233-243.
WEBSITES
10. http://en.wikipdia.org/wiki/Horlicks
11. http://en.wikipedia.org/wiki/Milo_(drink)
12. http://www.boost.com/products/ourproducts_boostdrink.aspx
13. http://www.cadburyindia.com/brands/bev l.asp
14. http://www.complanfoods.com/complan_overview.php
