CHAPTER 1: INTRODUCTION

Given a much broader array of product choices offered in the current market and ubiquitous
marketing efforts, consumers often turn to a favorite brand to facilitate their purchase decisions.
A brand includes a name, symbol, design, or experience that help consumers identify products,
services, or differentiate offerings among competitors (Aaker, 1991; Keller, 2008; Neumeier,
2006). Brand identity, which is a group of associations developed by firms, communicates with
consumers what a brand provides (Aaker, 2007; Keller, 2008).

Academic literature clearly addressed the importance of building a strong emotional relationship
between consumers and brands (Carroll & Ahuvia, 2006; Keller, 2001, 2008; Taylor, Cluch, &
Godwin, 2004). According to Kellers (2001) more recent conceptual framework, consumers
positive brand feelings lead to favorable responses towards a brand, such as attitudinal
attachment and behavioral loyalty. Similarly, recent literature on branding has argued that an
emotional brand experience is important to foster brand loyalty and purchase intentions (Albert,
Merunka, & Valette-Florence, 2008; Carroll & Ahuvia, 2006; Chaudhuri & Holbrook, 2001;
Esch et al., 2006; Nowak, Thach, & Olsen, 2006; Pawle & Cooper, 2006; Taylor, Celuch, &
Goodwin, 2004; Thomson, MacInnis, & Park, 2005). Moreover, brand consulting and advertising
industry literature (Gob, 2001; Lindstrom, 2005; Neumeier, 2006; Riesenbeck & Perrey, 2007;
Roberts, 2004, 2006) has illustrated the importance of building deep emotional connections with
consumers to augment brand loyalty.

1.1. OBJECTIVES OF
STUDY

This Project work has certain objectives behind it. Without any proper objective one cannot plan
its implementation. If the objective of the study is not proper then the whole research is of no
use.

In India there are many sectors where the different companies or @rganization functions within,
we have chosen the Patanjali, ayurvedic and herbal sector which directly deals with people
issues.
Basically our main objective was to see that the bend of the Indian people towards Patanjali is
because of it being a swadeshi brand, herbal and ayurvedic brand or some of the other factors.

Along with this there are some objectives of this study:

To study Patanjali as a brand and its product mix.

To analyze consumer perception about Patanjali as a brand and its products.

To analyze impact of brand image on loyalty intentions.

To analyze and identify important factors influencing Patanjali as a brand.

1.2. DEFINITIONS OF TERMS

The following definitions are the major terms investigated in the present study.

1.2.1. BRAND IMAGE: Akaah, (1988) conclude that consumers are more likely to
purchase well-known brand products with positive brand image as a way to lower
purchase risks. This argument is also supported by Rao and Monroe, (1988) that a brand
with a more positive image does have the effect of lowering consumers product
perception risks and increasing positive feedback from consumers. Therefore, consumers
generally believe they can make a satisfying purchase by choosing well-known brands
and also lower any purchase risks by doing so. How much is a brand worth? How does a
brand represent the product? Keller, (1993) defines a brand image as an association or
perception consumers make based on their memory toward a product. Thus, brand image
does not exist in the technology, features or the actual product itself, but is something
brought out by promotions, advertisements, or users.

Thakor et al. (1997) said that through brand image, consumers are able to recognize a
product, evaluate the quality, lower purchase risks, and obtain certain experience and
satisfaction out of product differentiation. When it comes to experiential product
evaluation, a positive brand image may make up for an inferior image of the origin
country and raise the possibility of the product being selected. According to Grewal et al.
 (1998) the better a brand image is, the more recognition consumers give to its product
quality. Consumers are usually limited in regards to the amount of time and product
knowledge to make an informed purchase decision when facing similar products to
choose from. As a result, brand image is often used as an extrinsic cue to make a
purchase decision.

Kotler, (2000) contends that brand is a name, term, symbol, design or all the above, and is
used to distinguish ones products and services from competitors. For example, Nike
adopts a check mark as its brand image, which creates a positive effect indicating
approval. According to Kotler, (2000) image is the way that public perceives the
company or its product. Image is affected by many factors beyond the companys control.
The consumer develops a set of brand beliefs about where each brand stands on each
attribute. The set of or its product. Image is affected by many factors beyond the
companys control. The consumer develops a set of brand beliefs about where each brand
stands on each attribute. The set of beliefs about a brand make up brand image. The
consumers brand image will vary with his or her experiences as filtered by the effects of
selective perception, selective distortion and selective retention.

Romaniuk, (2003) studied the relationship between association of a brand with different
types of image attributes and subsequent purchase of the brand. The image attributes
incorporated were based on the product categories, situations and benefits offered. While
mention of the brand for an image attribute was positively related to future purchase, this
relationship did not vary between attributes once brand and attribute size was taken into
account. However, a positive relationship was found between the number of attributes
associated with the brand and future purchase.

1.2.2. BRAND LOYALTY: The most elaborate conceptual definition of brand loyalty was
presented by Jacoby et al. (1978). We will use and discuss this definition, because it
covers the most important aspects of brand loyalty, & since it enjoys widespread support
in the marketing literature, either in its original form or in slightly modified versions
(Wilkie, 1990). Jacoby et al. (1978) defined brand loyalty, according to this definition,
brand loyalty is: The (a) biased, (b) behavioral response, (c) expressed over time, (d) by
 some decision making unit, (e) with respect to one or more alternative brands out of set
of such brand, and (f) is a function of psychological process.

Rethinking Brands from the Customer Point of View: According to Jim, (2003) many
of the less successful experience brands are not meeting the challenge of a largely time-
starved audience. Our research confirms that in most societies today, time has become
more desired than money. Increasingly, people value experiences more than things.
Consumers are really looking for ways to make the most of everyday lived experiences.
So marketers need to constantly ask themselves, is our brand part of the problem or part
of the solution? A brands role in becoming a solution for its audience can make it stand
out for customers. In that sense, the meaning of brand is its use. Profitable customers are
born when a powerful brand promise is fulfilled by a brand experience that exceeds
expectations.

1.2.3. BRAND PERCEPTION: Perception is a process by which individuals organize and

interpret their sensory impressions to give meaning to their environment (Robbins &
Judge, 2013). In marketing, perceptions are more important than reality because
perceptions affect consumers actual behaviour (Kotler, Keller, Koshy, & Jha, 2014).
Information processing model have four major steps or stages. It starts with exposure
followed by attention, interpretation and lastly retention. The first three of these establish
perception (Hawkins, Best, Coney, & Mookerjee, 2007). All this takes place inside the
mind or black box of the consumers simultaneously, and it changes from person to
person. Perception is highly subjective and therefore easily distorted. Moreover,
perception is the meaning that an individual attributes to the incoming stimuli that
gathered through the five senses that are taste, smell, touch, hearing and sight. According
to Kurtz and Boone, (2006) different people have different perceptions of objects or
events based on the interactions of two types of factors that are stimulus factors and
individual factors.
 INTRODUCTION
WHAT IS BRAND?

Brand should not be confused with product as it is often done. Brand is identity given to a
product (or service) like the name of a person. Brand immediately creates a mental image of
set of consumer value and degree of need satisfaction in relation to consumption of a
particular product or service. In other words, Brand is always attached with some attributes
which the product offers to the consumers.

The American Marketing Association defines a brand as a name, term, sign, symbol, or
design , or a combination of them , intended to identify the goods or services of one seller or
group of sellers and to differentiate them from those of competitors.

Brand is a living thing

The companies tend to forget the fact that brands are like human beings. They create
perceptual filter in the minds of potential users as they hear the brands that would create an
enormous impact on their buying decision.

Brand is an acronym
Build: The first character 'B' focuses on the building of trust among the target group on
products/services they intend to buy. This is the preliminary step towards accessing to the
perceptual filter. For instance, a consumer hears the brand of 'Sony', he/she might think the
equivalent of quality and that could well be extended to other products of 'Sony' product
bouquet. This could have happened due to the experience gained by the consumer through
consuming any of products from 'Sony' product bouquet.

Reliability: The letter 'R' stands for the reliability of a product/service to be entrusted on the
target group. Consumers ought to rely on the product/service would satisfy their needs/wants
for they buy. Reliability is the key factor that modifies consumers' opinion towards any
product/service. For instance, a consumer who intends to have 'Airtel' cellular subscription
should have relied on the services offered by 'Airtel'. Once, if it faded, he/she would shift to
another substitute and definitely ought not develop apprehension of cellular technology.
Yet,he/ she would have apprehension about new services offered by 'Airtel'. It vividly shows
the flaw of one service would carry forward to the other services offered by the same
company, need not necessary the other services also have flaws. Hence, the reliability is the
vital factor, which acts a catalyst towards the buying behavior of consumers.

Attitude: Attitude is yet another factor, which has a great impact on perceptual filter of
consumers, would result the outcomes of their buying decision. Consumers tend to develop
attitude towards products/services, rather we call brands, either positive or negative. This
attitude is the crucial factor that would definitely facilitate or hamper the buying decision.
The attitude development could well happen through hearsay or eavesdropping or hearing
experience of others or gather information or also the first hand experience gained through
consuming any product/service from the product/service bouquet of the company

Name: It is very important that name of a product/service plays an anchor in inducing

perception filter of consumers. What is in the name? A million dollar question lingers in
everyone's mind. Name is everything. When 'Nirma' launched the toilet soap in the same
name, the consumers could not accept for a while and forced the company to change its
name to 'Nima' to modify the perception of the consumers as the name embedded the
thought of detergent soap in top of the minds of consumers. How would consumers respond
if 'Mortein' launches Pizza under the same name? How would consumers react if Hindustan
Lever Limited launches Biscuits under the name of 'Lux'? Only positive example that could
quote is the market accepted 'Anchor' well known for switches, when they launched the
toothpaste under the same name. Yet, the market reaction towards the brand is not very
encouraging in terms of numbers i.e. sales. Hence, it clearly portrays the outcome that
products of internal consumption could well be extended to products of external
consumption (such as 'Amul' represents the under garments) and definitely, not very positive
in case of products of external consumption to internal consumption. So, the name plays a
crucial role in dictating the perception filter of potential users, needless to say, their buying
behavior.

Desire: Desire is the final key aspect that induces consumers to go for a product/service.
Brand ought to inferno the desire in the consumers' hearts, not minds (Mind is normally the
thing which focuses mainly on rational aspects) to buy the product/service. For instance,
everyone wants to become a proud owner of 'Mercedes Benz' or 'BMW' and so on. The
power of a brand is to create enormous desire in the hearts of potential target and takes care
of the perception filter. If we look at the AIDA model, the desire is the last action that
induces the Action i.e. purchase. Albeit, the product/service has every requisite feature/trait
that a potential consumer looks for, his/her buying decision would fully be influenced by the
desire, desire is the force forces a decision. Hence, brand ought to have the trait to induce the
desire of potential users.
What is not a brand?
A brand is not an advertising campaign, a slogan, or a logo; nor is it solely created for he
customer. A brand must resonate with all stakeholders: employees, shareholders, customers,
partners, and end users.

Why do brands matter?

In every developed and developing economies, consumers have an astonishing, often
bewildering, array of choices in almost every industry and product category. This diversity
of choice puts pressure on corporates to find more potent ways of differentiating themselves
and securing competitive advantage. Much of the skill of marketing and branding is
concerned with building equity for products whose characteristics, pricing distribution, and
availability are really quite close to each other. Take cola drinks. Coca-Cola and Pepsi-Cola
are able to dominate the worldwide market. Their worldwide distribution network no doubt
plays a part in this, but the main factor is the strength and consumer appeal to consumers.
The strong, instantly recognizable names, logos, and colors of these two brands symbolize
their makers promise that consumers expectations will be fulfilled, whatever the subtleties
of these might be. Brands allow consumers to shop with confidence, and provide a route
map through a staggering array of choices. The real power of successful brands is that they
meet the expectations of those that buy them or, to put it another way, they represent a
promise kept. As such, they are a contract between a seller and a buyer: if the seller keeps to
its side of the bargain, the buyer will be satisfied and more likely a loyal repeat customer.

How has the use of brands evolved?

According to Philip Kotler Branding has been around for centuries as a means to
distinguish the goods of one producer from those of another. The earliest signs of branding
in Europe were the medieval guilds requirement that craftspeople put trademarks on their
products to protect themselves and consumers against inferior quality. In the fine arts,
branding began with artists signing their works.

Quoting from Brands & Branding

 The wide scale use of brands is essentially a phenomenon of the late 19th and early 20th
centuries. Hand in hand with these brands came early trademark legislation, which allowed
the owners of these brands to protect them in law. It is in the period since the end of World
War II that weve seen the real explosion of the use of brands. An activity that, for three
quarters of a century, was mainly confined to consumer goods and services, now features in
industrial and BtoB sectors, the public and voluntary sectors, utilities, and non-governmental
organizations. Football teams, political parties, and pop stars alike all now consider
themselves brands.

What are the benefits of brands?

Brands are business assets, and the value to businesses of owning strong brands is
incontestable. Brands identify the source or maker of a product and allow consumers either
individuals or organization to assign responsibility to a particular manufacturer or
distributor. Consumer may evaluate the identical product differently depending upon how it
is branded. Consumers learn about a brand through past experiences with the product and its
marketing programme. As consumers lives become more complicated, rushed and time
starved the ability of a brand to simplify decision making and reducing risk is invaluable.
Brands also perform valuable functions for firms. First, they simplify product handling or
tracing. Brands help to organize inventory and accounting records.
A brand also offers the firm the legal protection for unique features or aspects of the
product. The brand name can be protected through registered trademarks, manufacturing
process can be protected through patents and packaging through copyrights and designs.
These intellectual property rights ensure that the firm can safely invest in the brand and reap
the benefits of a valuable asset. Brands can signal a certain level of quality so that satisfied
buyers can easily choose the product again although competitors may easily duplicate
manufacturing processes and product designs, they can not easily match lasting impression
in the mind of individuals and organizations from years of marketing activity and product
experience. In this sense brand can be seen as a powerful means of competitive advantage.
To firms, brands thus represent enormously valuable pieces of legal property that can
influence consumer behaviour, be bought and sold , and provide the security of sustained
earnings to their owners. Brands that keep their promise attract loyal buyers who will return
at regular intervals. The benefit to the brand owner is that forecasting cash flows becomes
easier with repeat customers, and the brand owner can plan and manage with greater
confidence the development of the business. Thus brands, with their ability to secure future
income, can be classified as productive assets in exactly the same way as any other, more
traditional assets of a business (e.g., plants, equipment, cash, investments, and so on). The
asset value of brands is now widely recognized by both brand owners and investors. Brands
can generate high-quality earnings that directly affect the overall performance of the
business and thus influence share price.

SECRETS OF BRAND CREATION

* The Brand must reflect at least one USP or an outstanding value that the product carries
with it, and also not many. This value better be a distinctive advantage over competing
suppliers' product in the market.

* The Brands also age like people, and therefore, have to be rejuvenated by fresh dose of
advertising, product attributes changes and innovation. In other words the brand should
reflect continuous improvement in product proposition and reflect image of being owned by
a dynamic organization (Here comes the role of PR executives).

* Brand cannot be built overnight, whatever may be the advertising effort going into it. It
would be sheer wastage of resources and this often acts as counter productive and kills the
brand in its nascent stage. The credibility and acceptance of Brand accrues only over a
period of time and often is linked with background of its owners. For example it is difficult
to create world class brands by purely trading organizations that do not actually manufacture
the goods or service.

* The multi products and multi Brand companies have a difficult task in maintaining Brand
equity for all of its brands and products. It is always advisable to have only a few core
Brands, we may call as Umbrella Brand or Power Brand and which focuses on particular
product group not category (like Dental hygiene products or Shaving products). This may
even be pricing based differentiation & segmentation of the same product, for example low-
end, medium and high end priced product, but in this case it will be suicidal to use Umbrella
brand or Company logo in common as this will invariably lead to confusion and erosion of
high end product market. The customer perceives the high end product being made merely
with objective to raise profitability of the company; such products are bound to bear
discounts and sales promotion schemes. In such cases, the individual Brands should be
completely separated for promotion or unless, this can be managed by distinctive product
attributes that justify price segmentation (Like Automobiles).

* Brand acceptance by the consumer is not achieved by Brand promise alone. But it is
achieved by testing of the credibility of a Brand by repetitive purchase by the consumers
over a long period of time (At least 3 years) and the satisfaction derived by such
consumption over a period of time. In other words brand equity is created by repeated and
consistent delivery of brand promise.

In this context supply chain management has to be highly efficient in distribution,

availability and after sales service of the product, which FMCG companies and many
Engineering goods manufactures are now learning after painful experiences, which were
solely dependent upon Advertising. While Advertising can pull the product through markets,
it cannot push the product which needs sales promotion and efficient distribution of goods
and services.

* In present situation when technological differences in product attributes and quality are
indistinguishable, a Power brand is sure way to improve sales margins and price
differentiation. But a company cannot have a range of Power Brands as mentioned earlier.
Price differentiation based on Branding only will not work, if the consumer is in a position
to comprehend the value of product attributes built into the product. In such case the Brand
may not even take off or die earlier death than normal. It will be out rightly rejected by
globally aware consumers now-a-days (A consumer would like to have Burger at price of
Narula's but in ambience and hygiene of McDonalds).

* There is found to be a strong association of Powerful Brands and their life with factors
such as Product leadership, Technological leadership, market share and consistent
performance by the companies owning the brand. For example, the brand of a product that is
not regularly available in market is likely to go in oblivion.

* While it is doubtful that any such thing exists, the Brand Loyalty is not strongly associated
with Brand usage and exposure but to the product superiority in its class. In spite of this,
there is always brand switching customers and given the near equality of various brands in
same product category, the market share is bound to stabilize with time (Markov Chain
model). Any effort to drive market share through Brand advertising, without shifting product
positioning over this share will entail sheer wastage of resources without any perceptible
results.

* The brand name should reflect the cultural and ethical background of the product and the
target consumer class. For example, it is unlikely that purely Western names will succeed on
Indian spices, handicraft items or Indian food items. In other words Desi products should
bear Desi Brand names. Similarly Feminine products should bear feminine or at-least
Gender neutral names (Lakme and Ponds). It is doubtful if "VIP" Brand can ever sell much
of ladies undergarments.

* It is surprising but true that in many cases, lesser the consumer knows about the product
and Brand Owner's background, more is the chances of developing Brand Charisma (Ralph
Lauren, Pierre Cardin). Such Brands which are built on limited product knowledge and
Brand owner's background may end up as Charismatic Brands. Such Charismatic Brands
play heavily on psychological satisfaction and Status association for the consumer and work
well in Hi-fashion products like garments, cosmetics and interior decoration items. Personal
health care products thus are well amenable to developing of charismatic Brands. In a brand-
building context, memes are powerful pieces of communication either verbal or visual
(Or both) That has such power as to alter people's perceptions of your product or service.

Think about these advertising themes and symbols...

Just Do It.
Think Different.
Have it your way.
The Pink Bunny with the drum
The little talking Chihuahua

If asked, you could probably name dozens of others.

These are examples of strong and powerful memes. You know exactly who they stand for,
and what the brands that own them stand for too. And every time you see the image or hear
the line, it self-replicates and reinforces the perception of the brand that owns it.

Great memes can help build brands that define their categories

What all great brand-building memes have in common is the emotional component that
answers every consumer's magic question: "What's in it for me?" See, what makes it
memorable isn't really the symbol or the words, it's the benefit. A good meme repeats the
benefit over and over every time you see it or hear it. Answer your customer's "What's in it
for me?" question simply, with a bit of poetry and a benefit that means something, and you'll
be on your way to a great meme - and a charismatic brand that can define its category (Lux,
Amul, Sony)

Maruti / Sujuki Passenger cars - Better technology (Compared

to Primitive ones like Ambassador
and Premier)

- Reasonable price
 - Functionality

- Skin friendly (though it is not)

- Aroma
Lux Toiletries
- Market Share
- Glamour/Status

- Freshness
- Purity
- Availability
Amul Food products
- Emotional:
National Pride
Cooperative pioneer

- Fabric quality
- Durability
VIP Hosiery
- Pioneer in India
- Availability

- Reasonable price
Nirma Toiletries
- Charisma (Achiever)

Textile, IT
Reliance - Charisma (Achiever)
products
Colgate is the number 1 brand in the Indian market followed by Lux, Rin,Dettol and Tata salt
(Desh ka namak) in Brand Equity's survey of India's most trusted Brand 1 In which 150 Brands
are ranked the 150th are is Harpic. Zandu Bam has entered the list for the first time and stood at
no 16th much above Amrtanjan bam at no 55. It is said to be because of a new jingle "Zandu Bam
Zandu Bam Dard Mitay Chutki Mein"
Coca-Cola is the no. 1 brand in the world the other are Micro- soft, IBM, GE, NOKIA among
the first five 2
Does brand name make a product successful in the market? Or, does a successful product
make the brand name well-known? This is a perennial question, like egg or chicken, which came
first? The second common question regarding brands is, whether the brand name should be
named after the proprietor, like Ford, Dabur and Tata, or whether the brand name should be
independent of the owner's name, like Lux, Parachute and Coke?
BRAND STRATEGIES
Philip Kotler, the doyen of marketing writers, whose 'Marketing Management' is standard
reading the world over, indicates four strategies suitable for the naming of brands.
1) Individual names, such as Nature Valley, Liril, Lifebuoy, Amrutanjan, Red Label, etc.
2) Blanket Family names , such as Campbell's various soups
3) Separate family names such as Johnson's Nutriment or Johnson's Metrecal.
4) And, finally ,company trade name combined with individual product names like Kellog's Corn
Flakes etc.
Kotler also advises that a brand should suggest something about the product's benefits , like
Craftsman , Beauty-rest, Timex, etc, or it should suggest product qualities such as action or
colour, like Sunsilk, Thunderbird, etc. Or, it should be easy to pronounce such as Tide, Crest,
Lux etc. Or, it should be distinctive like Kodak, Xerox, Mustang etc. At the same time,
multinational companies must ensure that the brand name does not have a poor meaning in other
countries. A typical case is the Chevrolet Nova car. Nova may mean new in English but in
Spanish it means, 'doesn't go'4
Branbach positioned Volkswagen, the German small car designed by Dr Fernands as a protest
against America Detroit made cars big cars thereby making the better shaped car, a cult among
non-comfort American youth 5 His greatest slogan was "Think small".
Today brand naming has become a subject for multi-million dollar research with association
tests, memory tests, preference tests and learning tests. Name labs such as Landor Associates,
which change about $60,000 for a job, is credited with successes like Compaq computers and our
own, Samsika consultants, floated by Jag deep Kapoor is credited with naming a new salt brand
as ''Dandi''salt. 6 Dandi is a seashore town in Gujarat famous for Gandhiji's 'Salt Satyagraha' in
1931.The brand is gaining market share by leaps and bounds.

PRICE AND PRODUCT QUALITY

Howsoever we try to make a product successful in the marketplace it has to have good qualities,
Low price and advertising momentum to make its brand name famous. Tata-Indica became a
successful car because of its good features including a diesel engine, low price, and a patriotic
brand name. By the way , Diesel is the name of the engine's inventor Otto Diesel. Nirma became
successful all over India and till date is still the largest selling detergent, by volume, because of
its low price and acceptable quality. 7
Branding became popular in America, in the closing decades of the Nineteenth Century ,when
products proliferated and competition increased. Over a hundred years ago, manufactures
stressed the quality and price angle and let the product carry his own or family name. 8
Thus we have Ford car , Tata steel ,and Kirloskar ploughs. Nirma is founder Karsanbhai Patel's
favourite niece's name just like Mercedes is the name of a daughter of Otto Daimler, the
proprietor of the car company. The craze for foreign names is much more in India. Abroad many
products are named after the proprietor or inventor. Even in Japan, Honda , Suzuki, Toyota are
family names made famous by successful products. Of course, there can be a mishap sometimes.
Sony became the brand name because Akio Morita of 'Made in Japan' fame wanted his small
radio- named Sonny which was a popular name for a boy, but since he made a spelling mistake,
dropping one 'n', the brand name turned out to be Sony. That's for the importance of English.
In a country like India, it is still the price that rules, not the brand name. How many people in
India remember Adidas or Nike shoes compared to Lakhani or Action. Obviously, the latter since
they are acceptable in quality and much lower in price. For marketing a product nationwide, we
need to give the product a trademark and a brand name for legal protection. But let us not be
under the misapprehension that branding alone is enough. It must be supplemented with good
quality and low price.
FAIR AND LOVELY BRAND NAMES
How does Marico's new offering, Hair & Care, should do to you?. Fair & Lovely isn't it. The
company that makes the fairness cream would like to extend the fairness brand to No Marks
cream for the elderly beauty conscious ladies. That's Hindustan Lever.
Raymond's would rather like their exquisite men's suiting be known as, Park Avenue. And, in
contrast to Bombay Dyeing, Reliance would like to name its range, Only Vimal. The bottomline,
however, is a lift from Thomas Alva Edison's famous quotation, "inventions are one per cent
inspiration and ninety-nine per cent perspiration."
Band names are the most potent distinguishing feature between me-too products. The name
makes the product differentiated from any other soap, toothpaste or shampoo. In that classic TV
commercial, the housewife who asks for tea will not take any tea, but only Red Label tea. The
name that's remembered makes brand loyalty steadfast. Why, even the oldest economic daily in
India, The Economic Times, brand named its new advertising & marketing weekly supplement,
Brand Equity. Another double-barreled name.
Why should two words be there in a brand name rather than an easy to remember single word?
Like Lux, Liril, Surf, Horlicks, Bournvita, Complan ,Promise, Limca, Fanta, and so on. Are they
not easy to pronounce and quick on the tongue. Sure, they are. But, advertisers believe two
words are better than one, to indicate product usage, rather make the brand name into a product
performance one too. Hair & Care indicates that this product cares for your hair. That it is a hair
care product. In other words, a generic concept has been brought into its brand name. The
additional copy features, like its being non greasy, vitamin- E enriched, and the bottle made of
PET being unbreakable, fortify the name and make it doubly powerful in a highly competitive
market, now captured by ethnic, herbal and ayurvedic hair oils, including Keo-Karpin. That's
another two name product for you. Abroad, products with brand names like Cold Spot and Hot
point indicate product functioning in its brand name itself. Cold Spot should be a good
refrigerator while Hot point an excellent cooking range.

PRODUCT IDENTITY
A classic success in this genre is Coca-Cola. It not only became a brand name to be remembered
but a product identification generic one too. The cola leaves of South- America and the kola nut
of West Africa combined to make this originally medicinal beverage into a famous soft-drink.
However, the alliterative names made it rather tongue-twisting. Hence, the company also
registered the shorter brand name, Coke. Pepsi-Cola would also like to be known as just Pepsi. In
India, however, Parle's have followed a rather ambivalent policy on naming their diverse
products, with unmixed success. Their oldest offering was named Gold Spot , to indicate that it
was a whale of an organge soft drink. The second successful product in their range, a cola drink
hasn't looked back since George Fernandes sent Coca Cola packing from India in 1977, had
also a double- barreled brand name, Thumps Up. However , for their lime-n-lemony fizzy,
Limca, and the soda, Bisleri, single names have been found adequate. Since, Limca is claimed to
be India's top selling soft drink in that category, they are probably right. However the fizz from
their name has been drawn out by Coca-Cola Inc. which purchased all the Parle soft drink for
a ,now seen as ,very low price of just $ 50 million. In 1993 (After liberalization was announced
and Coca Cola wants to enter back).

DELIBERATE POLICY
Branding is a deliberate strategy, which refers to the use of a name, term, symbol, design, or a
combination of these , to identify goods or services of one seller or a group of sellers to
distinguish them from those of its competitors. A trademark is a legal term for a brand name or
mark or symbol, which has been registered under law. Advertisers are more interested in creating
brand image and brand loyalty, especially for frequently purchased consumer goods, in order to
facilitate ripe at purchase. Therefore, they find two words better than one. Like Rolls Royce,
Mercedes Benz, Benson & Hedges, Black-n-White, Cherry Blossom, Pall Mall, State Express,
Federal Express. Park Lane, Godrage No.1 VIP, etc
Even hybrid brand names have been used, especially in India to indicate the origin of the product
to a famous foreign one. So, we have Maruti-Suzuki, Hero -Honda, Kawasaki- Bajaj, and BPL-
Sanyo. Actually in the last case both are foreign names, the BPL standing for British Physical
Laboratories, a name the company would rather not project since the stance of the organization is
focused on consumer durables rather than scientific products and the name Sanyo is a famous
Japanese one.
There is no doubt double names are more effective and appealing than one, although the single
ones may be easy to remember and speak. So we have the ATBs, (all terrain bicycles) named
Street Cat and Hero Ranger. Crowning Glory sounds great, even for hair-care soap, for those
who would prefer this low-priced offering to a more expensive shampoo. Flush Kleen
immediately shows how it can do its work. Bonny Mix and Gold Mist are two different products
but the names indicate what they can achieve better than anything else. Even, the Emami-
offering in competition to Fair & Lovely has a double barreled brand name. Naturally Fair. The
first sports shoes which set the trend for all others were, Bata's North Star. And the biggest
success on the ethnic front is Kothari's Pan Parag.
The history of marketing is replete with countless brands which have declined and disappeared.
Where is Afgan Snow today ? That famous E.S. Patanwalla product? Today Flex is the name of a
scandal associated with the name of a former finance minister. Yesterday, it was the brand name
of a famous leather shoe ,which has lost its glory and become an insignificant brand. Let us have
brands that we can cherish like Tata and Nirma.
Thus Brand name and its popularity can make a strategic marketing weapon in the hands of
resourceful marketer it is due to the familiarity of the customer who are ask for the product not
by genera tic name (say salt) but by its brand names

BRAND LOYALTY
The success of a firm depends largely on its capability to attract consumers towards its brands. In
particular, it is critical for the survival of a company to retain its current customers, and to make
them loyal to the brand. Former Ford vice president Basil Coughlan estimates that every
percentage point of loyalty is worth $100 million in profits to his firm (Serafin and Horton
(1994)), and all the major enterprises are spending large sums of money to induce brand loyaity
(Monzo (1994); Lefeon (1993)).
Firms selling brands to loyal consumers have a competitive advantage over other firms. Brand
loyal consumers reduce the marketing costs of the firm as the costs of attracting a new customer
have been found to be about six times higher than the costs of retaining an old one (Rosenberg
and Czepiel(1983)). Moreover, brand loyal consumers are willing to pay higher prices and are
less price sensitive (see e.g. IO-Krishnamurthi and Raj (1991); Reichheld and Sasser(1990)).
 Brand loyalty also provides the firm with trade leverage and valuable time to respond to
competitive moves (Aaker (1991)). In sum, loyalty to the firm's brands represents a strategic
asset which has been identified as a major source of the brands' equity.

Given the importance of brand loyalty, it is not surprising that it has received considerable
attention in the marketing literature since Copeland's seminal work which was published over 70
years ago (Copelavid (1923)). Studying and managing brand loyalty, however. Should start with
a clear definition of the construct involved, and with the development of valid measures.

Unfortunately, while there seems to have emerged considerable agreement on the conceptual
definition of brand loyalty since the work of Jacoby and Chestnut (1978), no unified perspective
to measure it has yet emerged. Still, a valid measure is essential for a better understanding.

THE CONCEPT OF BRAND LOYALTY

Perhaps the most elaborate conceptual definition of brand loyalty was presented by Jacoby and
Chestnut (1978). This definition, covers the most important aspects of brand loyalty, and since it
enjoys widespread support in the marketing literature, either in its original form or in slightly
modified versions (e.g. Assae1 (1992); Mowen (1993); Wilkie (1990)).

According to this definition, brand loyalty is: "The (a) biased, (b)Behavior response,
(c) expressed over time, (d) by some decision making unit,, (c) with respect to some alternative
brands out of a set of such brands and (f) is a function of psychological (decision-making,
evaluative)process (Jacoby and Chestnut (1978, p.80))".

This definition identifies six requirements for brand loyalty. Below, each of
them is discussed in somewhat more detail.

Biased behavioral response (a-b)

First, brand loyalty is a biased response. This implies that there has to be a systematic tendency
to buy a certain brand or group of brands. Which means that brand choice should not follow a
zero-order process? A process is zero-order if each brand is chosen by the consumer with a
certain probability which is independent of the consumer's past purchase decisions. Nothing that
the consumer did or is exposed to alters the probability to purchase a specific brand (Massy,
Montgomery, and Morrison (1970))'.

Zero-order behavior is not part of the brand-loyalty construct, because this would imply that
brand loyalty is beyond control by any marketing action, and hence a meaningless concept for
marketing managers. Brand loyalty also entails actual purchases of a brand. Verbal statements of
preference towards a brand are therefore not sufficient to ensure brand loyalty.

Expressed over time (C)

An incidental bias towards a brand does not guarantee brand loyalty. As the process is dynamic,
some consistency is needed during a certain time span. This suggests that one should not only
consider the number of times a specific brand is purchased during that period, but also the
purchase pattern over successive purchase occasions. As such, one can distinguish partially loyal
behavior from completely (non)loyal behavior. Considering a purchase sequence for brands A
and B, Brown (1952) distinguished consistent loyalty towards brand A (indicated by a purchase
sequence AAAAAA), divided loyalty (ABABAB), and unstable loyalty (AAABBB). For brand
A the situation is much dimmer under unstable loyalty than under divided loyalty. These simple
Examples show that the purchase pattern over a given time span contains valuable information
about brand loyalty.

Decision-making unit (d)

Brand loyalty is defined by the purchase pattern of a decision-making unit which may be an
individual, a household or a firm. Important to notice is that the decision unit does not have to be
the actual purchaser. For example, the purchases of a household are often made by one of the
parents, but other members of the household may also be involved in the decision process (see
e.g. Agnew (1987); Davis (1976)).

This issue becomes important when the members of a household have different product needs
and use goods for different purposes. In that case, we might observe switching behavior on the
household level which represents different needs or usage purposes by different family members
rather than an absence of brand loyalty.

Selection of brands (e)

The fifth condition Is that one or more brands are selected out of a set of brands. This condition
implies that consumers may actually be loyal to more than one brand, a phenomenon observed
by many researchers (e.g. Ehrenberg (1972); Jacoby (1971); 0' Leary (1993)). Especially for low
involvement goods, the consumer often does not evaluate brands on a continuous scale, but
classifies them discretely as acceptable or unacceptable. If more than one brand is acceptable, an
individual might be indifferent between them, and exhibit loyalty to a group of brands rather than
to a single brand. A problem with multi brand loyalty is that it is hard to distinguish this kind of
behavior from brand switching, especially if there are only a few brands available.

An individual who buys brand A and B with the purchase sequence ABBABAAB may be
defined as a multi-brand loyal consumer if more than two brands are available. But if only
brands A and B can be selected, the behavior can be interpreted as brand switching, since every
brand available is used regularly.

The fifth condition also implies that in order to have brand loyalty, there must be an opportunity
to choose among alternatives. Jacoby and Chestnut (1978, p.82) expressed it as follows: "Before
one could speak of brand loyal, one must have the opportunity of being disloyal"
As such, brand loyalty cannot exist when a brand has a monopoly position. The determination of
the product category therefore becomes of major importance.

Function of psychological process V)

Brand loyalty is a function of psychological (decision-making, evaluative) processes. Brands are
chosen according to internal criteria resulting in a commitment towards the brand, which.
according to Jacoby and Chestnut (19781, is an essential element of brand loyalty.

This point of view is in line with the information-processing paradigm, which is the dominant
point of view in consumer behavior (Bettman (1979)). Although consumers do not always seek
information actively, they do receive some information, e.g. due to advertising campaigns.
Which may be used to form certain beliefs about brands? Based on these prior beliefs, brands are
evaluated and some are preferred over others. In time, the consumer may develop a commitment
towards a brand and become brand loyal. Hence, brand loyalty implies consistent repurchase of a
brand, resulting from a positive affection of the consumer towards that brand. We should point
out, however. that the importance of commitmentis not supported by some researchers who argue
that buying behavior is caused by instrumental conditioning (see Foxall (1987) for a review).

They posit that observed behavior alone is capable of explaining brand loyalty. According to this
view, the purchase will lead to a "reward" (the brand is adequate) or a "punishment" (the brand is
inadequate). The former induces the repurchase of a brand while the latter induces brand
switching. In this approach, brand loyalty is regarded as a consequence of behavior, rather than
as an explanation. We do not subscribe to the point of view that observed behavior alone is
capable of fully explaining "brand loyalty " we support Jacoby and Cestnut (i978j
argumentation that commitment is an essential element of brand loyalty, as it allows to separate
brand loyalty from repeat buying. Repeat buying may be due to inertia. which means that
consumers stay with the same brand because they are not prepared to spend effort and time to
search for other brands. A study of Hoyer (1984) concluded that inert consumers have different
motives, different
decision rules and require other marketing actions than brand loyal consumers. In particular, they
do not evaluate a large set of alternatives but use simple decision heuristics like "Always buy the
cheapest brand" or "Always buy the same brand". Repeat buying may be influenced by variables
such as e.g. the amount of shelf space or distribution intensity, which are supervised by the retail
manager. In contrast, brand commitment is more likely to be influenced by a brand's
distinguishing characteristics.
CUSTOMER SATISFACTION
Customer satisfaction, a business term, is a measure of how products and services supplied by a
company meet or surpass customer expectation. Customer satisfaction is defined as "the number
of customers, or percentage of total customers, whose reported experience with a firm, its
products, or its services (ratings) exceeds specified satisfaction goals." It is seen as a key
performance indicator within business and is part of the four of a Balanced Scorecard. In a
competitive marketplace where businesses compete for customers, customer satisfaction is seen
as a key differentiator and increasingly has become a key element of business strategy. Within
organizations, customer satisfaction ratings can have powerful effects. They focus employees on
the importance of fulfilling customers expectations. Furthermore, when these ratings dip, they
warn of problems that can affect sales and profitability. These metrics quantify an important
dynamic. When a brand has loyal customers, it gains positive word-of-mouth marketing, which
is both free and highly effective. In researching satisfaction, firms generally ask customers
whether their product or service has met or exceeded expectations. Thus, expectations are a key
factor behind satisfaction. When customers have high expectations and the reality falls short,
they will be disappointed and will likely rate their experience as less than satisfying. For this
reason, a luxury resort, for example, might receive a lower satisfaction rating than a budget motel
even though its facilities and service would be deemed superior in absolute terms.
CUSTOMER SATISFACTION IN 7 STEPS

1. Encourage Face-to-Face Dealings

This is the most daunting and downright scary part of interacting with a customer. If you're
not used to this sort of thing it can be a pretty nerve-wracking experience. Rest assured, though,
it does get easier over time. It's important to meet your customers face to face at least once or
even twice during the course of a project.
2. Respond to Messages Promptly & Keep Your Clients Informed
This goes without saying really. We all know how annoying it is to wait days for a
response to an email or phone call. It might not always be practical to deal with all customers'
queries within the space of a few hours, but at least email or call them back and let them know
you've received their message and you'll contact them about it as soon as possible. Even if you're
not able to solve a problem right away, let the customer know you're working on it.
3. Be Friendly and Approachable
A fellow Site Pointer once told me that you can hear a smile through the phone. This is
very true. It's very important to be friendly, courteous and to make your clients feel like you're
their friend and you're there to help them out. There will be times when you want to beat your
clients over the head repeatedly with a blunt object - it happens to all of us. It's vital that you
keep a clear head, respond to your clients' wishes as best you can, and at all times remain polite
and courteous.
4. Have a Clearly-Defined Customer Service Policy
This may not be too important when you're just starting out, but a clearly defined
customer service policy is going to save you a lot of time and effort in the long run. If a customer
has a problem, what should they do?
If the first option doesn't work then what? Should they contact different people for billing and
technical enquiries? If they're not satisfied with any aspect of your customer service, who should
they tell? There's nothing more annoying for a client than being passed from person to person, or
not knowing who to turn to. So make sure your customer service policy is present on your site --
and anywhere else it may be useful.
5. Attention to Detail
Have you ever received a Happy Birthday email or card from a company you were a
client of? Have you ever had a personalized sign-up confirmation email for a service that you
could tell was typed from scratch? These little niceties can be time consuming and aren't always
cost effective, but remember to do them.
Even if it's as small as sending a Happy Holidays email to all your customers, it's something. It
shows you care; it shows there are real people on the other end of that screen or telephone; and
most importantly, it makes the customer feel welcomed, wanted and valued.
6. Anticipate Your Client's Needs & Go Out Of Your Way to Help Them Out
Sometimes this is easier said than done! However, achieving this supreme level of
understanding with your clients will do wonders for your working relationship.
7. Honor Your Promises
It's possible this is the most important point in this article. The simple message: when you
promise something, deliver. Clients don't like to be disappointed. Sometimes, something may not
get done, or you might miss a deadline through no fault of your own. Projects can be late,
technology can fail and sub-contractors don't always deliver on time. In this case a quick apology
and assurance it'll be ready ASAP wouldn't go a miss.

CUSTOMER LOYALTY

Obtaining a thorough understanding of customer loyalty is a prerequisite for the

execution of the research at hand. For that, the development of customer loyalty research within
the framework of relationship marketing will be presented first, before different customer loyalty
concepts will be introduced. From these concepts, a definition of customer loyalty for use in this
study will be derived, before both consequences and antecedents of customer loyalty will be
portrayed.
Since the beginning of the 1990s, customer loyalty has gained importance both in
relationship marketing research and in business. In business, this can be attributed to changing
market- and competition-environments. Due to a shift from a sellers to a buyers market and
because of an increasing degree of globalization, most industries find themselves confronted
with new challenges. In a first phase, firms tried to face these challenges by focusing on their
internal processes and organizational structures, trying to achieve cost reductions by
concentrating on internal improvements. A second phase of external focus followed, where firms
directed attention to their customers, trying to retain existing ones and to win over new ones
(churning). Since acquiring new customers is much more expensive than keeping them. And
loyal customers are the bedrock of any business. A loyal customer base represents a barrier to
entry, a basis for a price premium, time to respond to competitor innovations, and a bulwark
against deleterious price competition. Loyalty is critical to brand volume, is highly correlated to
market share, and can be used as the basis of predicting future market share; consequently,
understanding loyalty appears critical to any meaningful analysis of marketing strategy.
In marketing research, two trends mark the development of customer loyalty. While
individual transactions initially were in the center of marketing research, the focus shifted
towards analyzing relationships states that the traditional marketing concept of the marketing
mix with its 4 Ps, developed in the middle of the last century, had been the established
approach until the 1990s.
This approach, how-ever, focuses solely on transactions, a deficit tackled by the relationship
marketing approach. At the core of it is the study of relationships between buyers and sellers of
goods or services, in contrast to merely examining transactions. An often cited and
comprehensive definition of relationship marketing is provided Relationship marketing refers to
all marketing activities directed toward establishing, developing, and maintaining successful
relational exchanges. Therefore, the relationship marketing approach pro-vides a suitable
environment in which customer loyalty research can be nested.
While the development of relationship marketing began in the early 1970s, it was not
until the late 1980s that works from the Nordic School of Services. Initiated a paradigm shift
that geared marketing towards the creation, conservation, and extension of buyer-seller
relationships. Although relationship marketing today is widely accepted among marketing
researchers, its promoters do not postulate the replacement of the transactional approach, but
rather juxtapose the two approaches. For example, delineates a strategy continuum, in which
different goods require different degrees of transaction- and relationship-based marketing
strategies. As a result of the focus on relationships in marketing research, customer loyalty
gained importance within research.
 Before determining which stream the present study can be associated with, however, it is
important to create a clear understanding of different customer loyalty concepts prevalent in
research. This will be accomplished in the following section.

Customer Loyalty Concepts

Reviewing research, it becomes obvious that the notion of customer loyalty is blurred. At
its core, customer loyalty deals with relationships between suppliers and their customers and can
be distinguished from other loyalty aspects, such as brand loyalty, which refer to a more abstract
attachment, such as that towards a brand. Within German customer loyalty literature, the notion
of customer loyalty is even more faceted, encompasses both customer loyalty and customer
retention distinguishes an active, supplier-focused component and a passive, customer focused
component of customer loyalty.
In the supplier-focused perspective, customer loyalty is seen as a bundle of measures that
aim at improving relationships with customers. The supplier is in the center of attention and the
customer is only regarded as the factor at which success of customer loyalty becomes manifest.
Here it becomes clear that this approach contains a conceptual deficit. It is the customer who
eventually decides on whether customer loyalty management is successful or not, because all
activities undertaken by a supplier can only be geared at influencing customers to be loyal. A
customer-focused perspective therefore has to be added to evaluate the success of customer
loyalty management.
Within the customer-focused perspective, customer loyalty is conceptualized taking into account
customers complex characteristics. These can either be approached as customers directly
observable actions and/or take into account their attitudes and intentions. Since customers
actions are directly influenced by their attitudes and intentions, it is obvious that these have to be
scrutinized to understand and manage loyalty. A third perspective is a synthesis of the former two
approaches. The relationship-focused perspective directly examines the relationship between
suppliers and customers. Accordingly, the objects of study in this perspective usually are buying
behavior in retail contexts and long-term relationships marked by frequent interaction between
suppliers and buyers in industrial contexts.
Behaviorist customer loyalty concepts
Behaviorist concepts of customer loyalty have been at the core of early marketing
research and focus on customers observable behavior, as e.g. in purchasing behavior.
Accordingly, customer loyalty is established, when customers demonstrate consistency in their
choice of supplier or brand. Hard-core loyalty, when one product alternative is exclusively
repurchased and of reinforcing loyalty, when customers switch among brands but repeat-
purchase one or more alternatives to a significant extent. Similarly, customer loyalty as the
proportion of times a purchaser chooses the same product or service in a specific category
compared to the total number of purchases made by the purchaser in that category. Pegging
customer loyalty to purchasing behavior, however, is very critical; there can be a multitude of
factors affecting purchasing behavior, such as product availability or special deals, which are not
grasped by looking at purchases alone. A main deficit of the behaviorist approach thus is that it
does not look at the drivers behind purchasing behavior. Another disadvantage of behaviorist
customer loyalty concepts is their ex-post approach. When loyalty is only expressed through
purchases, information on customers actual loyalty status in between purchases is not available.
Consequently, decreasing loyalty is only recognized after it manifests itself through changed
purchasing behavior. Only in relationships with frequent interaction can a supplier integrate
further aspects, such as complaints, into customer loyalty management. The reason, why
behaviorist concepts may still be valuable, is because the measurement of customer loyalty in
this approach does not necessitate involvement by the customer. The assessment of attitudes and
intentions would always imply customers cooperation through participation in surveys. By
simply recording purchases, e.g. through delivery records in the industrial context or customer
cards in a consumer context; the assessment of customer loyalty poses little difficulty.
Particularly in areas, where most purchases can be easily ascribed to individual customers, as is
the case with mail-ordering or book-stores on the internet, the behaviorist approach is useful for
identifying different customer groups and their characteristics. Such firms, however, can only
assess purchases of their own products, while purchases of competing products go unnoticed.
Firms can therefore neither draw conclusions about relative changes of purchasing behaviors, nor
evaluate their comparative market position.
Neo-behaviorist customer loyalty concepts
These narrow technical definitions do not adequately capture the richness and depth of
the loyalty construct implicit in a relational framework. Consequently, neo-behaviorist customer
loyalty concepts start at the shortcomings of the behaviorist approach by examining the causes of
loyalty. As early as 1969, Day concluded that loyalty should be evaluated with both attitudinal
and behavioral criteria otherwise accidental repeat-purchases, merely resulting from situational
exigencies, would be regarded as indicators of loyalty. There is no agreement, however, on the
question, whether attitudes are part of customer loyalty or merely an antecedent of it. Some
authors propose that only positive attitude can lead to true customer loyalty. If attitude then is a
necessary prerequisite of customer loyalty, some drivers of loyalty cannot be explained.
Transaction cost theory, for instance, provides the concept of asset specificity. Relationship-
specific investments create economic switching barriers and therefore increase customer loyalty.
However, the mere repeat purchase of goods or services for reasons of economic constraints
would not qualify as loyalty, as positive attitudes are not involved. In order to avoid the outlined
problem, it is useful to abstain from defining positive attitude to be a necessary antecedent of
loyalty. Instead, researchers usually consider intentions and observable behavior to be the
constituting elements of customer loyalty.

Determinants of Customer Loyalty

In order to be able to gear marketing activities towards the creation of customer loyalty, its
determinants and their precise effects have to be known. Accordingly, many researchers have
investigated this topic. In order to gain an overview of the determinants identified in these works,
they can be structured in three dimensions:
(1) Company-related determinants refer to the supplier itself or to the goods or services
offered. It is a prerequisite for the existence of customer loyalty that the offered goods or
services create utility for the customer and that they are available. In this respect, an
assessment is usually performed by examining quality. In order to evaluate the price-
performance ratio, customers will pay attention to prices. Customer loyalty will also be
influenced by the reputation a company has and ultimately by customer loyalty programs
offered.
 (2) Relationship-related determinants play a significant role in long-term relationships.
Factors regarding the interaction between supplier and customer, such as relationship
quality, previous experiences, and trust are important. Commitment, which provides evidence
of emotional closeness and moral or normative feelings of obligation, takes a central
role in relationships. Specificity and dependence can lead to economic, psychological and social
switching barriers.
(3) Customer-related determinants are mainly influenced by customers characteristics.
In this respect, affect and involvement, and consequently also the importance of the good or
service to the customer, are important.
Addition to the above delineated areas, the effects of the market environment and competition
are researched, as is the link between satisfaction and loyalty, which plays an important role
in the research of customer loyalty and is often placed in one of the three dimensions. However,
as most other determinants influence satisfaction, it cannot be clearly separated and should
therefore be listed as a distinct category.
OBJECTIVES OF CUSTOMER SATISFACTION PROGRAMME

Our Programs are research based, built on the three corner stones of customer satisfaction:
product quality, process and procedural quality, and relationship quality. Our typical program
assesses specific issues under each component, for example:

Product Quality
meets or exceeds expectations
state-of-the-art technology
validated, tested, & simulated to client specifications
competitive pricing
enhance customer value

Procedural Quality
ease of ordering
accurate fulfillment
inventory meets needs
on time delivery
 environmentally friendly packing
packaged to prevent damage in shipment
ease of tracking
appropriate adjustment/return policy
order-through-delivery process bests competition
Relationship Quality
product knowledgeable contacts
knowledgeable about client needs
communicates at client knowledge level
one-stop problem resolution
problems solved at the root cause
legendary customer service benchmarks competition

The tailored Programs provide direct, statistically valid, comparison data of you to your
competition on the following actionable areas:

Responsiveness
Competitiveness
Innovativeness
Quality
Customer Service
Long Term Partnering

It accurately quantifies your competitive strengths and weaknesses from your customers'
perspective. Using the data, it will help you focus strategic efforts to retain and increase market
share. The programs also provide direct measure of the effectiveness of initiatives your
organization has implemented during prior year (after first year's participation). That is, you will
have quantifiable internal benchmarks (in addition to the external competitive benchmarks) on
the repeat annual surveys to judge progress based on actions you have taken during the previous
12 months.

TABLE SHOWING KEY FACTORS FOR CUSTOMER SATISFACTION

COMPANY FUNCTION QUALITY FACTORS
Product
Sales Knowledge

Brochure detail
Marketing Mailing frequently
Order Delivery time
Distribution Order Completeness

Problem Response Time

After Sales Time to Resolve

Accuracy
Accounts Problem Response
Courtesy

CUSTOMER CARE AND SALES PROCESSES

Service organizations are particularly dependent on levels of customer care, as the people
element in the marketing mix reflects. Customer care can play an equally important role,
however, in manufacturing, production and other organizations providing goods and services.
For customer care programs to be successful they need to span the entire organization. Popular
guarantees 100% customer satisfaction and has, over the years, developed a more conscientious
approach to individual customers. There is Customer care training provided. Though this may
initially be a very lengthy process as the ball starts rolling through all sectors of the organization
and costs will grow too, as further investment is required to update and maintain the initiative in
the future. To provide an effective customer care services, every employee is highly motivated.
There are frequent internal newsletters circulated which strengthens the bond throughout the
organization. Frequent performance appraisal throughout the organization is conducted to
evaluate the employees and provide career developmental opportunities to potential employees.
The customer care program at Popular mainly have six main stages, as follows:
 1. Objectives setting: For every month, target sales will be fixed by the Sales Manager at the
showroom.

2. Current situation analysis: Present industrial trend is observed closely and various
promotional offers are introduced to boost sales if there is a chance for a slump in sales.
Also, a customer service audit is conducted both internally and externally. Monthly sales
targets fixed by the Sales Manager.
3. Strategy development: Develop a strategy for raising levels of both customer service and
sales from the current to the desired standard based upon any change in trends and the
economic conditions prevailing. Each region is divided into 4 zones. Each zonal level will
be under the charge of a supervisor under whom there are four sales executives. It is the
duty of these sales executives to generate on field enquiries and to follow up the customers
based on the appointment fixed.

4. Functional planning: Define training needs and other requirements such problem-solving
sessions or teambuilding exercise to execute the strategy. Daily, a meeting of all the staffs
at their respective branch is convened. Here they discuss their daily programs and targets to
meet plus they also discuss about their previous days work among the team. They consider
the response of all the individual customers met.

5. Implementation: Implement training and other initiatives through workshops, seminars.

The prospective customers are segregated and the issues raised by certain customers will
also be addressed. Some customers may not be satisfied with the present offers and price.
In such cases efforts will be put up to make maximum adjustments and convert it to sales.

6. Monitoring: Results are tested through customer and employee surveys and evaluation of
the training methods is also conducted. The program is improved and updated on a
continuous basis.

HANDLING CUSTOMER COMPLAINTS

A complaint is any measure of dissatisfaction with your product or service, even if its
unfair, untrue, or painful to hear! Complaints may be about:
Service Content, Delivery or Quality Response Time
 Documentation Personnel
Billing Communication
Follow Up Requests
This is a customer complaint resolution process that anyone can implement:
Focus on the Customer
If you cant immediately solve the problem, respond to the customer and identify an owner
who will be responsible for final resolution. Complete the communications loop with customer.
If youve referred the complaint to others, make sure theres closure. If youve left the customer
hanging without a response, youve become part of the problem.
Focus on the Complaint
Collect all complaints from all external customers and categorize them in a way that allows you
to analyze data to see trends, patterns, concentrations, tendencies, etc.
Focus on Process Improvement
Use the database of complaints to define processes that are important from the customers
perspective and to improve the most critical ones. Based on analysis of the database, make
appropriate investments to prevent issues that result in customer complaints. If you can think of
complaints as useful data for making process improvements in your organization, you will go a
long way towards making changes that will differentiate you and make your work life easier,
more fun, and more responsive to customer needs.
SIX STEPS TO DEALING WITH DIS-SATISFIED CUSTOMERS

1. Listen carefully to what the customer has to say, and let them finish-Don't get defensive.
The customer is not attacking you personally; he or she has a problem and is upset. Repeat back
what you are hearing to show that you have listened.

2. Ask questions in a caring and concerned manner-The more information you can get from
the customer, the better you will understand his or her perspective. Ive learned its easier to ask
questions than to jump to conclusions.

3. Put yourself in their shoes-As a business owner, your goal is to solve the problem, not argue.
The customer needs to feel like youre on his or her side and that you empathize with the
situation.

4. Apologize without blaming-When a customer senses that you are sincerely sorry, it usually
diffuses the situation. Don't blame another person or department. Just say, "I'm sorry about that.

5. Ask the customer, "What would be an acceptable solution to you?"-Whether or not the
customer knows what a good solution would be, Ive found its best to propose one or more
solutions to alleviate his or her pain. Become a partner with the customer in solving the problem.

6. Solve the problem, or find someone who can solve it quickly!-Research indicates that
customers prefer the person they are speaking with to instantly solve their problem. When
complaints are moved up the chain of command, they become more expensive to handle and
only add to the customer's frustration.
 CUSTOMER SATISFACTION
As Customer Satisfaction is the key principle in every organization. Today consumer is looking
out for value for money. The challenge before the marketers is to identify what value would
appeal and convince the customer. Marketers are trying to enhance the concepts of value through
unique delivery methods. Customer satisfaction is a continuous process which does not begin or
end with a purchase. It covers the entire ownership experience from selecting a product, to
purchase, through aftercare to repeat purchase. Customer satisfaction or dissatisfaction is the
feeling derived by the customer when he compares the products actual performance with the
performance that he expects of it. Customers form their expectations on the basis of past buying
experiences, advice of their reference group and the promises of the marketers and their
competitors.
When the product performance matches the expected performance, the customer experiences
satisfaction; when it falls short of the expectation, he experiences dissatisfaction. And when the
performance exceeds expectations, the customer is highly satisfied or delighted. It becomes
easier for a company to serve a delighted customer. As a delighted customer may become loyal,
bringing more business to the firm, he will be less likely to switch to a competitors product; and
so, he becomes brand loyal.
Customer satisfaction can be measured using different techniques like questionnaires and direct
interviews. A customer feedback program should be viewed as an operating tool rather than as
market research. Customer satisfaction means giving the customers what they really want, when
they want it and the way they want it. It involves understanding customer expectations and
meeting them fully.It can be defined as an outcome of purchase and use resulting from the
buyers comparison of rewards and the costs of the purchase in relation to the anticipated
consequences.
Customer is an individual or an organization. Their requirements are very similar.
Conformance of services to their requirements and its performance in actual stage
Competitive prices
Service
Whether the buyer is satisfied after purchase depends on the offers performance in
relation to the buyers expectations.
 Satisfaction is a persons fallings of pleasure or disappointment resulting from comparing
a products perceived performance 9or outcome) in relation to his or her expectations.

As this definition makes clear, satisfaction is a function of perceived performance and

expectation. If the performance falls short of expectations, the customers, the customer is
dissatisfied. If the performance matches the expectations, the customers are satisfied. If the
performance exceeds expectations, the customers are highly satisfied or delighted.

Many companies are aiming for high satisfaction because customers who are just
satisfied still find it easy to switch when a better comes along. Those who are highly satisfied are
much less ready to switch. High satisfaction or delight creates an emotional bond with the brand,
not just a rational performance. The result is high customer loyalty. Xeroxs senior management
believes that a very satisfied or delighted customer is worth 10 times as much to the company as
a satisfied customer. A very customer is likely to stay with Xerox many more years and buy more
than a satisfied customer will.

There are five major factors, which affected satisfaction of the car namely: -
1. Problems Experienced:
Contributing to 35% of the CSI score, this factor measures the quality of the car in terms
of the number of repair problems that cropped up and how often it was returned for re-
service.

2. Service Advisor:
Which related to ability of the services advisor to ability of the service advisor to
understand the problem and his promptness in attending to the customer, contributing to 28%
of the CSI Score.
3. Service Performance:
Measures the quality of the service performed as well as the dealers ability to fix a
problem on the first visit. It has a weightage of 26% in the CSI score and also considers how
easily spare parts are available when required.
 4. Service Timing:
Affecting the score by just 6%, this time taken for a service or repair job was responsible
and if the vehicle was ready at the time promised.

5. Facility Appearance: -
Deals with the appearance of the customer lounge at the dealership and the look and
cleanliness of the service area. This factors has the least impact CSI score at Just 5%
Measuring Customer Satisfaction
Organization are increasingly interested in retaining existing customers while targeting
non-customers; measuring customer satisfaction provides an indication of how successful the
organization is at providing products and/or services to the marketplace. Customer satisfaction is
an ambiguous and abstract concept and the actual manifestation of the state of satisfaction will
vary from person to person and product/service. The state of satisfaction depends on a number of
both psychological and physical variables which correlate with satisfaction behaviors such as
return and recommend rate. The level of satisfaction can also vary depending on other options
the customer may have and other products against which the customer can compare the
organizations products. Because satisfaction is basically a psychological state, care should be
taken in the effort of quantitative measurement, although a large quantity of research in this area
has recently been developed. Work done by Berry, Brodeur between 1990 and 1998 [3] defined
ten Quality values which influence satisfaction behavior, further expanded by Berry in 2002
and known as the ten domains of satisfaction. These ten domains of satisfaction include: Quality,
value, Timeliness, Efficiency, Ease of access, Environment, Inter-departmental Teamwork, Front
line Service Behaviors, Commitment to the customer and Innovation. These factors are
emphasized for continuous improvement and organizational change measurement and most often
utilized to develop the architecture for satisfaction measurement as an integrated model. Work
done by Parasuraman, Zeithaml and Berry between 1985 and 1988 provides the basis for the
measurement of customer satisfaction with a service by using the gap between the customers
expectation of performance and their perceived experience of performance. This provides the
measurer with a satisfaction gap which is objective and quantitative in nature . work done by
Cronin and Taylor propose the confirmation/disconfirmation theory of combining the gap
described by Parasuraman, Zeithaml and Berry as two different measures (perception and
expectation of performance ) into a single measurement of performance according to
expectation. According to Garbrand, customer satisfaction equals perception of performance
divided by expectation of performance. The usual measures of customer satisfaction involve a
survey with a set of statement using a Likert Technique or sale. The customer is asked to
evaluate each statement and in term of their perception and expectation of the performance of the
organization being measured.
CHAPTER II: LITERATURE REVIEW

This chapter provides the relevant literature and theoretical framework for the present study.

2.1. HYPOTHESIS FORMATION

2.1.1. BRAND IMAGE AND BRAND LOYALTY

Kellers (1993, 2001) conceptual research suggested a strong connection between a

positive brand image and brand loyalty. Keller (1993) explained that consumers repeated
buying behavior represents brand loyalty, which reflects a favorable attitude towards a
brand. Esch et al.s (2006) empirical research supported Kellers proposition by showing
a statistically significant effect of positive brand image on current/future purchases. Thus,
the present research posits:

H1. Brand image will not be positively associated with brand loyalty.

Co
m
mi
tte
d
Buthe
Likes
ye
Brand,
r
Considers it a
Friend
Satisfied Buyer with
Switching Costs

Satisfied/Habitual buyer
No Reason to Change

Switchers/Price sensitive No Brand Loyalty

 Figure 1.1 The Brand Loyalty Pyramid (Aaker, 1991, p. 40)

2.1.2. BRAND IMAGE AND CONSUMER PERCEPTION

Past literature revealed that a successful brand image enables consumers to identify their
desired need which ultimately helps a company from its competitors Hsieh et al., (2004).
On the other hand Tarofder and Haque (2007) had given importance on supplier selection
based on their brand image. In fact the findings of Jiang et al. (2011) revealed that apart
from brand image price discount and complementary products may have positive impact
on customer loyalty. Furthermore, Linder and Seidenstricker (2010) agreed that brand
image is one of the companys core competencies. Mishra and Datta (2011) revealed that
brand name has strong influence on customer based brand equity. Kotler (2001) defined
brand image as a set of beliefs, ideas and impression that a person holds regarding an
object. On the other hand, Keller (1993) considered brand image as a set of perceptions
about a brand on consumers memory. Na et al. (1999) connected brand image with
customers perception as they mentioned that image cannot be measured by attribute
measurements alone but must include measurements of consumers' perceptions of the
value and benefits attainable from using the brand. Thus, it posits:

H2. Brand image will not be positively associated with consumer perception.

consumer perception
brand image towards patanjali

Figure Conceptual framework

2.1.3. CONSUMER PERCEPTION AND BRAND LOYALTY

Humans unlike machines can have the ability to Perceive. It is a feeling which is based
on the conclusion formed with the given information around and the mindset of the
consumer which is responsible of processing the information. Perception gives humans
the right to make important decisions or can reflect their important decisions. It all leads
to the most important decision of purchasing. Purchasing means to invest in a brand, for
making it a greater brand.

Underlying research will focus on concluding the fact that how much is the impact of
brand perception on brand awareness and brand loyalty of these brands. Several
conclusions can be drawn if consumer perception plays any role and there is a relation
among the consumer perception, brand awareness and brand loyalty of these brands. The
project is intended to fulfill the needs of marketing research which is quite important for
present marketing trend. Total sales turnover of the brand depends on the consumer
purchase decision. If the consumers perceive positive about the brand, it means he
carriers more loyalty and will remain potential customer, until he keeps on getting the
right value for his money. Thus, it posits:

H3. Consumer perception will not be positively associated with Brand loyalty.

2.1.4. GENDER AND LOYALTY INTENTIONS

Customer loyalty has been the object of intense interest in both the business and
academic worlds (Oliver 1999; Reichheld 2001). At the same time, academic research has
discovered important differences in cognitive processes and behavior of male and female
consumers (Fisher and Dub 2005; Meyers-Levy 1988, 1989; Meyers-Levy and
Maheswaran 1991; Meyers-Levy and Sternthal 1991). These differences are reflected in
the widespread use of gender as a segmentation variable in marketing practice. Despite
the importance of customer loyalty on the one hand, and gender differences on the other
hand, little is known about the existence and nature of gender differences in customer
loyalty. This is surprising because if male and female loyalties differ, men and women
might require a different selling approach, has different levels of customer value, and
may respond differently to loyalty programs and other actions aimed at enhancing
customer loyalty. Common stereotypes, perhaps based on widely publicized findings
showing that males exhibit lower levels of loyalty than females (e.g., Blumstein and
Schwartz 1983; Hansen 1987), suggest that females are more loyal customers than males.
Thus, it posits:
H4. Gender will not be positively associated with loyalty intentions.

2.1.5. GENDER AND CONSUMER PERCEPTION

Self-congruency theorists suggest that consumers tend to purchase products and brands
consistent with their self-images (Rosenburg, 1979; Ross, 1971; Sirgy, 1982/1986).
Perhaps the most important and central part of self-image is ones gender identity (Kates,
2002; Palan, 2001), and this gender-self generates strong congruency effects with regard
to ones brand perceptions and choices (Sirgy, 1982/1986). The gender-self is solicited
across a wide variety of marketing practices. Marketers not only use sex as an important
segmentation variable but also develop implicit meanings by factoring gender-related
cues into a brand. Furthermore, consumers gender identity and sexual orientation have
been used to target consumers in emerging gender-market segmentations such as
Metrosexual: males who are heterosexual, hip, concerned with their appearance, and in
touch with their feminine side. However, the marketing literature is replete with studies
that only report biological sex and treat this as the sole determinant of gender-related
behavior. Gender is often used interchangeably with sex because such a dichotomous
variable provides a comfort zone for researchers when measuring and interpreting the
consumerist implications of gender. This approach overlooks the important differences
between sex and gender and leads to biased research and distorted representations of
complex gender-related marketing phenomena (Hirchman, 1993; Palan, 2001). Since the
1960s some researchers have begun to investigate how gender identity (which includes a
combination of sex, psychological gender, and gender attitudes) would contribute to a
consumers product- and brand-consumption (Gould and Stern, 1989; Fischer and
Arnold, 1990/1994; Palan, 2001). However, research results have been mixed. For
example, individuals with a higher masculine-gender identity exhibit stronger
information processing (Kempf, Palan, and Laczniak, 1997; Palan, 2001), while
individuals with a higher feminine-gender identity develop more positive attitudes toward
and get more personally engaged with products and brands (Gainer, 1993; Jaffe and
Berger, 1988; Worth, Smith, and Mackie, 1992). As such, a critical question becomes
whether or not gender identity can consistently predict any of the many facets of
consumer-based brand equity. It has been suggested that consumer involvement may be
an important link between gender and consumer perception (Fischer and Arnold, 1994;
McCabe, 2001; Sirgy, 1982), so this study addresses the research gap between gender
identity and brand loyalty through the lens of a consumers level of product involvement.
Thus, it posits:

H5. Gender will not be positively associated with consumer perception.

2.1.6. GENDER AND BRAND IMAGE

The perception of consumers towards a certain brand can cover a variety of measures,
including attitude towards a brand (Monga & John, 2007; Shen & Chen, 2007); attitude
towards an advertisement or communication of the brand ( Shen & Chen, 2006; Lee &
Labroo, 2004); perceived quality of the brand (Keller & Lehmann,2006; Essoussi &
Merunka, 2007); memorability (Volckner & Sattler, 2007); brand value or equity
(Buchanan et. al. 1999); brand image (Lee & Labroo, 2004; Essoussi & Merunka, 2007);
brand personality (Aaker, 1997); purchase intentions (Lee & Labroo, 2004) and choice
(Shiv et. al., 1997). Brand image is the first word or image that comes to mind when a
certain brand is mentioned. It is fragile and can be altered by new information or
damaged by media commentators (OShaughnessy, 2003). Brand image is the
representation of the brand in the mind of the consumer. In western cultures, brand image
can be like a human being with unique characteristics. In collectivistic culture like
Malaysia, it can be quality and the representation of trust in a firm. Consumers will
attribute to the brand characteristics that fit their own mental maps and from there
develop a brand image (De Mooij, 2005). Thus, it posits:

H6. Gender will not be positively associated with brand image.

2.1.7. BRAND IMAGE, CONSUMER PERCEPTION AND LOYALTY

INTENTIONS

The ever changing marketing scenario and competition over the globe has amplified the
role of brand at unparalleled level. Every person is a consumer of different brands at the
same time. The choice and usage of a particular brand by the consumer over the time is
affected by the quality benefits offered by the brand especially when it comes to brand of
 eatables and cosmetics. Consumer satisfaction is derived when he compares the actual
performance of the product with the performance he expected out of the usage. Philip
Kotler (2008) observed that satisfaction is a person's feelings of pressure or
disappointment resulting from product's perceived performance (outcome) in relation to
his or her expectations. If the perceived benefits turned out to be almost same as
expected, customer is highly satisfied and that is how the company achieves loyalty of
the customer towards the products. Thus, it posits:

H7. There will not be positive relationship between brand image, consumer perception
and loyalty intentions.

2.2. RESEARCH BACKGROUND

This survey research has utilized both primary and secondary data and information from different
sources including Patanjali Ayurveda ltd., text books, magazines, journals and websites about
different variables of the study.

Various studies were consulted for collecting data. A study on Patanjali is also available of
consumer perception toward the brand. These studies include:

1. A study of consumer perception of herbal products in Bhopal: International Journal

of Management Studies ISSN (Print) 2249-0302 ISSN (Online)2231-2528

AUTHORS: Md. Irshad Ali, Research Scholar, FPM, Indian Institute of Forest Management,
India and Manmohan Yadav, Professor, Indian Institute of Forest Management, India

The Indian herbal market is flooded with numerous well-known and recognised herbal brands.
Vindhya Herbal is an initiative of Madhya Pradesh government to provide unadulterated
ayurvedic products to the people and for generating gainful employment for the vulnerable and
downtrodden section of the society. The study is to examine existing state of Vindhya Herbal in
Bhopal, its birthplace. Besides, this study talks about other parameters like benefits/attributes
consumer acquaintances with herbal products, awareness, preferential, source of knowledge,
usage and attitude related to herbal products.
The research design consisted of an exploratory phase followed by a descriptive cross-sectional,
close-ended questionnaire-based survey in Bhopal. As the study has been conducted in a Hindi
belt, the questionnaire was kept bilingual; Hindi and English. Sampling was done on the basis of
two criteria; 1) such regions were selected where almost major herbal brands are available and 2)
Respondents have used at-least one of the herbal brands.

Only 23 percent consumers responded to have used Vindhya herbal. Those who have used
Vindhya herbal have preference it, if available in a nearby store. Most of the respondents
mentioned that herbal products are prepared from the natural ingredient, as a result faced no side
effect. Purchase of herbal products primarily takes place on a monthly basis and use on a daily
basis. Doctors, family members and mass media were reliable sources and the respondents trust
on their recommendations for buying fresh herbal products. Desirability for further information
was high among consumers related to herbal products.

2. Customer Perception towards Brand: A Study on Patanjali: Global Journal of

Management and Business Research: E-Marketing, Volume 15 Issue 9 Version 1.0 Year
2015, Type: Double Blind Peer Reviewed International Research Journal, Publisher:
Global Journals Inc. (USA), Online ISSN: 2249-4588 & Print ISSN: 0975-5853

AUTHOR: Miss Rupali Khanna, Chandigarh University, India

This paper carries out a study on what factors PATANJALI. Patanjali - a brand set up by
PATANJALI AYURVEDA LTD is backed by robust preaching and promotion of World
renowned Guru Swami Ramdevji and an international authority on Ayurveda and Traditional
Herbs. The company is set up with an objective to provide superior quality of products at fair
price and to get their customers rid off the chronic diseases by providing products which are
organic and natural. This concept of Herbal and Pure has gained momentum in India and across
the world since people now a days are more centered towards keeping themselves near to Nature
due to their commercialized routines. PATANJALI AYURVEDA LTD has more than 100
different products in the catalogue for Skin, Hair, Heart, Eyes and Kidney diseases. Patanjalis
recent tie up with Future Group to enter into FMCG segment through Big Bazaar Retail stores is
another big advantage towards the availability of Patanjali Products near to their consumers. The
Patanjali Products have rightly been placed at advantage by the very concept of Marketing
through Spirituality.

3. Effect of Brand Image on Brand Loyalty and Role of Customer Satisfaction in it:
World Applied Sciences Journal 26 (10): 1364-1370, 2013, ISSN 1818-4952, IDOSI
Publications, 2013, DOI: 10.5829/idosi.wasj.2013.26.10.1343, Published on Nov 30,
2013

AUTHORS: Rashid Saeed, Rab Nawaz Lodhi, Amna Mehmood, Urooj Ishfaque, Fareha
Dustgeer, Amna Sami, Zahid Mahmood and Moeed Ahmad

The purpose of this study was to check the effect of brand image on brand loyalty and the
moderating role of customer satisfaction in it. Brand attributes and Brand benefits were studied
as dimensions of Brand Image. Quantitative study was conducted in wireless Telecommunication
sector of Pakistan. Sample of 150 students and teachers, from different colleges and universities
of Sahiwal, were selected and surveyed through questionnaires. Pearson Correlation and
Regression were run to analyze the data. Finding reveals that positive and significant relation
exists between Brand Image and Brand loyalty and Customer Satisfaction also has a positive
moderating effect on this relation. The sample size was too short. This study can be replicated
with a large sample size in similar sector or context. The impact of marketing communications
and consumers knowledge on brand loyalty can also is studied to enhance the study.
Organizations ought to pay special attention to the building of brand image, achieving customer
satisfaction. And through this they would also be successful in achieving brand loyalty.

4. The Impact of Brand Image on Consumer Behavior: A Literature Review: Open

Journal of Business and Management, 2015, 3, 58-62. Published Online, January 2015 in
SciRes.

AUTHOR: Yi Zhang, Department of Marketing, Management School, Jinan University,

Guangzhou, China

The concept brand image has drawn significant attention from academics and practitioners
since it was put forward, because it played an important role in marketing activities. Although
brand image was recognized as the driving force of brand asset and brand performance, few
studies have elaborated on the relationship between brand image and brand equity. Based on the
brand image theories, this study reviewed extant studies about the impact of brand image on
consumer from perspective of customer equity. It also presented the shortcomings of current
research and pointed out the trends for future study.

2.3. SCOPE OF THE STUDY: This research focused on respondents of Dehradun. The
research provided fruitful information about Patanjalis product line users and brand perception
they have about Patanjali.

2.4. LIMITATION OF THE STUDY: In this research, we examined factors responsible

for brand loyalty of the product to brand image of the Patanjali. The study focuses on only the
consumers in Dehradun. The Dehradun region was chosen due to easy accessibility and profound
understanding of the market. Another reason is that we had a thorough understanding of the
background information necessary to do the survey and could easily use networking to obtain the
sample.
2.5. METHODOLOGY: A single cross-sectional research design was used for the survey and
quantitative analysis was used for the obtained dataset.

The answering scale for the questions related to brand image and brand loyalty is a 7-item Likert
scale. Data collection was done through the online website using an online-based questionnaire.
MS Excel was used for analyzing the information in the obtained dataset. The types of analysis
that were performed are t-test analysis, ANOVA and Pearson Correlation. By doing it, the main
factors that influence brand loyalty were examined.
CHAPTER III: COMPANY PROFILE

3.1. PATANJALI YOGPEETH

Patanjali Yogpeeth in Haridwar, Uttarakhand is one of the largest Yoga institutes in India. Named
after the Ancient Yog Guru Patanjali, the Institute is Ramdev's flagship project & has been set up
for treatment, research & development in Yoga and Ayurveda, as well as the manufacturing of
ayurvedic medicines.

It is a center of Yoga and Ayurveda activities in India built on the name of Maharishi Patanjali
who invented Yoga 5000 years ago. The ashram is run under the guidance of Swami Ramdev Ji
Maharaj who has revived Yoga and spreading it all over the world. Patanjali Yog peeth is open to
everybody. Located on the Haridwar-Delhi highway at Kankhal, very near to Roorkee, Patanjali
Yogpeeth offers treatment for all and has residential accommodation.

At Mahatma Dharamveer's Gurukul in Kisangarh Ghasera where Baba Ramdev met

philanthropist Archarya Balkrishan. With the help of Balkrishan, Baba Ramdev has established
Divya Yog Mandir in 1995. Archarya Karamveer was also one of the pillars of Divya Yog
Mandir. In almost 3 years, Divya Yog Mandir and Baba Ramdev have galvanized the world into
turning ardent practitioners of Yoga. Baba Ramdev and trust run spearhead, all his activities
which include Yoga camps, manufacturing ayurvedic medicine and treatment of patients with
help of Yoga and Pranayama. Baba Ramdev TV programmes and Yoga camps have proved to be
immensely popular. Swami Ramdev put lots of emphasis on teaching Pranayam as compared to
Yoga. According to Shri Shri Ravi Shankar, a world-renowed spritial leader "If an individual can
be credited with reviving Yoga in India, it is solely Baba Ramdev". Millions of people all over
the world attend Baba Ramdev's free Yoga camps (shivir). Ramdev Baba has also conducted
Yoga camp at Rashtrapati Bhavan - the residence of the President of India.

Yoga has ability to cure even fatal diseases and Baba Ramdev has proved it many times. Ramdev
Baba has spread Yoga to such an extent that sooner or later, everyone has to embrace it. Patanjali
YogPeeth Trust is the dream project of Baba Ramdev. It was inaugurated on August 6, 2006.
Baba Ramdev's aim was to build the world's largest center of Ayurveda, Yoga and Pranayama.
Patanjali YogPeeth provides facility for treatment for diseases, research and a teaching
University for Yoga and Ayurveda. This trust is located 13kms from Haridwar. The estimated
cost of the project was 10 billion. During inauguration, Sudarshan Agarwal, Governor of
Uttrakhand, said "Patanjali Yog Peeth will soon be the ambassador of Yoga for entire world.

According to associated news press, The Patanjali YogPeeth project was divided into 3 phases.
Phase one was basic construction. The second stage comprises of serviceable guesthouses, herbal
gardens, yajnashala, meditation caves and many other facilities. It will be the biggest Yoga and
Ayurvedic center in the world. Third stage is opening a University of Yoga and Ayurveda. Baba
Ramdev wants to flow river of Yoga in each and every region, whether in a village or city. The
confidence which Baba Ramdev exuberates compels people to at least give his Yoga a try.
Millions of people practice Baba Ramdev's Yoga and Pranayama. Ramdev Baba's TV programs
broadcast in several countries including America, Europe, Australia, Asia and Africa. Viewership
is quoted as being 20 millions regular viewers. Followers of Baba Ramdev have claimed relief
from a variety of ailments such as Diabetes, Blood Pressure, Hepatitis, Spondylitis and Obesity.
He is the real hero who devoted his whole life to help people by giving them unknown
knowledge of Yoga and Pranayama.

Swami Ramdev medicines are manufactured in branches well equipped with modern
equipments, certified by the international standards GMP, GLP & ISO 9001. Swami Ramdev's
pharmacy makes the medicines pure and rich in quality. Medicines manufactured go through
quality control and quality assessment tests. Patanjali Yogpeeth is operating Patanjali Hospitals
in every nook and corner of India, where one can get life saving Swami Ramdevs medicines
which are affordable to all rich and poor.

Patanjali Yogpeeth medicines are also available for health care, oral care, hair care and skin care.
Many of the critical ailments such as Cancer, Diabetes, arthritis etc. can be cured by Swami
Ramdev's Medicines. These medicines are low cost, very effective and available at Ramdev
Chikitsalaya. Some of very effective Ramdev medicines are Mukta Vati for high blood
pressure, Madhunashini Vati for Diabetes, Medohar Vati for Obesity.

Swami Ramdevji Maharaj is a historic personality. He has written new history in the areas of
yoga-prananyam and ayurvedic treatment methods. In this regard the work done by the
organization established by him namely Patanjali Yogpeeth (Trust), Divya Mandir (trust),
Patanjali Yog Samitis, Divya Yog Pharmacy Trust and branches, will be written in golden letters
on the pages of history. The ambition of these establishments are to reach yoga and Ayurveda to
the 700 crore global population along with Indian culture and words of the sages. To encourage
the use of Ayurvedic medicine, Swamiji manufactures superior quality and proven medicines in
Divya Yog Pharmacy.

Swami Ramdev's medicines are manufactured in branches well equipped with modern
equipments mostly in Haridwar and other places, certified by the international standards GMP,
GLP & ISO 9001. Swami Ramdev also has a botanical garden near Patanjali Yog Peeth where
the herbs and medicinal plants are grown. Here research is carried out on rare herbs and they are
grown here by putting in great efforts. Under Swami Ramdev's guidance an industrial unit is also
established called Patanjali Ayurved Limited which produces pure and high quality minerals and
plants products through scientific methods. Swami Ramdevji and Acharya Balkrishna ji have
tried to combine the ancient knowledge with ultramodern technology.

Some people could not digest the increasing fame of Swami Ramdev and they started negative
campaigning against Swami Ramdev with the help of media. The qualities of Swami Ramdevs
medicines were doubted. When these medicines were tested in the lab all the allegations proved
baseless and Swami Ramdev came out spotless amidst the acid test. This resulted in unexpected
increase in the demand of medicine of Swami Ramdev. Baba Ramdev's pharmacy puts in all the
efforts to make the medicines pure and rich in quality. All the medicines manufactured go
through strict quality control & quality assessment tests, Toxicological study - Animal trials,
clinical tests.

Swami Ramdev is working towards the goal of establishing the ayurvedic products at par with
the international standards and to make it known across the world. To encourage the use of
Ayurvedic medicine and amongst Swami Ramdev's revolutionary thoughts, one is that the
farmers of India should adopt the cultivation of medicinal herbs and plants along with fruits and
vegetables.

Patanjali Yogpeeth is a renowned name in the field of medical science, rendering free services to
millions of people across the globe through Yoga and Ayurveda.
3.2. HERBAL PRODUCTS IN PATANJALI YOGPEETH

Divya Yog Mandir (Trust), started Brahamkalp Chikitsalaya at Kripalu Bagh Ashram, Kankhal
in 1995 where patients suffering from various diseases were cured using Ayurvedic medicines
and practices of Yoga. Need was felt to provide quality Ayurvedic medicines to the patients to
seek optimum results as results of Ayurvedic treatment are directly proportional to the quality of
prepared medicines. Hence a small scale manufacturing unit of Ayurvedic medicines was
established in the campus of Kripalu Bagh Ashram, Kankhal. This was the beginning of Divya
Aushadhi Nirmanshala (Divya Pharmacy), which was totally based on traditional methods.

Divya Pharmacy has had the exalted vision to bring Ayurveda to society in a contemporary form
and to unravel the mystery behind this haloed and revered, Indian system of medicine by
exploring and selecting indigenous herbs, ancient Ayurvedic literatures and subjecting the
formulations to modern pharmacological, toxicological safety tests and clinical trials to create
new drugs and therapies.

Divya Pharmacy tries that medicines should possibly be available to common man at the
minimum cost price. In the year 2002-03, modernization of the pharmacy has been done. A new
expanded unit of the pharmacy has been established well equipped with machines based on
modern techniques.

PLC controlled herbal extraction plant commissioned in the pharmacy is used for extracting from
the various parts of the medicinal plant like the leaves, The salient feature of this plant is the
production of medicine using latest SCADA technology under controlled environmental
conditions of temperature and pressure. The extract concentration is achieved under vacuum
drying preserving the maximum valued contents of the herbs.

Quality of the medicines so produced is of the highest level. This unit has the capacity of
extracting from 10,000 kgs. of raw herbs. The desired fluid component is added to this extract in
the process of making the medicines.

For the manufacturing processes in Divya Pharmacy automatic high speed spray drier unit, for
quick liquification a fluid wed processor, tablet compressing device with the capacity for
preparing one lac tablet per hour, high speed auto-coater for coating the tablets, high speed
mixer-grinder, fluid wed driers and cleaning, crossing & pulverizing units have been established.

In the modern packing section of Divya Pharmacy PLC controlled packing equipment having the
capacity of 300 volts per minute with automatic blister packing equipment has been installed. A
utility center has been set up in this production unit which has two 500 KVA generators,
softeners & cooling towers including boilers & air compressors having the capacity to produce
300 ton steam.

As a result of this Divya Pharmacy has become the first medicine manufacturing unit of
Uttarakhand to get ISO-9001 and WHO-GMP certifications. In the Pharmacy the international
standards like Good Manufacturing Practices (GMP), Good Packaging Practices (GPP), Good
Agricultural Practices (GAP) and Good Harvesting Practices(GHP) are being strictly followed.

Under the learned guidance of H. H. Yogrishi Swami Ramdevji, Vaidyaraj Acharya Balkrishna
and Swami Muktanand, Patanjali Herbal Garden & Agro Research Department has been
established at following few sites- Patanjali Herbal Garden site Nursery, Patanjali Herbal Garden
site Gurukul Gaushala Farm, situated nearby Patanjali Yogpeeth at Maharishi Dayanand Gram,
Bahadrabad, Delhi-Haridwar highway. These Herbal Gardens have beautiful collections of more
than 200 medicinal herbs, shrubs, trees, climbers and ornamental plants. Since, 1997 it was a
great effort with high spirit to collect the valuable medicinal plant and to ensure to grow in
Garden, a Divya Vanaushadhi Vatika has been earlier established in the Ashram at Kankhal.
Thereafter, to explore more possibilities of a large number of wide collections, exposition and
research of medicinal, aromatic and ornamental plants in a organized way in the Patanjali Herbal
Garden has been established. A team of Scientists from Botany and Agriculture and a number of
swayam sevak are engaged for research and management.

It is all about economically processing organic farm produce into daily use consumables ranging
from Ayurvedic health supplements to Foods and cosmetics and then supplying them largely to
the urban world. The produce will be picked up right from the farms, thereby increasing the
effective income of the farmers. The health based products will then be made available to a large
population in the urban areas that is reeling under the scourge of polluted food items and
artificial drinks that make them vulnerable to a variety of cronic diseases. And all this at a cost
that is unmatched in the market.

The consequential benefits are no less crucial to the mankind. Backed by a robust preaching and
promotion on the popular Astha channel by the world renouned Yog Guru Swami Ramdevji and
an international authority on Ayurved and traditional herbs Acharya Balkrishanji, it is all about
reinventing our traditional knowledge of Yog and Ayurved, rejuvenation of rural economy,arrest
of the flight of rural job seekers to the more demeaning urban slums, strengthening the health
grid of the nation and the world, mending the environmental imbalanceand finally fighting the
tirade of western culture on Indian panorama.

PATANJALI AYURVED Ltd. is a company that functions like all other companies under the
regulations of the company law affairs, yet is constantly striving for nation building more than
the profit accumulation.

At micro level the challenge is no less herculean. Along with PRANAYAM, the wisdom of our
ancient sages, the organic food products and herbal medicines churned out of this unit, undertake
to fight out the dreaded and incurable diseases like CANCER and AIDS. Claim for having found
a lasting cure for many other relatively more rampant but equally tormenting diseases like
Diabetes, Arthritis and Thyroid is already established with thousands of patients cured with
satisfaction.

Superior quality of our products at a fair price is not the only concern that we have. Getting our
patients rid of their diseases is again too limited a goal for us to seek. A holistic approach to
improvement in the quality of life of all beings, world over, is the purpose behind our being.
Getting rid the food we consume of the pollutants in the form of poisonous pesticides and
chemical fertilizers that our farmers use, is a goal that we strive to achieve by providing our
people the eatables that are cultivated in organic and natural manures and pest repellents.

Amalika- also known as amala or Aavla (Latin Emblica officinalis) is Indian gooseberry. It is
probably the most famous Ayurvedic herbs used in dozens of classical Ayurvedic formulae & in
hundreds of patent Ayurvedic formula. The herb of Amalaki is used for many purposes such as
delaying the aging cycle, rejuvenating the body, revitalizing body systems & top of all, building
immune levels. The herbal fruit of Indian gooseberry (amalaki) contains active levels of tannins
that help in rejuvenating the body cells & concerned organs. Amalaki contains abandon amounts
of Vitamin C ascorbic acid & is likely to possess richest amounts of it as compared to any
edible on this planet.

Avipattikar Churna is recommended for complete cure of your acidity, burning stomach and
indigestion problems. This is natural digestive tonic which helps in regularizing digestion
process & cures acidity problem. A regular course of this ayurvedic medicine gives good results
& generally no further medication is required. Avipattikar acidity remedy control acid secretion
from stomach walls and helps in easy and timely movement of food from stomach to intestines.
Avipattikar Churna is traditionally used to remove excess Pitta (Fire) from the stomach and small
intestine. This ayurvedic remedy alleviates acidity, Heartburn and Indigestion. High Pitta (Fire)
produces the problem of Acidity or Hyper Acidity. To reduce High Pitta (Fire) in the abdomen,
Avipattikar Churna is very good. For hyper acidity and abdominal aches being a mild laxative it
makes the stool soft, helps to check mild constipation and improve the appetite.

These days most of the people are suffering from constipation. The failure to excrete the feces
from the intestine is termed as constipation. There are many reasons for this disease, like
shortage of fiber in diet, insufficient intake of fluid, stress, wrong food habit, appetite, inadequate
exercise, use of too much laxative, enema abuse etc. Constipation can affect digestion, the
clearing of toxins from the system is hampered, energy levels and the absorption of nutrients will
get altered.

3.3. PRODUCT LINE AND PORTFOLIO OF PATANJALI YOGPEETH

Products of patanjali ypgpeeth are as follows:

Divya Amla Churna for Eyes, Digestion and General Health

Divya Arogyavardhani Vati

Divya Arshakalp Vati for Piles

 Divya Ashmarihar Ras for Kidney Stones

Divya Ashwagandha Churna for Stress, Fatigue and General Health

Divya Chandraprabha Vati for Urinary Disease

Divya Churna for Constipation

Divya Dant Manjan Tooth Powder

Divya Gashar Churna for Removal of Gas

Divya Giloy Sat for Swine flu, Bird flu, Pyrexia of unknown origin (fever)

Divya Hridayamrita Vati for Heart Disease

Divya Kanti Lep for Increasing Skin Splendour

Divya Kayakalp Tail Oil for Skin Problems, Cracks and Burns

Divya Kayakalp Vati for Skin Disease, Acne and Pimples

Divya Kesh Tail Hair Oil for Hair Loss, Dandruff and Headache

Divya Madhu Nashini Vati for Diabetes

Divya Madhukalp Vati for Diabetes

Divya Medha Kwath for Headache and Memory Enhancement

Divya Medha Vati for Memory Loss and Improving Intelligence

Divya Medohar Vati for Weight Loss

 Divya Mukta Vati for High Blood Pressure

Divya Peya Herbal Tea

Divya Pidantak Ras for Joint Pain and Arthritis

Divya Pidantak Tail Massage Oil for Joint Pain and Arthritis

Divya Punarnavadi Mandur for Kidney Problems and Anemia

Divya Sanjivani Vati for Cold, Fever and Flu

Divya Shilajeet Rasayan Vati for Impotency

Divya Shilajeet Sat for Gout and Weak Immune System

Divya Singhnaad Guggulu for Rheumatism

Divya Stri Rasayan Vati for Menstruation

Divya Swasari Ras for Lung Problems, Bronchitis and Asthma

Divya Triphala Churna for Rejuvination and Detoxification

Divya Triphala Guggulu for Joint Pain, Piles and Weight Loss

Divya Udaramrita Vati for Digestion and Stomache Problems

Divya Udarkalp Churna for Indigestion and Constipation

Divya Vatari Churna for Arthritis

Divya Yauvanamrita Vati for Weak Bodies and Impotency

 Divya Yograj Guggulu for Joint Pain

3.4. PRODUCT MIX OF PATANJALI YOGPEETH

Swami Ramdev's Divya Medicines are 100% natural, made from potent herbs such as the
ashtavarga healing plants of the Himalayas. They have proven extremely effective for combating
all forms of sickness and disease. Along with these medicines, Swamiji recommends patients to
also adopt the practice of Pranayama, which will strengthen the immune system and quicken the
healing process.

Abhrak Bhasm - Divya

Ajamodadi Choorna - Divya

Aloevera Gel

Aloe Vera Juice - Patanjali 1 Lt. or Aloe Vera 30 Capsules

Amla Churna - Divya (for Eyes, Digestion and General Health)

Amlki Rasayan - Divya

Amrit Rasayan - Divya(for Brain, Eyes, Strength and over all nourishment)

Anti Wrinkle Cream - Patanjali Tejus

Arjuna Kvath - Divya(for Coronary Artery Disease)

Arshakalp Vati - Divya(for Piles)40 grams

Arshkalp Vati - Divya(for Piles) 20 Grams

Ashmarihar Kvath - Divya / Vrikkdosh Har Kwath - Divya

 Ashmarihar Ras - Divya

Ashvagandha Capsule - Patanjali

Ashvagandha Churna - Divya (for Stress, Fatigue and General Health)

Ashvashila Capsule - Patanjali

Avipattikar Choorna - Divya

Awala Choorna - Divya

Amla / Awala Juice 1 Liter - Patanjali (Juice of Emblica Officinalis) / Divya Amalki

Rasayana 100 gm

Awala - Divya (Amla) Murabba - Divya(Dry Spicy)

Awala - Divya (Amla) Murabba - Divya (Dry Sweetened)

Awala / Amla Murabba Wet - Divya

Badam Pak - Divya

Badam Rogan - Divya

Bael Candy - Divya

Bael Murabba - Divya

Balm - Patanjali

Bang Bhasma 5gm - Divya

 Bavaci Choorna - Divya(for Leucoderma)

Beauty Cream 50 gm - Patanjali Tejus

Bilwadi Churna - Divya

Body Lotion - Patanjali Tejus

Body Massage Oil 100ml - Patanjali

Chatpata Choorna

Chandraprabha Vati - Divya (for Urinary Disease & diabetes)

Churna - Divya (for Constipation)

Chyawanprash - Divya with Ashtavarga Healing Plants (1 Kilogram)

Crack Heal Cream - Patanjali

Daliya : Patanjali Arogya Daliya

Dant Manjan - Divya (Tooth Powder)

Dant Kanti - Patanjali (Tooth Paste)

Divya Dhara

Drishti Eye Drop - Patanjali

Gangadhar Choorna - Divya (for Diarrhoea , Sprue Syndrome, Ama)

Gashar Churna - Divya (for Removal of Gas)

 Giloy Ghan Vati - Patanjali 40gm

Godanti Bhasm - Divya (for Migraine, Chronic Headache, Depression & Hernia)

Gokshuradi Guggulu - Divya (for Chronic Renal Failure)

Gulab Jal - Divya

Honey - Divya (Pure Himalayan Honey)

Hridayamrita Vati - Divya (for Heart Disease) 20 Grams

Hridayamrita Vati - Divya (for Heart Disease) 40 Grams

Kachanar Guggulu - Divya

Kaisara Guggulu - Divya (Psoriasis & Eczema)

Kanti Lep - Divya (for Increasing Skin Splendour)

Kayakalp Kwath - Divya (for Skin Problems)

Kayakalp Tail - Divya (for Skin Problems, Cracks and Burns)

Kayakalp Vati - Divya (for Skin Disease, Acne and Pimples) 20 Grams

Kayakalp Vati - Divya (for Skin Disease, Acne and Pimples) 40 Grams

Kesh Tail - Divya (Hair Oil for Hair Loss, Dandruff and Headache)

Lavan Bhaskar Churna - Divya

Lauki Juice - Patanjali

 Lauki - Amla Juice - Patanjali

Madhu Nashini Vati - Divya (for Diabeties)

Madhukalp Vati - Divya (for Diabetes)

MahaYograja Guggulu - Divya (for Osteoporosis)

Medha Kwath - Divya(for Headache and Memory Enhancement)

Medha Vati - Divya (for Memory Loss and Improving Intelligence) 40 grams

Medohar Vati - Divya (for Weight Loss)

Mukta Pishti - Divya

Mukta Vati - Divya (for High Blood Pressure)

Mukta-shukti Bhasm - Divya

Ojas Multani Mitti - Patanjali

Nimb Ghan Vati - Patanjali 60 Gr.

Panchakol Choorna - Divya

Peedantak Cream 50 gm - Patanjali

Peya (Herbal Tea) - Divya 100 Grams

Peya (Herbal Tea) - Divya 300 Grams

Pidantak Kwath - Divya (for Joint Pain and Arthritis)

 Pidantak Ras - Divya (for for Joint Pain and Arthritis)

Pidantak Tail - Divya (Massage Oil for Joint Pain and Arthritis)

Praval (branch) Pisthi- Divya

Praval Panchamrit- Divya

Punarnavadi Mandur - Divya (for Kidney Problems and Anemia)

Sanjivani Vati - Divya (for Cold, Fever and Flu)

Saptavimshati Guggulu - Divya

Sarvakalp Kwath - Divya (for Liver Problems and Jaundice)

Shadbindu Tail - Divya

Shatavar Choorna - Patanjali

Shampoo - Patanjali

Shankh Bhasm - Divya

Shilajit Capsule - Patanjali

Shilajeet Rasayan Vati - Divya (for Impotency)

Shilajeet Sat - Divya (for Gout and Weak Immune System)

Shilajeet Sat - Divya (for Gout and Weak Immune System) 50 gm

Singhnad Guggulu - Divya

 Sitopaladi Choorna - Divya

Soap Kanti Aloevera Body Cleanser - Patanjali

Soap Gomutra Kanti - Body Cleanser - Patanjali

Soap Somya - Body Cleanser - Patanjali

Soap Ojas Aquafresh - Body Cleanser - Patanjali

Soap Ojas Aquafresh - Mogra Body Cleanser - Patanjali

Soap Patanjali Somya Haldi Chandan Body Cleanser - Patanjali

Stri Rasayan Vati - Divya

Swasari Ras - Divya (for Lung Problems, Bronchitis and Asthma)

Tejus Tailum For Women

(Tooth Powder) Divya Dant Manjan

(Tooth Paste) Dant Kanti Patanjali

Trayodashang Guggulu Divya

Trikuta Choorna Divya

Triphala Churna Divya (for Rejuvination and Detoxification)

Triphala Guggulu Divya (for Joint Pain, Piles and Weight Loss)

Tulsi Ghan Vati Patanjali 40 Gr.

 Udaramrita Vati Divya (for Digestion and Stomache Problems)

Udarkalp Churna Divya (for Indigestion and Constipation)

Vatari Churna Divya (for Arthritis)

Yauvanamrita Vati Divya (for Weak Bodies and Impotency)

Yograj Guggulu Divya (for Joint Pain) 20 Grams

Yograj Guggulu Divya (for Joint Pain) 40 grams

Wheat Grass Powder Organic 1 Month Doses

Chatpata Choorna

For Gastric troubles and taste

Divya Jeera Goli

Divya Anardaana Goli

Divya Chatpata Chuara

Divya Nimbu Vati

From nowhere to everywhere, Brand Baba seems to be pervasive. Yoga has been there in India
since time immemorial, it has been synonymous with sadhus( saints) who usually after
relinquishing their mundane world in search of God or Nirvana used to keep them healthy, fit, let
them channelize their energy and control their inner self toward a single goal. In marketing
parlance we can think of it as a product which was restricted to a very small segment of society,
had some exclusivity attached to it, expertise of saint in performing it and a luxury which could
only be afforded by the disciples of saints.
Nobody could have thought of commercializing it, leave aside the thought of popularizing it
among the masses. Entrepreneurs are not only risk bearers, organizers and managers of the
enterprises but they are also great visionaries who not only anticipate the future needs but also
keep a check on the present requirements. We are sure Baba must have worked tirelessly on his
mission away from the glare of media, completing all his defined tasks, keeping a check on the
preparations and one day he must have decided to appear on the big stage and take the world by
storm that seems to be a meticulously planned launch of the Brand Baba.

The epithet He came , He saw, He conquered. is supposed to be rightly described as the arrival
of Baba and his infectious popularism among the masses. Suddenly everyone was seen rubbing
his/her nails walking by the road side, waiting for a train at the platform, while travelling, while
working in an office or for that matter whenever people found themselves free, he was there
everywhere in the life of people. Yoga, which used to be considered Generic till now was well
known by Baba Ramdev Brand of Yoga. People were looking for a solution to their stressful
life, an alternative form of medicine. He as a true entrepreneur anticipated this need before
anyone could and sold his idea of a complete health to the masses. As a good marketer would do
he made himself available for the masses through his Yoga Shivers, listened to their problems
& tried to solve them, connected with them personally, had a product which was well researched,
had variants of products in terms of different Yoga Aasans for different ailments, meant for
different age groups of people based on their ability to perform a particular aasan, had all the
medium of advertisement to support his Brand.

His journey didnt stop with his Brand of Yoga, when big business houses were struggling to
launch and operate Branded Medical Stores, he was once again there bang on launching his own
Brand of Ayurvedic Medicine Stores ( Patanjali) all over IndiaFranchising model also
included. His name has become synonymous with Yoga and Ayurveda. There might be other
before he appeared on scene, there are many in his era also but no one could make an impact like
him. His presence was so infectious that people from different walks of life were cashing on his
popularity.Filmstars like Shilpa Shetty and Bipasha Basu came with their own version of Yoga
CDs but could not pose a challenge to his leadership, infact they ended up following his
footstepseven the corporate world found a big market for herbal products..the consumers were
looking for products which were close to nature. His USP is that he made himself approachable,
common man identified with him and he positioned his product as a Total Health Solution
unlike the craze generated by the Filmstars to develop bulging biceps, curved body, zero figure
which could be defined as a fad bound to fade away without notice. His product promise for a
lifelong solution ( durability), can be used anywhere anytime( operational convenience),
available through different channels based on your convenience( like T.V., Books, Shivers ), his
product emphasizes on precaution rather than cure.a feature which make his product standout
from the rest of crowd and even if any ailment need to be cured he has the natural therapies and
his own brand of ayurvedic medicine to compliment his main product. He has made his brand
ambassadors out of his own followers who very religiously vouch for his claims and motivate
people who come in contact with them to practice Yoga. He is in his unique way different from
other gurus who only give spiritual discourses. He is different in terms of the practicality and
objectivity of his product unlike the subjective nature of the discourses delivered by spiritual
gurus. He run his trust as a big corporate house generating employment, profit and his initiative
has not only pumped a new lease of life to ayurveda but has also indirectly helped people to find
out an employment as yoga instructors in schools, colleges and corporate houses. He is
ubiquitous, wherever you go you find his hoardings announcing the date of his Shivers, he has
not only reached to the interiors of the places but he is also there in the mind of the people
enjoying the share of his own, which is a sign of a big brand. People, organizations, institutions
involve in any kind of traditional thing in India can take a lesson or two from Baba, that how
marketing can help in reviving the traditional form of things that too with a handsome profit
and one need not to be an American or someone from a developed world to market a product and
lay a claim on it. There has been lot of yoga gurus and they are there today also who can
challenge him in the art of yoga but there is only one Baba Ramdev the Yoga Guru turned out to
be a Great Marketing Guru. And finally look what he is doing, he has taken the responsibility to
bring back the black money to the nation and eradicate the corruption from the country. It seem
that after achieving the leadership position in his form of business he want to diversify to the
business of politics. There is always a risk of diluting your brand if you think of entering into a
totally different field and Baba has taken that risk. His Brand seems to be in crisis these days and
there is a need of second thought to be given to the diversification. I feel he should have thought
of Co-Branding with Anna, this could have made it easy for him to diversify into the business of
politics. Its still not too late , he must think strategically on his move and rethink of launching
his brand of movement again with new energy and a new look.

3.5. MARKETING AND NETWORK OF PATANJALI YOGPEETH

Human beings are governed by ideas and beliefs. Consumers of this day no longer buy
merchandise and services but experiences. Mass Customization is the new paradigm that
replaces old ideology of market segmentation; an idea which is no longer found suitable for
today's turbulent markets, changing customer needs and growing product variety. Mass
customization proactively manages product variety in the environment of rapidly evolving
markets, products and services. This study attempts to study the reasons which have lead to the
phenomenal success of Baba Ramdev's marketing strategy of Mass customization and that also
in an era of high individual customization.

The dictum of Mass Customization is "Aham Brahamasmi"; meaning that I am omnipresent and
omnipotent. Catering to the needs of all, irrespective of gender, age, caste, creed, culture,
religion, nationality the potion of mass customization is believed to work wonders. Companies
choose from mainly three value disciplines to frame their value propositions: product leadership,
operational excellence, and customer intimacy. The product leadership discipline leads to the
`best product' value proposition-an assertion that the company's products have the greatest
performance impact or experiential impact for its customers. The operational excellence
discipline leads to the `best total cost' bid- an assertion that the combination of the company's
prices, product reliability, and hassle-free service is matchless. The customer familiarity
discipline leads to the `best total solution' scheme an assertion that the company helps its
customers identify their exact problem and the best solution, and then takes charge of
implementing it. Baba Ramdev addresses all the three value disciplines and he has developed a
unique blend of Ayurveda and Vedic philosophy to cater to create value for his customers.

3.6. PRODUCT: INTRODUCING THE VALUE DISCIPLINE

The society in which we live today is a brand- obsessed society. Name a product or service and
the brands relating to them are inestimable so many that cannot be counted on fingers. Thus,
creating, developing, implementing and maintaining successful brands are frequently at the heart
of marketing strategy. (McEnally,M . and Chernatony,L. de 1999) Successful branding requires a
strategic perspective (de Chernatony 1998) whereby strong brand concepts are presented and
communicated to target segments resulting in favorable brand images which reflect the brand's
identity (Gardner and Levy 1955, Reynolds and Gutman 1984, Kapferer 1997). This brand of
Baba Ramdev has a universal appeal, is sharing and collaborative, and the customers range hail
from all age groups and regions. This Brand is a result of consistent hard work and carefully and
meticulously followed strategy.

The service that Baba Ramdev is selling is the product. To deliver quality service, it is essential
to understand customers' expectations. To assess the quality of service, customers compare their
expectations with perceptions of the service providers' performance. Hence it becomes vital for
the service providers' to understand and meet consumers' needs and wants. Customer
expectations of service can be of two types; desired service and adequate service. Desired service
is the service that a customer desires and expects to get. Whereas an adequate service is one
which is the minimal level of service which a customer is willing to accept based on his
perception of service acceptability.

The service that is being provided by Baba Ramdev is well orchestrating with the desired service
expectations. Patanjali Yogpeeth, a multi-million rupee venture, Ramdev's dream project, set as
a rival to World Health Organization only on the basis of sound service that it boasts of
providing. Divya Yoga Mandir Trust in Haridwar, Uttaranchal is armed with all the latest and
most sophisticated gadgets sees a regular stream of devotees who wait to be called by a doctor in
the Out Patient Department (OPD). There are forty doctors in the OPD who deal with 2,000
people every day. Some days the dispensary sells medicines worth Rs. 3,000 a minute. And again
this can only be possible if the waiting tie is reduced by quality service. The ambiance of
Patanjali Yogpeeth is world class. Constructed in almost 100 acres; it has been designed to have
buildings, car parks, and a landscape to rival the best of Delhi's housing projects. The entire
value proposition can be said to be a hard work and the result of determination of this one man
army.

To add to this we know that looking good is everyman's dream. In the era when cosmetic surgery
is the order of the day; getting good looks by just adjusting the way one inhales and exhales is
something everyone would prefer doing. With his deep-seated credence that we all are a part of
beauty conscious world, Swamiji's unique contribution has been in helping ordinary people solve
their problems and lead a healthy life through the practice of simple breathing exercises. The
product "pranayama" is well suited for all irrespective of class, creed, culture and hence this
success.

3.7. COMPLETE PACKAGE FOR VARIOUS DISEASES

Swami Ramdev's Divya Medicines are claimed to be one hundred percent natural, made from
potent herbs available in the Himalayas and no or very little side effects. They have proven
extremely effective for combating all forms of sickness and disease. Along with these medicines,
Swamiji recommends patients to also adopt the practice of Pranayama, which will strengthen the
immune system and quicken the healing process. Ramdev Baba opines that Pranayama Yoga is
the complete Ancient Indian Therapy, which is a Medical Science in itself that cures any Physical
or Mental medical condition completely, without any side effects. Swami Ramdev has proved
and declared on Indian & International TV Channels, "Pranayama Yoga is the complete natural
cure for all Physical and Mental Ailments". But if medicines are required they are also available
and these packages of medicines are available at a very low cost. The medicines can cure all the
diseases from a simple cold to cancer. In a bid to promote Ayurveda, Ramdev's Trust has tied up
with 600 qualified Ayurvedic practitioners who are offering treatment to masses for a variety of
diseases, some of them termed incurable by the modern system.

3.8. PRICING STRATEGY

Developing an effective pricing strategy remains the most important and difficult part of the
marketing process. For instance, a nominal 1 per cent increase in price realization will boost net
income by 6.40 per cent for Coca-Cola and 28.70 per cent for Philips. The price-positioning and
the value-delivery mechanisms should be done with one rule in mind: the performance of the
product, or the value associated with it should always be higher than the price. For instance, a
company that has either a product or a service whose performance or value is medium would do
well to follow a low-cost pricing strategy.
Well in tune with this, Baba Ramdev's potion of Pranayama is cheap. He urges people not to lose
hope or suffer and depend on expensive treatments. Indian Pranayama Yoga is there to help treat
all the ailments completely without costly medicines, operations or surgery. It is amazing, but it
is claimed to be true that this is the cheapest and the only complete cure to most of the so called
incurable diseases like Diabetes, Cancer, HIV & AIDS too.

3.9. PROMOTIONAL STRATEGY

Edwin L. Artzt quoting the chairman and CEO of P& G has likened advertising to exercising
saying that "Think of advertising and promotion as exercise and recreation. Advertising is
exercise. It's something you need and it provides long-term benefits, but it's awfully easy to
either cut or postpone because there's no immediate penalty for not exercising. When you want
your brand to be fit, it's got to exercise regularly." And here's a situation when exercising in
itself becomes the object of promotion.

It is a well established fact that advertising affects consumers. The literature on advertising has
traditionally emphasized the persuasive nature of advertising: its purpose is to alter consumers'
tastes for established brand names or company reputations (Bagwell, 2007, Dixit and Norman,
1978). But there is a difference in opinion and Stigler and Becker (1977) and Becker and Murphy
(1993) argue that advertising is part of consumers' preferences in the same way as goods and that
there are complementarities between advertising and goods. Hence, a more-advertised good is
ceteris paribus preferred over a less-advertised good. Whatever be the case, Baba Ramdev has hit
both the opinions as he is advertising and at the same time not advertising. Baba Ramdev's live
yoga classes became a passion.

And it all began in the year 2002 when Sanskar television channel started airing Baba Ramdev's
yogic classes; overnight, Baba Ramdev became a sensation he had hundreds of followers who
morphed into thousands. Then Sanskar channel's rival Astha channel signed him. In two years
time he was a hit and with him also the channel benefited. His TV shows have the largest TRP.
Today, he is one of the biggest draws on Indian television. He can be seen not only on religious
channels like Aastha, but also news and features channels like India TV and Sahara One.
Millions around the country follow his programmes religiously and use ayurvedic medicines
prescribed by him.

There was an eight-month waiting period before one could see Ramdev, he was being booked
that far ahead by television channels for his live yoga classes each morning. His yoga sessions
were beamed live into 170 countries (Bijay Simha, 2007)

Also, Baba Ramdev's pack one DVD, two Video CDs written three books on Yoga, Pranayama
Herbal Remedies and Magazines are available. This set of four promotional material with a
Research Oriented Monthly Magazine of Yog, Spiritualism, Ayurveda, Culture And Tradition-
Yog Sandesh available in 5 languages can do much to lure customers. Even healthy people are
following his Yoga Pranayama regimen, as available in his DVDs, VCDs, Books & magazines
etc., to keep fit.

It is a well established fact that; "brands set the product and the producer of that product apart
from the competition". There are special though very obvious facts that this Brand has also mass
customized itself to satiate all and thus have made a distinct place for itself. In an era when the
marketers are faced with the challenge of getting their message heard by consumers who are hard
to find and even harder to influence, this Brand has worked wonders and all because of its all
inclusive image.