A PROJECT REPORT ON CONSUMER SATISFACTION TOWARDS HAVMOR ICE-CREAM IN SURAT CITY

Submitted by: Deladvala Mayur N (18) Gohil Vijay K (31)

A Projest Report Submitted in Partial Fulfillment of the Requirements for the Degree of Master of Business Administration [MBA] (Year: 2011-2013)

S.R. Luthra Institute of Management Institute Code: - 750

DECLARATION

We hereby declare that the summer project report on Consumer Satisfaction towards Havmor Ice-cream in Surat city is an original piece of work done by us for the fulfilment of the award of degree of Master of Business Administration. And whatever information has been taken from any source had been duly acknowledge.

We further declare that the personal data and information received from any respondent during survey has not been shared with any one and is used for academic purpose only.

Deladvala Mayur N Gohil Vijay K

ACKNOWLEDGEMENT

First of all we greatly thankful to S. R. LUTHRA INSTITUTE OF MANAGEMENT, SURAT which has given us an opportunity to expose us theoretical knowledge into real practice, in order to carry out project work for our practical completion of an M.B.A. programmed. We also want to thank all faculty members of S. R. Luthra Institute of Management who helped us during our project as our project guide.

EXECUTIVE SUMMARY

We have prepared a project report on Consumer Satisfaction towards Havmor Ice-cream in Surat city. The introduction of the project studied first, it includes conceptual maters of understanding the consumer satisfaction towards Havmor ice-cream. In this the research project effort is applied to find out the satisfaction level of consumer towards Havmor icecream in Surat city. After the theoretical part the research has been taken which is descriptive research, for the research the sample of 50 respondents is taken. The research is done by of primary data collection. The primary data are collected with the help of questionnaire.

TABLE OF CONTENTS Chapters

Declaration Acknowledgement Executive Summary Chapter 1 Introduction 1.1 Industry Profile 1.2 Company Profile Chapter 2 Chapter 3 Literature Review Research Methodology 3.1 Problem Definition 3.2 Objectives of study 3.3 Sampling Method 3.4 Data collection method 3.5 Analyze tools and technique 3.6 Limitation of Report Chapter 4 Chapter 5 Data analysis and Interpretation Findings and Conclusions Recommendation Bibliography Appendix

Particulars

Page No. III IV V 1 11 21 24 24 24 25 25 26 27 44 46 47 48

Chapter 6

LIST OF TABLES No. 1 2 3 4 5

6 7 8 9 10 11 12 13

Particulars
Table 1: Consumer of Havmor Ice-cream Table 2: Sources of knowledge about Havmor Icecream Table 3: Frequency about purchasing Havmor Icecream Table 4: Preference about form of Havmor Ice-cream Table: 5 Flavours of Havmor Ice-cream Table 6: Preference of buying Havmor Ice-cream Table 7: Ranking according to the characteristic of Havmor Ice-cream Table 8: Quality of Havmor Ice-cream Table 9: Rating of Havmor ice-cream in various categories Table 10: Includence of flavours Table 11: Rank of Havmor Ice-cream compare to others ice-cream brand Table 12: Improvement in the field Table 13: Advice other to buy Havmor Ice-cream

Page No. 27 28 29 30 31 32 33 34 35 36 37 38 39

LIST OF CHARTS No. 1 2 3 4 5

6 7 8 9 10 11

Particulars
Consumer of Havmor Ice-cream Sources of knowledge about Havmor Ice-cream Frequency about purchasing Havmor Ice-cream Preference about form of Havmor Ice-cream Flavors of Havmor Ice-cream Preference of buying Havmor Ice-cream Quality of Havmor Ice-cream Includence of flavors Rank of Havmor Ice-cream compare to others ice-cream brand Improvement in the field Advice other to buy Havmor Ice-cream

Page No. 27 28 29 30 31 32 34 36 37 38 39

CHAPTER 1: INTRODUCTION 1.1 INDUSTRY PROFILE

Introduction
Though India has a low per capita ice cream consumption of 300 ml per annum, the trend is slowly changing due to a number of reasons. DARE explores the dynamics of the business. Indian summers are synonymous with ice creams. Come summers, and you will see a number of colourful. Pushcarts selling the choicest of ice creams in numerous flavours from the traditional vanilla and chocolate to unusual varieties like Mother Diarys Shahi Nazrana. If that doesnt baffle you then the ice cream range definitely would, for example the ice cream range for the children would be entirely different from that for the teenagers or for that matter adults. Or, for those who like to have ice cream in peace, there are a number of ice cream parlours that are opening shop. But did you know that a 100 ml scoop of your favourite ice cream that you ordered may contain up to 50% air! This makes the business a highly profitable venture to get into sometimes, the profits can go upto 100%! However, there are several challenges to this business as well. In this story, DARE attempts to find out the dynamics of the business.

The Ice Cream Industry: An Overview

Looking at some industry facts first. In 2007, the global market of ice creams was pegged at $61.6 billion in terms of retail value or 15 billion liters in terms of volume. Of this, the Asia-Pacific ice cream market was worth $13 billion in terms of retail value and 5,128 million liters in terms of volume. Coming to India, the Indian ice cream industry is currently estimated to be worth Rs. 2,000 crores, growing at a rate of approximately 12%. RS Sodhi,

Chief General Manager of Gujarat Co-operative Milk Marketing (GCMMF), the makers of Amul, explains, The ice cream market in India can be divided into: the branded market and the grey market. The branded market at present is 100 million liters per annum valued at Rs. 800 crores. The grey market consists of small local players and cottage industry players. In 2008-09, in the branded ice cream market, Amul held the number one spot, with a market share or 38%, followed by Kwality Walls at 14%, Vadilal at 12% and Mother Diary at 8%. Despite a decent growth rate, the ice cream industry faces the challenge of low per capita consumption.

Industry at a glance The ice cream industry in India is worth Rs. 2,000 crores The industry can be divided into the branded market and the unbranded market. The branded market at present is 100 million litters per annum valued at Rs. 800 crores In 2008-09, in the branded ice cream market, Amul held the number one spot, with a market share or 38%, followed by Kwality Walls at 14%, Vadilal at 12% and Mother Diary at 8% The per capita consumption of ice cream in India is approximately 300 ml, as against the world average of 2.3 litters per annum Vanilla, Strawberry and Chocolate together constitute approximately 60% of the market.

The per capita consumption of ice creams in India is just 300 ml per annum, compared to 22 liters in the US, 18 liters in Australia, 14 liters in Sweden. India is a way too far behind even in terms of the world average per capita ice cream consumption of 2.3 liters per annum. This when India is a country with hot climate with a young population. Pankaj Chaturvedi, Executive Director of Baskin Robins, explains Indian cuisine has a huge range of desserts in its mix. Ice cream always competes against these for attention. Besides desserts, ice cream also vies for attention with other like foods for example in summers with cold drinks, coffee, juice, etc.

Another trend that is witnessing a change is the seasonal nature of the industry. Having said that, the peak season for ice cream still remains the summer months of April-June and dips in the months of November-February. According to the industry players, this trend especially holds true for the North and the Western parts of India. According to Pankaj Chaturvedi, The variation in sales for Baskin Robins can range from 1530% from season to off season depending on geography and brand.

The Ice Cream Business

The ice cream industry has traditionally grown at a healthy rate of 12% year-on-year. The growth in Ice cream industry has been primarily due to strengthening of distribution network and cold chain infrastructure. Channels such as Mobile Vending Units have been increasing year on year to reach out to a larger set of consumers. Besides, consumers also have the choice of trying out varied product offerings from different brands to keep them excited, Paul Thachil, CEO Dairy & Foods, Mother Dairy Fruit & Vegetable.

What exactly is defined as ice cream under the guidelines? The Prevention of Food Adulteration (PFA) Rules, 1955 define ice cream as a frozen product that contains not less than 10% milk fat, 3.5% protein, 36.0% total solids, and 0.5% permitted stabilizer and emulsifier. Players who deviate from these norms tactfully call their product "frozen dessert. However, it is illegal to sell ice cream which has contents below these specified standards. The basic steps in the manufacturing of ice cream are generally first blending the ingredients, pasteurization, and homogenization, aging the mix, freezing, and hardening. Now, during the hardening process, the ice cream mixture is incorporated with air. This is done to make the product light and creamy. This is necessary as without air, ice cream would be like frozen ice. Now the ice cream can contain a considerable quantity of air, even up to half of its volume. This perhaps makes ice cream a business with high profit margin. Manish Vithalani of Space Dotz informs, A ice cream mix (consisting of milk, emulsif ier, sugar and so on) costs about Rs. 60-65 a litter. And in one liter you can add up to one litre of air. Therefore, per liter the mix would cost you approximately Rs 32. If you take an 150 ml cup, you can make 13 cups of ice cream from one litter of mixture. Calculating on that basis, the per cup costing comes to about Rs 5. Now add to that Rs 5 worth of packaging cost, electricity, labour, transportation, advertisement cost etc. It comes to approximately Rs 10 per cup.

Depending on the variety, the profit margin therefore can go up to even 100%. While for bigger players, the distribution and advertising costs eats into the profit margins, for smaller players, it is the volumes that matter.

Paul Thachil
The ice cream industry growth has been primarily due to strengthening of distribution network and cold chain infrastructure. Channels such as mobile vending units have been increasing year-on-year Paul Thachil (CEO Dairy & Foods, Mother Dairy Fruit & Vegetable)

Besides selling their products through kiosks, parlors and push carts, a significant part of the revenue comes from corporate sales. Says Pankaj Chaturvedi, About 55% of our business is contributed by exclusive ice cream parlors and kiosks while 30% is from corporate or food service (as we categorize it) sales. The rest comes in from retail and exports. A chef at a prominent five star Delhi hotel tells us their banquet section itself buys 6 gallons of ice cream from manufacturers on a daily basis. The demand, he informs, goes up to 10 gallons during peak season. What is the cost of setting up a small scale ice cream manufacturing unit? Manish Vithalani says, The cost for setting up a small scale ice cream plant could come to approximately Rs. 10 lakh, including the cost of a ice cream plant, labor (3-4), storage freezers, and so on. This price is not including the land cost. Of late, a number of players who have entered the segment are playing on innovative aspects, for example, natural flavors made from fruits. Some players like Mumbai-based Space Dotz are also coming up with newer technology.

According to Dilip Jagad of Space Dotz, Unlike the normal ice cream, our product comes in the form of balls. Besides, the product has no air content and uses cryogenic technology, used in rocket science. Another noteworthy innovation was the pro-biotic and low fat ice cream bought into the market by Amul.

The Challenges
There are several challenges that affect the industry adversely. As mentioned earlier, the industry players not only face competition from their competitors, but also from other like foods. Though changing, consumers still consider ice cream as a dessert and a side item. Sharing his experience, Sidharth Jaiswal of Joos, a juice bar chain, says, We had introduced ice creams on an experimental basis in our juice outlets in Ahmedabad. We observed that consumers ordered ice creams as a side item or only when they were accompanied by children. We eventually decided not to move ahead with it. Moreover, of the ice cream consumption in India, nearly 60% is accounted to by three flavours of vanilla, strawberry and chocolate. And to be on the safer side, major players tend play around these flavours only. For big players, regional competition from smaller players is another major issue. Another major problem faced by the industry players, especially while expansion, is poor infrastructure such lack of cold storage and in case of rural penetration, even erratic power supply becomes an issue. This is especially true for big players. Manish Vithalani says, Besides the presence of other players, another hurdle is the the high rent charged for floor space, especially in malls. This also becomes a problem when we try to expand.

Ice-cream Introduction
The ice cream market growth picked up after de-reservation of the sector in 1997. Of the total size of Rs 15-16bn, around 30-32% is in the hands of organized sector valued at Rs 4.9bn, rest all is with the unorganized sector. Among the major players in this industry Hindustan Lever has a market share of around 50%, represented mainly by Kwality Walls brand. Amul with an estimated market share of 35% is rapidly gaining market share and lastly Vadilal is the player in the national market with 8-9% of the market share.

Production area
In rural areas, kulfis / ice creams made by small / cottage industry are popular. The market for organized sector is restricted to large metropolitan cities. In small towns and villages, there are thousands of small players who produce ice- creams / kulfis in their home backyard and cater to the local market. Almost 40% of the ice creams sold in the country are consumed in the western region with Mumbai being the main market, followed by 30% in the north and 20% in the south.

Growth promotional activities

The Indian government adopted the policy of liberalization regarding the ice cream industry also and it is since then that this sector has shown an annual growth ranging from 15- 20% per annum for last 1- 2 year. Presently in 1999- 00 it is estimated at worth of Rs1516bn. This growth rate is expected to continue for another next 2- 3 years because of lower base

Types
Indian Ice Cream market can be segmented in three different ways, namely on the basis of flavors; on the basis of stock keeping units / packaging and on the basis of consumer segments. On the basis of flavors the market today has a number of flavors like vanilla, strawberry, chocolate, mango, butterscotch a number of fruit flavors, dry fruit flavors traditional flavors like Kesar- Pista, Kaju- Draksh etc.

The market is totally dominated by Vanilla, Strawberry and chocolate, which together account for more than 70% of the market followed by butterscotch and other fruit flavors.

Ice-cream industry at a Glance

Market Estimated worth USD XX mn in 2008, expected to grow to USD YY mn in 2009 North and west account for a% of total sales High profit margins ranging between b-c% Drivers & Challenges Drivers: Opportunity to capitalize on low consumption levels; growing institutional sales Challenges: Competition with the unorganised sector on price and quality, and lack of welldeveloped cold chain facilities Trends Large investments in advertising Diversification of product portfolio targeting specific consumer segments Partnerships and franchises pursued to boost distribution Falling costs of raw materials offsetting rising milk and sugar prices Competition

A brand is the market leader B and C brand are other strong players The premium segment is dominated by U

Market Overview
The industry is growing steadily with the northern and western regions accounting for the largest consumption

Size and Growth

Worth USD XX mn in 2008 Growing at a % p.a. in 2005-2008 Forecast to increase by b% to reach USD YY mn in 2009

Characteristics
Northern and western regions together account for c% of total market consumption Profit margins range from u% to v% depending on the product segment W % of ice cream sales occur during the summer months of April-June X % of sales is through street vendors Vanilla is the highest selling flavour and together with strawberry and chocolate it accounts for y% of the market

Drivers & Challenges

Key Trends

1.2 COMPANY PROFILE

History

Small Beginning, Big Vision, Great Ambitions. Havmor Ice Cream began its branded life in 1944 in Karachi, in undivided India. By 1947, it was a popular local brand there. But in 1947, in the wake of the partition, its founder Satish Chona had to join the exodus into India, with virtually no moveable assets. Searching for a new turf, he tried out Dehra Dun and Indore, and finally, settled down in Ahmedabad. No, it was not a case of Brand Relocation, or anything else as fanciful. He had to start the venture from scratch again. In fact, he had to begin from a hand-cart at the Ahmedabad Railway Station, churning out the Ice Cream manually. He called this fledgling brand 'Havmor' - a neologism for 'Have More' - which meant the customer got more value for money, and more taste to relish from his Ice Creams.

Perhaps he didn't know it then, but he had laid the foundation for one of Western India's most enduring market legends. And good quality, like good character, wins over the situation sooner or later.

Today, Havmor Ice Cream is a delicious facet of Western India's daily life. It reaches hundreds of thousands of consumers through 100 main outlets and 20000 plus dealers.

That's a very very long way from a hand-cart.

Good Old Values, New Generation Leadership

Mr. Pradeep Chona, son of Late Shri Satish Chona, today heads the Havmor conglomerate. He has continued his father's quality obsession and streak of innovation.

To his father's motto - 'Achchai, Sachchai, Safai'. He added a suffix - Navu Su Che?

Now that is quite simple, but a powerful reason for taste innovation. In fact, that is not even a corporate axiom. It is the question regular Havmor customers ask at frequent intervals. Because they expect Havmor to keep pleasing their palates in new ways, always.

Mr. Pradeep Chona set off a series of Changes at Havmor - in technology, in quality & hygiene standards, in management, in HRD and in the overall corporate environment. This re-engineering was complemented by capacity expansions and a flurry of promotional activities, to maintain the company's market presence intact in competitive times...

Ankit Chona, Mr.Pradeep Chona's son also joined the business after completing his graduation from the United States. He has been a driving force in expanding the Restaurant division as well as popularizing the Company owned Ice Cream & Fast Food parlours known as HAV FUNN. He has brought a lot of innovation and standardization in the business such as SAP, GPS System in all vehicles, metal detectors, camera surveillance system empowered to control from anywhere in the world and many more.

Profile
Our successful business strategy is to provide a good taste. Post its foundation in 1944, Havmor has progressed to become a blue chip Ice Cream brand of Western India, placing itself one of the top three in sales. Through the years we have supplied a varied range of eatables from Ice Creams like Candies, Topo Cones, Kulfis, to snacks like Samosas, Chana Puri, Jumbo Grilled along with a range of international cuisines like Punjabi, Mughlai, Chinese and Continental. Based in Ahmedabad we have a total of 100 parlours and restaurants spread throughout Western India and a dealership of 20000+ covering over 35% of the market share. These numbers indicate nothing more than proving that Havmor has become Gujarats favourite ice cream brand today.

Quality policies
At Havmor, our customers matter the most and our core strategy revolves around them. We believe in caring for our customers and achieve customer satisfaction by establishing and maintaining an effective Quality Management System. It is our prime objective to ensure consistency in quality of products and services. Continuous training is an integral part of the management at Havmor, which ensures constant improvement in individual and team performance.

Standards
Innovation is a way of life at Havmor. And we strive hard to achieve this. Our motto is ensuring customer satisfaction and complete value for money. We take our responsibilities seriously and everyone, from the individual to the company, aspires to achieve a higher level of excellence, in our products, as well as our services.

ISO 9001:2008 Certification

Our standards mean the world to us. Havmor Ice Creams and related

products are manufactured in a state-ofthe-art plant at Naroda, Ahmedabad. Complete hygiene is a key feature in our world-class plants processing

facilities. And the packaging at our plants conforms to international norms.

General Information

Brand name
Type of Organisation Establishment Year General Manager

Havmor
Private Limited Company 1944 Mr. Pradeep Chona.

Havmor food Pvt. Ltd., Office address Relief Road, Ahmedabad.

Havmor food Pvt. Ltd., Factory Address Asarva Road, Ahmedabad.

Competitors

Amul, Vadilal, Kwality walls, Dairy den. Etc.

No. parlours & Restaurant

13 Navrangpura, Satellite, Panchavati, Relief road. International Ahmedabad Satellite, Vastrapur, Arjun complex

Outlet centers

Level of Expand Head quarter Havmor parlour

Product range
Havmor company produces various and different and delicious products. This is the only company that produces maximum products.

Candies
Kala khatta pop Lolly pop Orange bar Kacchi keri Double hit Mini chocobar Kaju candy Classic chocobar 3-D bar Raspberry dolly Mango dolly Chowpaty kulfi Zulu bar

Small Cups (50 ml)

Vanilla Royal gulab

Big Cups (100ml)

Royal gulab Vanilla strawberry Chocolate bonanza Chips kaju drakash Choco chips Butter scotch Kaju anjir Kesar pista Raj bhog.

 Cones (120 ml)

Ringo bings Choco vanilla Strawberry Chocolate Butter scotch Raja rani

Novelties
Malai kufi Cut roll Badam pista kulfi Raja rani roll cut Sandwich ice cream Fifty fifty roll cut Cassata cut Super sunda bon-bon Volcano.

Ice cream soda

Orange Lime

Family and party packs

Royal gulab Vanilla kaju Draksh Butter scotch Chocolate chips Fresh strawberry Bonanza bananza Swish cake Kaju anjir Kesar pista Lonavli Almond carnival Roasted-badam-anjir.

Major Competitors profile

Kwality Wall's
Kwality Wall's is a major producer and distributor of ice cream and other dessert products in India, Pakistan, Sri Lanka, Malaysia and Singapore. It is a company of Hindustan Lever Limited, the arm of Unilever in India, and is an extension of the Wall'sice cream brand of Great Britain. Kwality, the original Indian company, was founded in 1956, and was the first in the region to import machinery for the mass production and sale of ice cream on a commercial scale. In 1995, in view of the growth potential of the frozen confections market, Kwality entered into an agreement with Lever, and has since been known by its current umbrella name. At the same time, other brands acquired by Hindustan Lever, such as GaylordMilkfood, were phased out in favour of promoting the Kwality Wall's brand. This arrangement allows for local production and sale of Wall's products that are popular in its home market, such as the Cornetto cone, and to create local variations on others, such as the Feast Jaljeera Blast.

Kwality Wall's

Type Industry Founded Headquarters Products Parent Website

Subsidiary Food 1956 Mumbai, India Ice cream Hindustan Lever Limited Official Website

Vadilal
Vadilal BSE: 519156 (Vadilal Industries Limited) is ranked as the second largest producer of ice cream in India.[6] It has the largest range of ice-creams in the country, with more than 150 flavors. The group's principal ice activity creams, is to manufacture frozen

Vadilal Industries Limited

desserts and process processed food products. The company is one of the largest processed food players in India with major exports of frozen vegetables, mango pulp, mango milk shake, ready-to-eat snacks, curries and branded breads. 150 stores Vadilal across has Gujarat, approximately Happinezz

Type

Public Listed Company BSE: 519156 Food 1907[1]

Industry Founded

Headquarters Ahmedabad, India[2][3] Ramchandrabhai Gandhi, Key people (Chairman), Rajesh Gandhi Managing Director[4] Ice cream 190.662 crore (US$42.52 million)[5] Vadilal Group Official Website

Rajasthan and Uttar Pradesh. It has also forayed into the world of real estate, chemicals and forex. The Managing Director [8] of Vadilal Industries Ltd., Mr. Rajesh R. Gandhi is the son of the founder Chairman, Mr. Ramchandra R. Gandhi. The Vadilal Company became an official corporate entity in the year 1970, but it traces its origin as far back as 1907. The company aims to be an Indian MNC in ice creams and while providing products and services at an

Products

Revenue

Parent Website

affordable price without any compromise on quality. Its major success factor lies in its ability to cater to different market segment through varied product ranges.

AMUL
The Gujarat Cooperative milk Marketing Federation Ltd, Anand (GCMMF) is the largest food products marketing

Amul (ANAND MILK UNION LIMITED)

organisation of India. It is the apex organization of the Dairy Cooperatives of Gujarat. This State has been a pioneer in organizing dairy cooperatives and our success has not only been emulated in India but serves as a model for rest of the World. Over the last five and a half decades, Dairy Cooperatives in Gujarat have created an economic network that links more than 2.8 million village milk producers with millions of consumers in India and abroad through a cooperative system that includes 13,141 Village Dairy Cooperative Societies (VDCS) at the village level, affiliated to 13 District Cooperative Milk Producers Unions at the District level and GCMMF at the State level. These cooperatives collect on an average 7.5 million litres of milk per day from their producer members, more than 70% of whom are small, marginal farmers and landless labourers and include a sizeable population of tribal folk and people castes. The turnover of GCMMF (AMUL) during 2008-09 was Rs. 67.11 billion. It markets the products, produced by the district milk unions in 30 dairy plants, under the renowned AMUL brand name. The combined processing capacity of these plants is 11.6 million litres per day, with four dairy plants having processing capacity in excess of 1 million Litres per day. The farmers of Gujarat own the largest state of the art dairy plant in Asia Mother Dairy, Gandhinagar, Gujarat which can handle 2.5 million litres of milk per day and process 100 MTs of milk powder daily. During the last year, 3.1 billion litres of milk was collected by Member Unions of GCMMF. Huge capacities for milk drying, product manufacture and cattle feed manufacture belonging to the scheduled

Type Industry Founded

Cooperative Dairy 1946

Headquarters Anand, India Chairman, Kaira District Cooperative Milk Producers' Union Limited. (KDCMPUL) See complete products listing. $2.15 billion (2010-11) 735 employees of Marketing Arm. However, real pool consist of 2.8 million milk producers www.amul.com

Key people

Products Revenue

Employees

Website

have been installed. All its products are manufactured under the most hygienic conditions. All dairy plants of the unions are ISO 9001-2000, ISO 22000 and HACCP certified. GCMMF (AMUL)s Total Quality Management ensures the quality of products right from the starting point (milk producer) through the value chain until it reaches the consumer. Ever since the movement was launched fifty-five years ago, Gujarats Dairy Cooperatives have brought about a significant social and economic change to our rural people. The Dairy Cooperatives have helped in ending the exploitation of farmers and demonstrated that when our rural producers benefit, the community and nation benefits as well. The Gujarat Cooperative Milk Marketing Federation Ltd. cannot be viewed simply as a business enterprise. It is an institution created by the milk producers themselves to primarily safeguard their interest economically, socially as well as democratically. Business houses create profit in order to distribute it to the shareholders. In the case of GCMMF the surplus is ploughed back to farmers through the District Unions as well as the village societies. This circulation of capital with value addition within the structure not only benefits the final beneficiary the farmer but eventually contributes to the development of the village community. This is the most significant contribution the Amul Model cooperatives has made in building the Nation.

CHAPTER 2: LITERATURE REVIEW

The factory of Havmor at Ahmedabad manufactures 100-odd flavors of ice cream in multipleSummary packing options, thereby swelling raw material inventory, SKUs, and related Executive documentation, recalls Rekha Chona, Director, Havmor Ice Cream.Our procurements, storages, productions, delivery points, plant maintenance, customer deep-freeze maintenance & services are scattered geographically,she says. The legacy system catered the need of the individual department but the drawbacks were data redundancy, lack of integration of the system and wastage of time in sourcing and collating data. ERP was the need of the hour.

In August 2009, ice cream maker Havmor decided to implement ERP system across its head office, factory, and the state-of-the-art kitchen and three locations in Ahmedabad. With a 16,000 plus dealer network across Gujarat, Maharashtra, and Rajasthan, the company set February 2010 as the deadline for the rollout. The short implementation window was set keeping in mind the onset of the ice-cream season in March 2010. The factory of Havmor at Ahmedabad manufactures 100-odd flavors of ice cream in multiple packing options, thereby swelling raw material inventory, SKUs, and related documentation, recalls Rekha Chona, Director, Havmor Ice Cream.Our procurements, storages, productions, delivery points, plant maintenance, customer deep-freeze maintenance & services are scattered geographically, she says. The legacy system catered the need of the individual department but the drawbacks were data redundancy, lack of integration of the system and wastage of time in sourcing and collating data. ERP was the need of the hour. THE SOUR TASTE In its two earlier attempts to implement ERP, Havmor was unsuccessful as it had selected a customized software the first time and a non-standard ERP the second time, primarily due to the lower cost of the product and implementation. Project Mission Kamyaab was started to reverse the failures of the previous two attempts.

The firm approached Innova Systems, its Ahmedabad-based system integrator for the past six years. Innova understood the customer requirements and suggested SAP and even interacted with the local SAP team who in turn studied the project requirements two to three times. Earlier, we could not afford SAP as it was a costly proposition for a company of our size. However, SAPs cost effective solution for SMEs changed the dynamics, says Chona. THE MIXED FLAVOR Since Innova didnt have expertise on ERP implementation, it went back to SAP for help, which in turn suggested CMC as the latter had executed similar projects in FMCG vertical, including a wafer manufacturing company. After joint presentations at the customer end, we got an order of ERP software - SAP ECC 6.0 and licensing, says Dave, CEO, Innova Systems (India). Looking at the previous two failed attempts and limited time in hand, we did not want to experiment at the site of a loyal customer, says Dave. Experimenting and probably failing would have also meant losing the related Rs 1 crore plus hardware purchase order for Innova Systems. The trade off was outsourcing the ERP implementation part worth Rs 34 lakh to CMC. Innova and CMC embarked on this project at Havmor in September 09 with a plan to complete it by Feb10. Havmor management realized that this was an ambitious initiative cutting across all the departments and would result in major changes in the job functions. THE RIGHT INGREDIENTS With SAP implementation, Havmor also needed hardware refresh in terms of servers, storage, and networking gear at its data enter. Also, there was a need for 100 plus PCs (desktops and laptops). Hardware supply and system integration has been core expertise of Innova Systems and hence they bagged this project, which was over Rs 1 crore including hardware, its integration, and software licenses. We supplied all hardware, implementation and SAP configuration issues like clustering. Due to SAP, the associated hardware must be new and also new purchases were done due to new staff at Havmor,says Dave. The entire active and passive networking infrastructure including switches, routers and structured cabling was also executed by Innova.

Innova Systems would soon connect the locations of Havmor through Tulip for WAN. We did contemplate open source than Microsoft during the project as it means cost savings for customer. But Havmor did not have dedicated staff which is needed for open source deployments, says Dave. Innova supplied manpower to CMC to ensure speedy work and more co-ordination between teams to meet the deadline. As a system integrator, Innova Systems tried to address our pain areas, from identifying SAP and their SME rates, partner collaboration, and hardware integration. They also suggested the project financing option, said Chona.

Havmor Ice Cream looking to double its presence

@Franchise India: Ahmedabad-based chain of ice cream parlours, Havmor Ice Cream, plans to double its presence in India in next one year. Currently, it is operating through 60 outlets across the various cities of Gujarat, through a mix of company owned and franchised outlets. The company is targeting few more cities of Gujarat like Surat, Rajkot, Jamnagar etc. to mark its presence across the nation. Besides this, the company is also looking at expanding in countries like US and Dubai through franchising. (Rahul Gupta and Yogesh Gupta, 2010).

CHAPTER 3: RESEARCH METHODOLOGY PROBLEM DEFINITION

Customer Satisfaction towards Havmor Ice-cream in Surat City.

OBJECTIVE OF THE STUDY

To find out the Satisfaction level towards Havmor Ice-cream in Surat City. To find out customers favourite flavour of Havmor ice-cream. To find out the how the customer rank according to various characteristic of Havmor ice-cream. Where they rank Havmor Ice-cream as compared to leading market Ice-cream companies.

RESEARCH DESIGN
In this project, the Descriptive research design has been used in which the data are collected by cross sectional research design. As the study is done to know the Satisfaction of customer towards Havmor ice-cream only and as it only describes the level of awareness and not explains anything the study is descriptive study.

NON PROBABILITY SAMPLING

Non probability convenience sampling design is used in this project. On probability is that sampling procedure which does not afford any basis for estimating the probability that each item in the population has of being included in the samples.

RESEARCH INSTRUMENT
Questionnaire is used for the purpose of data collection as the research instrument.

SAMPLE SIZE
The sample size taken for the survey purpose is of 50 people from Surat city.

Pre-testing:
Before the final survey, 5 people were surveyed first to check the validity of the questionnaire.

Execution of sampling process:

Data are collected from the people of Surat city through personal interview with them.

DATA COLLECTION:
For the preparation of the project both types of data are used. Primary Data Secondary Data

Primary Data:
Primary data are those data which are collected by the researcher for the first time for his use. These data are pure and therefore more reliable. Primary data gives the original picture of the study or situation for which they are collected. In this project, the primary data are collected through the use of survey method. In the survey the respondents were personally interviewed for data collection.

Secondary Data
Secondary data are those data which are once collected by any other person in past for his purpose and now being used by the researcher for his purpose. These data are less reliable compared to primary data because these data may be obsolete with the passing of time and may have bias information.

In this project, most of the secondary data are collected from internet. Some data regarding the company were obtained with the help of the company guide.

Geographical Area:
Surat city is selected to study the Satisfaction of consumer towards Havmor ice-cream.

LIMITATIONS OF THE RESEARCH

During the project following hurdles are faced. Probability sampling was not used therefore the results cannot be generalized to the population. As many of the respondents were not that much familiar with English, I needed to explain each and every question in Guajarati or Hindi to them. Research only conducted within limited geographical area only which is Surat.

CHAPTER-4 DATA ANALYSIS AND INTERPRETATION

Are you consumer of Havmor Ice-cream? Yes No 100 0

Table 1: Consumer of Havmor Ice-cream

Chart 1: Consumer of Havmor Ice-cream

44.2 44 43.8 43.6 43.4 43.2 43 42.8 42.6 42.4 Newspapers Radio

Frequency

Interpretation:
Here its all respondents are consumer of Havmor Ice-cream so that getting information about Havmor ice-cream and its quality become easier as every respondent knows the Havmor icecream and the consumer of Havmor Ice-cream.

 How you come to know about Havmor ice-cream?

Frequency Newspapers Radio Hoardings Family or Friends Others 18 17 3 8 4 Percentage ( % ) 35.77 34.95 0.05 22.76 0.02

Table 2: Sources of knowledge about Havmor Ice-cream

Chart 2: Sources of awareness about Havmor Ice-cream

50 45 40 35 30 25 20 15 10 5 0

Frequency Percentage ( % ) Newspap ers 44 35.77 Hoarding Family or s Friends 6 0.05 28 22.76

Radio 43 34.95

Others 2 0.02

Frequency Percentage ( % )

Interpretation: Here from the diagram, its clearly represents that Newspapers and Radio is most prominent source for the awareness of Havmor Ice-ream. Then comes Family or friends which influence the behavior of buying. Some respondents suggest T.V. also for the knowledge about Havmor Ice-cream.

 How frequently you purchase Havmor ice-cream?

Once a week More than once a week Once a month On a special occasion 48 33 10 09

Table 3: Frequency about purchasing Havmor Ice-cream

Chart 3: Frequency of purchasing Havmor Icecream

60 50 40 30 20 10 0 Once a week Frequency 48 More than once a week 33 On a special occasion 9 Frequency

Once a month 10

Interpretation: The graph mentioning that majority of respondents purchase ice-cream once a week that shows the at the medium flow of consumption of Havmor Ice-cream. If there was more frequency in More than once a week then it would have been better position for the company to sell out ice-cream in market. There are also respondents who buy the Havmor Ice-cream on special occasion only.

 In what form do you prefer to have Ice-cream?

Frequency 57 63 44 55 62 Table 4: Preference about form of Havmor Ice-cream Percentage ( % ) 20.28 22.42 15.66 19.57 22.06

Candy Cup Cone Family pack Roll Cuts

Chart 4: Prefrence about forms of Havmor Icecream

70 60 50 40 30 20 10 0 Candy Frequency Percentage ( % ) 57 20.28 Cup 63 22.42 Cone 44 15.66 Family pack 55 19.57 Frequency Percentage ( % )

Roll Cuts 62 22.06

Interpretation:
As you can see in the chart, there are somewhat equal amount of responses about forms of Havmor Ice-cream. It shows the consumer are happy with the all kind of forms Havmor providing for their consumers. However if look at the exact figure, the cup and Roll-cuts having most preference of consumer according to form of Havmor Ice-cream.

 Which flavours of Ice-cream you buy most? Frequency 47 62 39 54 47 46 12

Table: 5 Flavours of Havmor Ice-cream

Vanilla Strawberry Chocolate chips American Dry Fruits Pina chips Kesar pista Any other

Percentage ( % ) 15.31 20.20 12.70 17.59 15.31 14.98 00.04

Chart 5: Flavors of Havmor Ice-cream

70 60 50 40 30 20 10 0 Vanilla Frequency 47 Americ Strawb Chocola an Dry erry te chips Fruits 62 20.2 39 12.7 54 17.59 Pina chips 47 15.31 Kesar pista 46 14.98 Any other 12 0.04 Frequency Percentage ( % )

Percentage ( % ) 15.31

Interpretation: Most of the respondents prefer Strawberry as their favorite flavor. Then comes American dry fruits, Vanilla, Pina chips, Kesar pista respectively. In other section, consumer have suggested in their favorite flavor as Rajbhog, Green pista, Afghani Dry-fruit, Kaju kismis, Badam Kaju Pista, Black current etc.

 Normally from where you usually buy Havmor Ice-cream? Ice-cream parlours Restaurant Local Ice-cream shops others 30 47 20 03

Table 6: Preference of buying Havmor Ice-cream

Chart 6: Preference of buying Havmor Ice-cream

50 40 30 20 10 0 Icrecream Restaurent parlors Frequency 30 47 Local Icecream shops 20 Frequency

others 3

Interpretation:
As we can see from this diagram most of the respondents prefer restaurant while purchasing the Havmor Ice-cream. 30 respondents like to purchase Havmor ice-cream from the official Havmor outlet and other prefer to buy ice-cream from Railway Station and Bus-station.

 What rank you would like to give according to following characteristic of Havmor Ice-cream?

1 Price Availability Quality Flavours Offers 29 28 32 8 4

2 44 31 6 10 7

3 10 17 38 23 12

4 4 16 15 45 22

5 13 8 9 14 55

Table 7: Ranking according to the characteristic of Havmor Ice-cream

Interpretation: By analyzing the table of content the most least important factor that consumer thinks it is Quality. The company should have to generate awareness programme about quality of Havmor ice-cream. The most important factor the consumer thinks it is Offers. Havmor comes with a very innovative offers range so it can be the one of the reason for most desirable characteristic according to the consumers. And price becomes 2 nd most important factor for consumers.

 What do you think about quality of Havmor Ice-cream? Excellent Good Neutral Bad Very bad
Table 8: Quality of Havmor Ice-cream

38 50 10 2 0

Chart 7: Quality about Havmor Ice-cream

60 50 40 30 20 10 0 Frequency Excellent 38 Good 50 Neutral 10 Bad 2 Very bad 0 Frequency

Interpretation:
Here the effort is made that how the customer is satisfy with the quality of Havmor icecream, this help to analyze that test and quality of Havmor Ice-cream products with the consumers tests and preferences. Here, majority of respondents feels the quality of Havmor ice-cream is: Good. Its positive direction for the company to strive their efforts in improving the more quality which can highly satisfy for consumers.

 How would you rate the Havmor ice-cream in following categories?

Characteristics 1 Value for money Sweetness Packaging Customer services Advertisement Verities

Most Fav._____________Less Fav. 2 10 69 37 21 16 29 3 5 5 17 30 37 15 4 13 14 13 5 3 5 1 7 4 7 9 85 12 25 31 35 44

Table 9: Rating of Havmor ice-cream in various categories

Interpretation:
1. Value for money: The value for money is most favorable category for consumer. So company should have to come with a economic schemes which can attract consumer. 2. Sweetness: Sweetens falls in 2nd rank as favourable only for consumers. The sweetness having no major problem for consumers. 3. Packaging: Packaging includes shape, design , durability of ice-cream which is 2nd most favorable for consumers. 4. Customer services: Customer service include the after selling service which can include hearing the matter regarding to the quality of product or any other quarries of consumers which is average favorable for consumers. 5. Advertisement: Advertisement having average favorability for consumers. 6. Verities: Consumers wants to include more verities in the product of Havmor icecream so it is most favorable variable for Consumers.

 Would you like to include any flavours in Havmor ice-cream?

Yes No

19 82

Table 10: Includence of flavours

Chart 8: Includence of Flavours

90 80 70 60 50 40 30 20 10 0 Frequency Yes 19 No 82 Frequency

Interpretation:
This helps to company include more verities in its product range. However most of the respondents respond No but some of the respondents (19) suggest some of the flavors which include Ginger, Vegetables, Litchi-Strawberry candy, Lassi kulfi, Badam kesar icecream, Mirchie Ice-cream etc.

 Where you think Havmor ice-cream rank as compared to other icecream available in market?

Top Next best Average Bottom

49 50 1 0

Table 11: Rank of Havmor Ice-cream compare to others ice-cream brand

Chart 9: Rank of Havmor Ice-cream compare to others ice-cream brand

60 50 40 30 Frequency 20 10 0 Frequency Top 49 Next best 50 Average 1 Bottom 0

Interpretation:
This graph showing equal amount of responses which is : Top and Next best which represents that Havmor company can be the strong preference for consumer for buying Icecream or can be the second best option for consumers.

 In which field you can think Havmor Ice-cream improves more? Frequency Price Quality Quantity Availability Any other 30 39 23 33 01
Table 12: Improvement in the field

Percentage ( % ) 23.81 30.95 18.25 26.19 0.007

Chart 10: Improvement in the field

45 40 35 30 25 20 15 10 5 0 Frequency Percentage ( % ) Price 30 23.81 Quality 39 30.95 Quantity 23 18.25 Availability Any other 33 26.19 1 0.007 Frequency Percentage ( % )

Interpretation:
From the following chart the majority of consumers want improvement in the field of quality. While the quantity having less consideration so we can say that Havmor Ice-cream having a great efficiency in maintaining quantity of ice-cream.

 Will you advice others to buy Ice-cream? Yes No 99 01

Table 13: Advice other to buy Havmor Ice-cream

Chart 11: Advice other to Buy Havmor Ice-cream

120 100 80 60 40 20 0 Frequency Yes 99 No 1 Frequency

Interpretation:
From the following chart its clearly mention that almost every respond will advice other to buy Havmor ice-cream.

Chapter 5: FINDINGS AND CONCLUSIONS

Here are the some of the findings we made after analysing the respondents responses.
Havmor Ice-cream is liked by majority of people as we saw earlier in the chart. More than 50% Havmor ice-cream customers like quality of Havmor Ice-cream. The most feasible awareness sources of Havmor Ice-cream are Newspaper and Radio compare to other sources like Hoardings and Family of Friends. Most of the consumers prefer buying of Havmor Ice-cream once a week. There is almost similar waightage to forms of ice-cream product of Havmor Ice-cream consumer would like to have. The most favourite ice-cream of consumer is Strawberry, American Dry-fruit and Vanilla. Most of the consumer buy Ice-cream from the restaurant then Ice-cream parlors. Quality is least significant rank given by consumers about Havmor Ice-cream. Whereas, Offers are most significant rank given by consumers. Most of the consumers find quality of Havmor ice-cream is GOOD. The respondents suggest some of the flavors which include Ginger, Vegetables, Litchi-Strawberry candy, Lassi kulfi, Badam kesar ice-cream, Mirchie Ice-cream etc. in the suggestion. Consumers want improvement in the quality of Havmor Ice-cream. Most of the consumers would like to suggest Havmor Ice-cream to others.

CONCLUSION
The survey resulted into following conclusions: HAVMOR must come up with new promotional activities such that people become more aware about Ice-cream,

Quality is the dominating aspect which influences consumer to purchase HAVMOR product, but prompt availability of other brands and aggressive promotional activities by others influences the consumer towards them and also leads to increase the popularity of brand.

People are mostly satisfied with the overall quality of HAVMOR Products, but for the existence in the local market HAVMOR must use aggressive selling techniques.

Consumers purchase Ice-cream from Restaurant more than the Havmor parlours so company should have to increase awareness level of consumers towards Havmor icecream parlours and promote schemes at Havmor outlets.

CHAPTER 6: RECOMMENDATIONS

On careful observation of Havmor Ice-cream, we have the following suggestion for Havmor Ice-cream, Surat which on proper implementation may provide a big boost to it.

We have observed that people of age group 20 to 30 are maximum consumer of Havmor Ice-cream. So the target market for Havmor Ice-cream is people of age group 20-30 years & also kids of age group 10-20 because kids are always easy targets.

All information regarding Havmor and its products should be available on internet. Increase in advertisement and publicity. Motivation program for booth and parlor owners. Glow sign boards should be provided to booth and parlor owners. New flavours of Havmor Ice-cream should be launched like ice-cream. Inspection and frequent check of booth and parlors.

BIBLIOGRAPHY

Book reference:
Kotler, P. (2007). Marketing Management 13th edition, published by Pearson Education, Inc. Delhi. Bhattacharyya, D. (2010). Research Methodology 2nd edition. New Delhi: India Sales Offices.

Web Reference:
Havmor Ice CreamLimited (N. D.), Retrieved November 16, 2011, From www.havmore.com Paul Thachil (November 1, 2009). Ice Cream Industry in India. Retrieved November 16, 2011, from http://www.dare.co.in/opportunities/other-business-opportunities/icecream-industry-in-india.htm Indial AGRO Industry (N. D.). Agricultural Commodities. Retrieved November 16, 2011, from http://agro.indiamart.com/agricultural-commodities/icecream.html Yogesh Gupta (2010). Innova Systems implements ERP at Havmor Ice Cream. Retrieved November 16, 2011, from http://www.channelworld.in/case-study/erpglobal-ingredients-local-flavor

Questionnaire
Consumer Satisfaction Towards Havmor Ice-creams Surat City Dear Respondent,

We are students of S.R.Luthra Institute of Management (Surat, Gujarat) and doing a survey for a study for which we intend to pose a questionnaire to find out customer satisfaction towards Havmor Ice-creams. Your cooperation is deeply solicited to provide the relevant information. I assure that information will be kept confidential and use for academic purpose only. Thank you.

Name: __________________________

Age: _____

Gender: Male: _____

Female: _____

Occupation: ______________________

Contact no. (M): ___________________

1. Are you a consumer of Havmor Ice-Cream? O Yes O No

2. How you come to know about Havmor ice-cream? O Newspapers O Family or Friends O Radio O Hoardings

O Others, Please specify ______________

3. How frequently you purchase Havmor Ice-creams? O O Once a week Once a Month O More than once in week O On a special occasions only

4. In what form do you prefer to have Ice Cream? ( Multiple tick mark allowed) O Candy O Family pack O Cup O Roll Cuts O Cone

5. Which flavors of Havmor Ice-cream you buy most? (Multiple tick marks allowed) O Vanilla O American Dry fruits O Strawberry O Paina chips O Chocolate chips O Kesar pista

O Any other: ____________

6. Normally, from where you usually buy Havmor Ice-creams? O Ice-Cream parlors O Local Ice cream shops O Restaurants O Any other _________

7. What rank would you like to give according to following characteristics of Havmor Ice-creams? (Rate on a scale of 1 to 5, 1: least important and 5: the most important)

Price Availability Quality Flavors Offers

_______ _______ _______ _______ _______

8. What do you think about quality of Havmor Ice-Cream? O Excellent O Good O Neutral O Bad O Very Bad

9. How would you rate the Havmor Ice-Cream in following categories? Most favourable 1 2 ____ 3 Less favourable 4 5

Characteristics Value for money Sweetness Packaging Customer Services Advertisement Verities

10. Would you like to include any flavour in Havmor Ice-Cream? O Yes O No If yes, what is that flavour _________

11. Where you think Havmor Ice-cream ranks as compared to other Ice creams available in market? (Amul, Vadilal, Kwality walls, etc.) O Top O Next best O Average O Bottom

12. In which field you can think Havmor Ice-cream improves more? O Price O Availability O Quality O Quantity

O Any other ____________

13. Will you advice other to buy Havmor Ice cream?

O Yes

O No

Thank you for your valued opinion