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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup

“To Analyze the Effectiveness of Sales


Promotion for FieldFresh’s Tomato Ketchup”

A STUDY CONDUCTED WITH SPECIAL REFERENCE


TO
FIELD FRESH FOODS PRIVATE LTD,
BANGALORE
DECLARATION

I hereby declare that the dissertation work entitled “To Analyze the
Project Report Submitted to Institute of Business Management and
Effectiveness of Sales Promotion of FieldFresh Tomato Ketchup” is a
Technology in Partial Fulfillment of the Requirements of the
record of independent study carried out by me under the guidance of
Mr. P.N Nanaiah, Visiting Faculty, Institute of Business Management
POST GRADUATION DIPLOMA in BUSINESS
and Technology, Bangalore. This dissertation has not formed the basis for
MANAGEMENT
the award previously of any Degree/ PG, or any other similar titles of any
By
university.
Deepak. A
(Reg. No. JJ09006)

Under the Guidance of

MR. P.N. Nanaiah Mr. Nithin Rajgopal


Visiting Faculty Sr. Marketing Manager

INSTITUTE OF BUSINESS
MANAGEMENT AND TECHNOLOGY
BANGALORE
JAN 2010

Date: 15-01-2010
Institute of Business Management and Technology
Bangalore
“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

CERTIFICATE BY THE GUIDE

This is to certify that the project Entitled “To Analyze the Effectiveness

of Sales Promotion of FieldFresh’s Tomato Ketchup” is a bonafide

research work carried out by Mr. DEEPAK.A under my guidance. This

dissertation has not formed the basis for the award previously of any

Degree/ Diploma, or any other similar titles of any University of

Institution.

Mrs. Vasantha Lakshmi Mr. P.N Nanaiah


Asst. Director. PROJECT GUIDE

INSTITUTE OF BUSINESS MANAGENT AND


TECHNOLOGY

Date: 15-01-2010
Bangalore

Institute of Business Management and Technology


“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

ACKNOWLEDGEMENTS
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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

The joy and satisfaction that accompany the successful completion of


any task would be incomplete without mentioning those who made it possible.
I would like to hereby acknowledge their help, for their valuable guidance and
suggestions.
I would like to express my sincere gratitude to our Director
Mr. Anil Rawat Institute of Business Management and Technology,
Bangalore and Asst. Director Ms. Vasanta Lakshmi for granting permission
to do internship in Field Fresh Private Ltd.
It gives me great pleasure in recording my deep sense of gratitude with
respect to my Internal Guide Mr. P.N. Nanaiah, for his valuable guidance,
encouragement, co-operation and involvement throughout the course of my
internship and for providing all the necessary help to complete the report
successfully.
My special thanks to Mr. Vijay Kumar, Area Sales Manager, Field
Fresh Private Ltd (Bharti Delmonte India Private Ltd) Cunningham Road,
Bangalore, for granting me permission to carry the internship in the premises of
the esteemed organization.
I would like to express my sincere gratitude to my External Guide
Mr. Nithin Rajgopal, Sr. Marketing Manager, Field Fresh Private Ltd for his
valuable guidance, encouragement, co-operation and involvement throughout
the course of my internship and for providing all necessary help to complete
the report successfully.
I would fail in my duty if I do not record my sense of gratitude to all the
management and non management staff of Field Fresh Private Ltd who helped
in the successful completion of the study.

DEEPAK.A
CONTENTS

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CHAPTER
TOPICS Page No.
No.
Introduction
• The Meaning of Marketing

• Evolution of marketing
• Developmental Stages of Marketing Thought
• Definition of Sales Promotion
• Types of Sales Promotions Based on Target
Market
I
• Sales Promotion Strategies
• Objectives of Sales Promotion
• Tools of Sales Promotion
• Importance of Sales Promotion
• Consumer behavior
• Stages of the Consumer Buying Process
• Types of Consumer Buying Behavior

Research Design
• Statement of the Problem

• Objectives of the Study


• Hypothesis
• Scope of the Study
• Methodology
II
• Sample Size
• Tools and Techniques for Data Collection
• Method of Data Collection
• Method of Analysis
• Operational Definitions and Concepts
• Limitations of the Study
• An Overview of the Chapter Scheme
III Company Profile
• Tomato Ketchup Industry

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• Field Fresh Foods


• Vision
• Management Team
• Bharti & Del Monte tie-up
• Bharti Enterprises
• Brands of FieldFresh
• Quality Excellence @ Field Fresh
• Certifications
• CSR @ Field Fresh Foods Pvt. Ltd
• Press Release
• Latest updates
• SWOT Analysis

Data analysis and interpretation with


IV statistical analysis

V
Findings, suggestions,
recommendations and conclusions
Bibliography
Annexure

CHAPTER -1

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INTRODUCTION

1.1 The Meaning of Marketing:


The establishment of a market economy brought marked changes in the social
and economic structure. A new attitude toward business revolutionized the
economy of the country and that revolutionary element was identified by the term
‘marketing.’ Historical accounts of trade lead one to conclude that marketing has
always existed.

Marketing was first meant “that combination of factors which had to be taken
into consideration prior to the undertaking of cer6tain selling or promotional
activities.” The essence of marketing was the combination of factors. Blindness to
and ignorance of that combination of factors is the reason for the absence of terms
equivalent to marketing in other languages. Marketing must be regarded not
merely as a business practice, but as a social institution.

Marketing is essentially a means of meeting and satisfying certain needs of


people. It is a highly developed and refined system of thought and practice
characteristic of a period in the development of market economy. A latent
presumption in the practice of marketing has been that marketing gives to society
more than society gives to it.

1.2 Evolution of marketing:


Marketing began in the 1970s with the birth of the "marketing orientation".
• During the first stage of capitalism business had a production orientation.
Business was concerned with production, manufacturing, and efficiency
issues.
• By the mid 1950s a second stage emerged, the sales orientation stage.
Business's prime concern was to sell what it produced.
• By the early 1970s a third stage, the marketing orientation stage emerged as
businesses came to realize that consumer needs and wants drove the whole
process.

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• Marketing research became important. Businesses realized it was futile putting


a lot of production and sales effort into products that people did not want.

Some commentators claim that now it’s on the verge of a fourth stage, one of a
personal marketing orientation. They believe that the technology is available today
to market to people on an individual basis.

1.3 Developmental Stages of Marketing Thought:


The development of marketing thought may be classified as follows:

a) 1900-1910 Period of Discovery. Initial teachers of marketing sought facts


about the distributive trades. Theory was borrowed form economics
relating to distribution, world trade, and commodity markets. The conception
of marketing occurred and a name was given to it.

b) 1910-1920 Period of Conceptualization. Many marketing concepts were


initially developed. Concepts were classified, and terms were defined.

c) 1920-1930 Period of Integration. Principles of marketing were


postulated, and the general body of thought was integrated for the first time.

d) 1930-1940 Period of Development. Specialized areas of


marketing continued to be developed, hypothetical assumptions were verified
and quantified, and some new approaches to the explanation of marketing
w3ere undertaken.

e) 1940-1950 Period of Reappraisal. The concept and traditional explanation


of marketing was re-appraised in terms of new needs for marketing
knowledge. The scientific aspects of the subject were considered.

f) 1950-1960 Period of Preconception. Traditional approaches to the study of


marketing were supplemented by increasing emphasis upon managerial

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decision making, the societal aspects of marketing, and quantitative


marketing analysis. Many new concepts, some borrowed from the field of
management and from other social sciences, were introduced into marketing.

g) 1960-1970 Period of Differentiation. As marketing thought became


expanded, new concepts took on substantial identity as significant
components of the total structure of thought. Among them were such
elements as managerialism, holism, environmentalism, systems, and
internationalism.

h) 1970 Period of Socialization. Social issues and marketing became much


more important, as the influence not of society upon marketing, but of
marketing upon society became a focus of interest.

1.4 Definition of Sales Promotion:


“Sales promotion includes incentive-offering and interest-creating activities which
are generally short-term marketing events other than advertising, personal selling,
publicity and direct marketing. The purpose of sales promotion is to stimulate,
motivate and influence the purchase and other desired behavioural responses of the
firm’s customers.”

“Marketing activities usually specific to a time period, place or customer group,


which encourage a direct response from consumer or marketing intermediaries,
through the offer of additional benefits...” (Peattie & Peattie 1994a)

Sales promotion offers a direct inducement to act by providing extra worth


over and above what is built into the product at its normal price. These temporary
inducements are offered usually at a time and place where the buying decision is
made. In spite of the directness, sales promotions are fairly complicated and a rich
tool of marketing with innumerable creative possibilities limited only by the
imagination of promotion planners. Sales promotion is often referred to by the names
of ‘extra purchase value’ and ‘below-the-line selling’.

Today we find companies in almost all sectors offering some sort of a


promotion scheme. These sectors range from automobiles to beverages, from financial

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services to foods, from household durables to services, from household products to


business products, from personal care to textiles and apparel.

“People don’t ask for facts in making up in their minds. They would rather have a
good, soul-satisfying emotion than a dozen facts.” (Robert Keith Leavitt 1939)

Introducing a new brand in today’s competitive market is a tricky business,


even for a well established, market leading company. The job becomes much more
difficult for an upstart company like Delmonte, who will have to build the brand from
scratch. To build a successful brand image, it is important that Delmonte portrays a
consistent brand personality that people can relate to.

“A good sales promotion will stop customers for a moment, cause them to think
about the brand and product, move them to make decision to follow up the sales
promotion”

Promotion can be defined as ‘sum of activities which will enlighten the public about a
brand or a product’. In essence, it creates brand awareness and will keep the customer
‘in the know’. A typical promotional mix consists of Personal selling, sales
promotion, direct marketing, Sponsorships and public relations.
This report tries to critically evaluate and thereby bring out advantages and limitations
– the concept of sales promotion. As the Delmonte campaign was concerned to B to C
campaign, this report will be evaluating consumer sales promotions only. The report
then discusses different sales promotional tools, their objectives and how they are
practically applied in the tomato ketchup campaign.

1.5 3 Types of Sales Promotions Based on Target Market:


Sales promotions

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are essential to the proper marketing of products and companies. There are many
variations of sales promotions and listed below are the 3 kinds of Sales Promos based
on target market:

• Consumer Market Directed:


The most common and popular of sales promotions, consumer marketing
directed sales promos are those intended to appeal to the end consumer.
Consumers are exposed to sales promotions nearly every day. The sales
promos do play a conscious role in the buying decision
process.
For example, Uprinting promotions can offer discounts on all its products to
print material end users to influence their purchasing habit.

• Business Market Directed:


This type of sales promotion marketing is targeted at other business entities. It
is a sales promo that may propose a certain level of distributorship and other
trade functions to companies. Often formal and less creative than a Consumer
Market Directed Sales Promo, it works well in Business-to-business dealings.
This type of sales promo can also be limiting due to the marketer’s personal
network.
For example, Uprinting promotions business market directed campaign can
tap into its suppliers and offer them the opportunity to carry uprinting
products for a share in the profits.

• GovernmentMarket Directed:
Due to the wide nature of marketing communications target market, sales
promos can span the identification of the Government as part of our market.
Dealings with government agencies and other state related offices will require
a separate marketing plan and a government market directed communications
campaign for your sales promotion will best suit the project.

For example, Uprinting promotions will direct its sales promo to government

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units to gain favorable branding and image enhancing advantages. Uprinting


can tap into the consumer market after establishing its connections with the
local governing body.

1.6 Sales Promotion Strategies:


There are three types of sales promotion strategies: Push, Pull, or a
combination of the two.
• A push strategy involves convincing trade intermediary channel members to
"push" the product through the distribution channels to the ultimate consumer
via promotions and personal selling efforts. Trade-promotion objectives are to
persuade retailers or wholesalers to carry a brand, give a brand shelf space,
promote a brand in advertising, and/or push a brand to final consumers.

Typical tactics employed in push strategy are:


• Allowances,
• Buy-back guarantees,
• Free trials,
• Contests,
• Specialty advertising items,
• Discounts,
• Displays, and
• Premiums.

A pull strategy attempts to get consumers to "pull" the product from the manufacturer
through the marketing channel. The company focuses its marketing communications
efforts on consumers in the hope that it stimulates interest and demand for the product
at the end-user level. This strategy is often employed if distributors are reluctant to
carry a product because it gets as many consumers as possible to go to retail outlets
and request the product, thus pulling it through the channel. Consumer-promotion
objectives are to entice consumers to try a new product, lure customers away from
competitors’ products, get consumers to "load up" on a mature product, hold &
reward loyal customers, and build consumer relationships.

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Typical tactics employed in pull strategy are:


• Samples,
• Coupons,
• Cash refunds and rebates,
• Premiums,
• Advertising specialties,
• Loyalty programs/patronage rewards,
• Contests, sweepstakes, games, and
• Point-of-purchase (POP) displays.

1.7 Objectives of Sales Promotion:


The main objective of sales promotion is to increase sales. However, there are also
some other objectives of sales promotion. The objectives are:

 To introduce new products:


The best example is free samples. Many companies distribute free samples
while introducing new products. The consumers after using these free samples
may develop a taste for it and buy the products later for consumption.

 To attract new customers and retain the existing ones:


Sales promotion measures help to attract or create new customers for the
products. Customers are generally attracted towards the product that offers
discount, gift, prize, etc on buying. These are some of the tools used to
encourage the customers to buy the goods. Thus, it helps to retain the existing
customers, and at the same time it also attracts some new customers to buy the
product.

 To maintain sales of seasonal products:


There are some products like air conditioner, fan, refrigerator, cooler, winter
clothes, room heater, sunscreen lotion, glycerin soap etc., which are used only

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in particular seasons. To maintain the sale of these types of products normally


the manufacturers and dealers give off-season discount.

 To meet the challenge of competition:


Today’s business faces competition all the time. New products frequently
come to the market and at the same time improvement also takes place. So
sales promotion measures have become essential to retain the market share of
the seller or producer in the product-market.

1.8 Tools of Sales Promotion:


To increase the sale of any product manufactures or producers adopt different
measures like sample, gift, bonus, and many more. These are known as tools or
techniques or methods of sales promotion. The following are some of the commonly
used tools of sales promotion.

i. Free samples:
The free samples are sometimes distributed by the shopkeeper even without
purchasing any item from his shop. These are distributed to attract consumers
to try out a new product and thereby create new customers. Some businessmen
distribute samples among selected persons in order to popularize the product.
For example, in the case of medicine free samples are distributed among
physicians, in the case of textbooks, specimen copies are distributed among
teachers.

ii. Premium or Bonus offer: A milk shaker along with Nescafe, mug with
Bournvita, toothbrush with 500 grams of toothpaste, 30% extra in a pack of
one kg. are the examples of premium or bonus given free with the purchase of
a product. They are effective in inducing consumers to buy a particular
product. This is also useful for encouraging and rewarding existing customers.

iii. Exchange schemes:


It refers to offering exchange of old product for a new product at a price less
than the original price of the product. This is useful for drawing attention to
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product improvement. ‘Bring your old mixer-cum-juicer and exchange it for a


new one just by paying Rs.500’ or ‘exchange your black and white television
with a color television’ are various popular examples of exchange scheme.

iv. Price-off offer:


Under this offer, products are sold at a price lower than the original price. ‘Rs.
2 off on purchase of lifebuoy soap, Rs. 15 off on a pack of 250 grams of Taj
Mahal tea, Rs. 1000 off on cooler’ etc. is some of the common schemes. This
type of scheme is designed to boost up sales in off-season and sometimes
while introducing a new product in the market.

v. Coupons:
Sometimes, coupons are issued by manufacturers either in the packet of a
product or through an advertisement printed in the newspaper or magazine or
through mail. These coupons can be presented to the retailer while buying the
product. The holder of the coupon gets the product at a discount. For example,
you might have come across coupons like, ‘show this and get Rs. 15 off on
purchase of 5 kg. of Annapurna Atta’. The reduced price under this scheme
attracts the attention of the prospective customers towards new or improved
products.

vi. Fairs and Exhibitions:


Fairs and exhibitions may be organized at local, regional, national or
international level to introduce new products, demonstrate the products and to
explain special features and usefulness of the products. Goods are displayed
and demonstrated and their sale is also conducted at a reasonable discount.
‘International Trade Fair’ in New Delhi at Pragati Maidan, which is held from
14th to 27th November every year, is a well known example of Fairs and
Exhibitions as a tool of sales promotion.

vii. Trading stamps:


In case of some specific products trading stamps are distributed among the
customers according to the value of their purchase. The customers are required
to collect these stamps of sufficient value within a particular period in order to

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avail of some benefits. This tool induces customers to buy that product more
frequently to collect the stamps of required value.

viii. Scratch and win offer:


To induce the customer to buy a particular product ‘scratch and win’ scheme
is also offered. Under this scheme a customer scratch a specific marked area
on the package of the product and gets the benefit according to the message
written there. In this way customers may get some item free as mentioned on
the marked area or may avail of price-off, or sometimes visit different places
on special tour arranged by the manufacturers.

ix. Money Back offer:


Under this scheme customers are given assurance that full value of the product
will be returned to them if they are not satisfied after using the product. This
creates confidence among the customers with regard to the quality of the
product. This technique is particularly useful while introducing new products
in the market.

1.9 Importance of Sales Promotion:


The business world today is a world of competition. A business cannot survive
if its products do not sell in the market. Thus, all marketing activities are undertaken
to increase sales. Producers may spend a lot on advertising and personal selling. Still
the product may not sell. So incentives need to be offered to attract customers to buy
the product. Thus, sales promotion is important to increase the sale of any product.

1) From the point of view of manufacturers:


Sales promotion is important for manufacturers because
 It helps to increase sales in a competitive market and thus, increases
profits;
 It helps to introduce new products in the market by drawing the
attention of potential customers;
 When a new product is introduced or there is a change of fashion or
taste of consumers, existing stocks can be quickly disposed off;

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 It stabilizes sales volume by keeping its customers with them. In the


age of competition it is quite much possible that a customer may change
his/her mind and try other brands. Various incentives under sales
promotion schemes help to retain the customers.

2) From the point of view of consumers:


Sales promotion is important for consumers because
 The consumer gets the product at a cheaper rate;
 It gives financial benefit to the customers by way of providing prizes
and sending them to visit different places;
 The consumer gets all information about the quality, features and uses
of different products;
 Certain schemes like money back offer creates confidence in the mind
of customers about the quality of goods; and
 It helps to raise the standard of living of people. By exchanging their
old items they can use latest items available in the market. Use of such
goods improves their image in society.

1.10 Consumer behavior:-


Buying Behavior is the decision processes and acts of people involved in
buying and using products.
Need to understand:
• Why consumers make the purchases that they make?
• What factors influence consumer purchases?
• The changing factors in our society.
Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A
firm needs to analyze buying behavior for:
• Buyers reactions to a firms marketing strategy has a great impact on the firms
success.
• The marketing concept stresses that a firm should create a Marketing Mix
(MM) that satisfies (gives utility to) customers, therefore need to analyze the
what, where, when and how consumers buy.

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• Marketers can better predict how consumers will respond to marketing


strategies.

1.11 Stages of the Consumer Buying Process:


Six Stages to the Consumer Buying Decision Process (For complex decisions).
Actual purchasing is only one stage of the process. Not all decision processes lead to a
purchase. All consumer decisions do not always include all 6 stages, determined by
the degree of complexity.

The 6 stages are:


 Problem Recognition (awareness of need)--difference between the desired
state and the actual condition. Deficit in assortment of products. Hunger--
Food. Hunger stimulates your need to eat. Can be stimulated by the marketer
through product information--did not know you were deficient? I.E., see a
commercial for a new pair of shoes, stimulates your recognition that you need
a new pair of shoes.

 Information search--
1. Internal search, memory.
2. External search if you need more information. Friends and relatives
(word of mouth). Marketer dominated sources; comparison shopping;
public sources etc.

Evaluation of Alternatives--need to establish criteria for evaluation, features the buyer


wants or does not want. Rank/weight alternatives or resume search. May decide that
you want to eat something spicy, Indian gets highest rank etc.
If not satisfied with your choice then returns to the search phase. Can you think of
another restaurant? Look in the yellow pages etc. Information from different sources
may be treated differently. Marketers try to influence by "framing" alternatives.
1. Purchase decision--Choose buying alternative, includes product, package,
store, method of purchase etc.

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• Purchase--May differ from decision, time lapse between 4 & 5, product


availability.
• Post-Purchase Evaluation--outcome: Satisfaction or Dissatisfaction. Cognitive
Dissonance, have you made the right decision. This can be reduced by
warranties, after sales communication etc.

1.12 Types of Consumer Buying Behavior:


Types of consumer buying behavior are determined by:
 Level of Involvement in purchase decision. Importance and intensity of
interest in a product in a particular situation.
 Buyers level of involvement determines why he/she is motivated to seek
information about a certain products and brands but virtually ignores others.

High involvement purchases--Honda Motorbike, high priced goods, products visible


to others, and the higher the risk the higher the involvement. Types of risk:
• Personal risk
• Social risk
• Economic risk

The four type of consumer buying behavior are:


 Routine Response Programmed Behavior--buying low involvement frequently
purchased low cost items; need very little search and decision effort;
purchased almost automatically. Examples include soft drinks, snack foods,
milk etc.
 Limited Decision Making--buying product occasionally. When you need to
obtain information about unfamiliar brand in a familiar product category,
perhaps. Requires a moderate amount of time for information gathering.
Examples include Clothes--know product class but not the brand.
 Extensive Decision Making/Complex high involvement, unfamiliar, expensive
and/or infrequently bought products. High degree of
economic/performance/psychological risk. Examples include cars, homes,
computers, education. Spend a lot of time seeking information and

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deciding.
Information from the companies MM; friends and relatives, store personnel
etc. Go through all six stages of the buying process.

CHAPTER – II
RESEARCH DESIGN
Every businessman wants to increase the sale of goods that he deals in.
Companies come up with schemes like lakhpati bano”, “win a tour to Singapore”,
“30% extra in a pack of one kg”, “scratch the card and win a prize” etc. Some others
with gifts like lunch box, pencil box, pen, shampoo pouch etc. offered free with some
products.
A good definition of sales promotion would be as follows: “An activity
designed to boost the sales of a product or service. It may include an advertising
campaign, increased PR activity, a free-sample campaign, offering free gifts or
trading stamps, arranging demonstrations or exhibitions, setting up competitions with
attractive prizes, temporary price reductions, door-to-door calling, telemarketing,
personal letters on other methods”.

2.1 Statement of the Problem:


Sales promotion continues to play a growing role in the total promotion mix.
Its effective use will require defining the sales promotion objectives, selecting the
appropriate tools, constructing the sales promotion program, pretesting it,
implementing, and evaluating the results.

Thus, the study is intended “TO ANALYZE THE EFFECTIVENESS OF


SALES PROMOTION OF FIELDFRESH’s TOMATO KETCHUP” at various
outlets in Bangalore.

Thus Sales Promotion is important to organizations success. Sales promotion


helps a company to spread information, stimulates the demand, increased level of
customer satisfaction and so on.

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2.2 Objectives of the Study:


The objectives of conducting the study are as follows:
Overall objective of the project is “To measure and analyze the Effectiveness
of Sales Promotion of Del Monte’s Tomato Ketchup” and hence forth bring out
some suggestions to improve the tomato ketchup sales performance of the company.
 To study the customer awareness of Del Monte’s Tomato Ketchup.
 Measuring the Effectiveness of Sales Promotion for Tomato Ketchup of the
company.
 Identify the customer attitude towards Del Monte’s Tomato Ketchup.
 To make various suggestions on the improvement of Del Monte’s sales
promotion.

2.3 Hypothesis:
Ho: Sales Promotion will lead to increase in the sales of Del Monte’s Tomato
Ketchup.
Ha: Sales Promotion will not lead to increase in the sales of Del Monte’s Tomato
Ketchup.

2.4 Scope of the Study:


The study is confined to the customers of Total, Multiplex Supermarket, Hari
Om Supermarket, Aishwarya Supermarket, and Family’s Supermarket.
Thus, through this project report one can:
 Have a reasonable understanding of the term Sales promotion and as a
concept;
 Understand what needs to be done for its effective implementation;
 Know the key drives of Sales Promotion;
 Understand the benefits of Sales Promotion;
 Know how it contributes to the success of the company;

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 Know how a company can build an useful asset (Customer) for its future
requirement as it grows;

2.5 Methodology:
The methodology adopted for conducting the study is Descriptive Research
Design wherein first step involves formulation of objectives and hypothesis designing
the methods of data collection, selecting the sample, data collection, processing and
analysis of the data & reporting the findings.

2.6.1 Sample Size:


Sample of 120 customers were taken for the purpose of the study. The sample
is drawn using Convenience Sampling where in the population elements are selected
for inclusion in the sample based on the ease of access.

2.6.2 Tools and Techniques for Data Collection:


The study basically dwells on both primary and secondary sources.
Primary data is collected by administering a questionnaire on “To measure and
analyze the Effectiveness of Sales Promotion of Del Monte’s Tomato Ketchup” at
various retail outlets in Bangalore.
The secondary sources include:
 Information gathered through surfing the internet;
 Different study materials;
 Private circulations from external guide;
 Magazines.

2.6.3 Method of Data Collection:


On administering the structured questionnaire on to measure and analyze the
Effectiveness of Sales Promotion of Del Monte’s Tomato Ketchup at various retail
outlets, the customers are required to circle the answer which best describes the
statement given. The questionnaire consisted of two parts. Part A included personal
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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

background information and Part B includes scales to measure and analyze the
Effectiveness of Sales Promotion of Del Monte’s Tomato Ketchup. This
questionnaire in turn assists in evaluating the sales promotion carried out, and then
plotting the score on the graph. The customers were required to spend at least ten
minutes in completing the questionnaire.

2.6.4 Method of Analysis:


The analysis for the study is conducted by tabulating the collected data and
analyzing it using percentages and based on these percentages inferences are drawn.
The results are finally plotted on the graph to represent it graphically. This is done to
all the questions asked in the questionnaire. Then an overall analysis is made to know
the effectiveness of Sales Promotion undertaken by Del Monte.
Statistical tool like Chi Square test are also used in order to make a generic
study on Sales promotion activities undertaken by Del Monte.

2.7 Operational Definitions and Concepts:


1. Price Deals:

A consumer price deal saves the buyer money when a product is purchased.
The main types of price deals include discounts, bonus pack deals, refunds or rebates,
and coupons. Price deals are usually intended to encourage trial use of a new product
or line extension, to recruit new buyers for a mature product, or to convince existing
customers to increase their purchases, accelerate their use, or purchase multiple units.
Price deals work most effectively when price is the consumer's foremost criterion or
when brand loyalty is low.

2. Sweepstakes:

Sweepstakes involve a random drawing or chance contest that may or may not
have an entry requirement. But the use of sweepstakes as a promotional tactic has
grown dramatically in recent decades, partly because of legal changes and partly
because of their lower cost.

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3. Premiums.

A premium is tangible compensation that is given as incentive for performing


a particular act—usually buying a product. The premium may be given for free, or
may be offered to consumers for a significantly reduced price. Some examples of
premiums include receiving a prize in a cereal box or a free garden tool for visiting
the grand opening of a hardware store. Incentives that are given for free at the time of
purchase are called direct premiums. These offers provide instant gratification, plus
there is no confusion about returning coupons or box tops, or saving bar codes or
proofs of purchase.

4. Continuity Programs.

Continuity programs retain brand users over a long time period by offering
ongoing motivation or incentives. Continuity programs demand that consumers keep
buying the product in order to get the premium in the future. Trading stamps,
popularized in the 1950s and 1960s, are prime examples. Today, airlines' frequent-
flyer clubs, hotels' frequent-traveler plans, retailers' frequent-shopper programs, and
bonus-paying credit cards are common continuity programs.

5. Push Money.

Similarly, push money (PM)—also known as spiffs—is an extra payment


given to sales-people for meeting a specified sales goal. For example, a manufacturer
of refrigerators might pay a $30 bonus for each unit of model A, and a $20 bonus for
each unit of model B, sold between March 1 and September 1. At the end of that
period, the salesperson would send evidence of these sales to the manufacturer and
receive a check in return.

6. Free-standing insert (FSI):

A coupon booklet is inserted into the local newspaper for delivery.

2.8 Limitations of the Study:

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The results of this study should be considered in light of its limitations.


 The study is limited to customers of selected retail outlets in Bangalore.
 The responses given with respect to the questionnaire may not be completely
accurate.
 Results cannot be generalized to other companies.
 Conclusions are based on the assumptions that answers given by the customers
are true and adequate.

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CHAPTER -3

COMPANY PROFILE

3.1 Tomato Ketchup Industry:


The ketchup market in India is estimated to be around Rs 220 Crore, largely
dominated by Nestlé’s Maggi that owns 47% of the market and the Kissan that owns
26%. Upto mid eighties Kissan was the number one brand in Tomato Ketchup and
around that time the competition came from Maggi -- a Nestlé’s brand. With Maggi
launching several varieties of Tomato Ketchup there was a growth in the market. With
Kissan and Maggie fighting neck to neck other smaller but established brands like
Dipy's from Herbertsons, Volfruit from Voltas, Noga of Nagpur Orange Federation
and SunSip of Wimco gradually disappeared from the market. Delmonte now has
joined hands with Paoma Industries, the manufacturers of Rasna Brands of soft drink
concentrate and is expected to launch Tomato Ketchup shortly.
The biggest global player in Tomato Ketchup Heinz is still waiting and
watching. It was expected that they will launch Tomato Ketchup in Indian market
soon. Some of the unknown local brands of course still existing only on price
competition. The price competition has also kept some of the other categories of food
products still alive.
At a time when Kissan had become generic to tomato sauce, Maggi came in
with its sauces range. Maggi was the up stand new corner who came in with a loud
aggressive national burst. It did not come in with one, but with a range of sauces in
order to increase market share and expand the market by offering more usage
occasions, bring consumers with different needs into the Maggi Sauces fold and
weaning away users of different brands to Maggi. From a market share of 14% in

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1985, Maggi Sauces now enjoys a share of about 50% of the market.

3.2 Field Fresh Foods:


Field Fresh Foods Pvt. Ltd. is a joint venture between Bharti Enterprises and
Del Monte Pacific Ltd. The company offers branded Field Fresh fruits &
vegetables across Indian and international markets and Del Monte branded processed
foods & beverages to the Indian consumer.

3.3 Vision:
“To be the most trusted and innovative provider of branded fresh fruits & vegetables
and processed food products”.
In achieving our Vision, we need to build a sustainable and scalable business by:

• Building brands that ride on the ‘Freshness, Wellness & Convenience’


platforms.

• Focusing on select products and consumer/customer segments which offer


higher potential for value-addition.

• Focusing on select markets with a sharper focus on the domestic market.

• Creating high impact on the society at large and our local environment in
specific

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3.4 Management Team:


1. Mr. Rakesh Bharti Mittal, Chairman

2. Mr. Rolando C. Gapud, Director

3.5 Bharti & Del Monte tie-up:


An Indian business giant and a Philippine conglomerate have come together to create
Field Fresh Foods Pvt. Ltd. Field Fresh Foods Pvt. Ltd., is a venture between Bharti
Enterprises and Del Monte Pacific Limited, to offer fresh and processed fruits and
vegetables in the domestic as well as international markets, including Europe and the
Middle East.

3.6 Bharti Enterprises:

India’s leading business group, Bharti Enterprises has interests in telecom,


agri-business, insurance & retail. With over 100 million customers, Bharti’s flagship
unit, Airtel Ltd., is the country’s leading private sector provider of telecommunication
services.

3.7 Brands of FieldFresh:

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3.8.1 Quality Excellence @ Field Fresh:

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Field Fresh ensures best-in-class facilities, business practices and quality


standards through technological innovations, international quality management
systems and food safety initiatives. Our Quality Management System (QMS) operates
on:
• Right First Time.

• Zero Tolerance.

The above is achieved through critical interventions in processes wherever


applicable, so that only top-class quality products reach our end consumers.

To pave the way in farming practices, the company has complied with Global GAP
guidelines not only in company managed farms but across all partner farms. Our
growing partners are spread across the following states:
• Punjab - Baby Corn, French Peas

• Maharashtra - Sweet Corn & Baby Corn

• Gujarat and Andhra Pradesh – Mangoes

Our state-of-the-art laboratory facilitates physical, chemical and microbiological


analysis of the raw materials and packaging materials through the entire
manufacturing cycle. Continuous focus on packaging development and innovative
solutions has enabled Field Fresh to meet the superior packaging requirement of our
discerning customers.

At Field Fresh, food safety and consumer health is the top most priority. This is
clearly reflected in the manufacturing facility and pack house being certified under:
• Food Safety Management Systems (FSMS) (ISO: 22000:2005).

• BRC – British Retail Consortium.

Environment Health & Safety (EHS) is an integral part of Field Fresh business
practices. Focus on EHS is driven via,
• Process Mapping.

• Regulatory and Food Safety Audits.

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• Reviews of Certifications.

Technical team is also focused on critical processes and development for new
initiatives on new products.

3.8.2 Certifications:
Our Good Agricultural Practices and QMS have enabled us to achieve highest levels of standards
and certifications.

3.9 Corporate Social Responsibility @ Field Fresh Foods


Pvt. Ltd:

At Field Fresh Foods Pvt. Ltd. we align our business strategies with greater socio-
economic goals. We believe in:
• Nation building beyond the call of duty.

• Sustainable societies lead to the creation of successful enterprises.

The organization’s management team is committed towards its Corporate Social


Responsibility (CSR) initiatives and the same are driven through an activity calendar.

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3.10 Press Release:

Bharti & Del Monte launches Food & Beverage range offering consumers an exciting
array of value-added products
• Del Monte range of quality products to be available in 15 cities in the first
phase.

• To invest Rs. 100 crores in a greenfield production facility.

3.11 Latest updates:


1. New Delhi, May 26, 2009: Bharti Enterprises in partnership with Del Monte
Pacific Limited today launched an exclusive range of international Del Monte
products including fruit drinks, packaged fruits, ketchup & sauces, and a range
of Italian products in the Indian market. More than 100 years old, Del Monte
is one of the largest and best known food product brands globally.

2. The Joint Venture also announced plans to set up a greenfield facility near
Hosur to produce a range of Food & Beverage products for the Indian market.
The Joint Venture will make an initial investment of about Rs. 100 crores
towards setting up this facility, which is expected to start operations in 2010.

3. Speaking at the launch, Mr. Rakesh Bharti Mittal, Vice Chairman & Managing
Director of Bharti Enterprises said “We are delighted to bring Del Monte to
India. This is a significant milestone for the company as we make our entry
into the processed food and beverage segments. India’s fast expanding
economy, evolving consumer needs, and the emergence of organised retail
offer tremendous opportunities for growth. Our plan to bring in significant
investment to set up a modern production facility underlines our commitment

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to the development of the processed foods sector in India and our intent to
emerge as a leading player.”

4. The Del Monte product range will include:

• Fruit drinks: Pineapple fruit drink with pulp, Pineapple Orange fruit drink,
and Four seasons fruit drink (Pineapple, Mango, Orange and Guava).

• Packaged fruits: Pineapple Slices, Pineapple Tidbits, Prunes, Fiesta Fruit


Cocktail, Whole Kernel Corn and Peach Halves.

• Ketchup & Sauces: Tomato Ketchup, Tomato Chili Sauce.

• Italian Range: Range of dry Pasta, table Olives and Olive Oil.

5. Del Monte juice drinks now available at 30,000 ft.


Del Monte’s tie-up with a leading Indian airline – Indigo, has ensured that
Del Monte juice drinks are made available on board all Indigo flights, through
their in-flight catering. Many an air-bound passenger now get a taste of a legend
and savour the Del Monte goodness through our Pine-Orange and Four Seasons
flavor.

3.12 SWOT Analysis:


Strengths:
 Established name as company is operating since 1857 successfully, so it has
got a very strong customer loyalty.
 Brand image do exits along with other competitors, its sales officer’s has got
easy access within the corporate.
 Company is enjoying the advantage of latest technology of packing and
production.

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Weakness:
 Promotion of products is comparatively not extensive.
 The company is having a small sales force with low morale and
professionalism.
 Packing of the product is not attractive.
 High price rate of Ketchup and Fruit juice when compared to its competitors.
 Poor distribution channel and irregular visits to market.

Opportunity:
• Wide market still remains unexplored.
• People are getting more health conscious.
• Strong brand image of Del Monte also becomes USP for outlets,
restaurants.
• Can increase its market shares by advertisements and aggressive
marketing.
• Company has license to serve package of tomato ketchup and fruit
drinks in all over India so company can easily gain access to other states.
• Attract customer traffic and maintain brand/company loyalty.

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Threats:
• Kissan, Maggi and other companies are serving packaged fruit drinks, tomato
ketchups in all over India. Competitions from other companies are well
established operating in the market.
• Consumers are becoming more brand loyal rather than quality conscious.
• Attractive schemes are provided by the competitors for their brand promotion.
• Heinz and Smith & Jones are trying to capture the market.
• Local players are growing at a very fast rate especially at bus stands and
railway station area.

CHAPTER -4

DATA ANALYSIS AND INTERPRETATION

Data analysis is more than number crunching. It is an activity that permeates all stages
of a study. Concern with analysis should
• Begin during the design of a study.
• Become the focus of attention after data are collected.
• Be completed only during the report writing and reviewing stages.
After the data are collected, evaluators need to see whether their expectations
regarding data characteristics and quality have been met. Choice among possible
analyses should be based partly on the nature of the data. The study questions govern

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the overall analysis, of course. But the form and quality of the data determine what
analyses can be performed and what can be inferred from them.
Thus the following is the analysis for the project on “To Analyze the Effectiveness of
Sales Promotion for Del Monte’s Tomato Ketchup” is conducted through
questionnaires and observation. The purpose of the study is to find out the following:
• To study the customer awareness of Del Monte’s Tomato Ketchup.
• Measuring the Effectiveness of Sales Promotion for Tomato Ketchup of the
company.
• Identify the customer attitude towards Del Monte’s Tomato Ketchup.
• To make various suggestions on the improvement of Del Monte’s sales
promotion.
Thus, the data for the study is collected by administering a structured questionnaire to
120 respondents belonging different category in sex, language and lifestyle across
Bangalore.

Table 4.1

1. Monthly purchase of grocery/provisions by Customers.

Number of Percentage
Sl. No Particulars
Respondents (%)
1 Retail Outlets 44 36
2 Neighborhood Stores 20 16
3 Departmental Stores 44 36
4 Brand Specific Stores 12 12
TOTAL 120 100

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Analysis:
It is clear from the above table that 44 respondents out of 120 purchase their
monthly grocery/provisions in retail outlets. 20% respondents are of the opinion that
they often buy their monthly grocery/provisions in neighborhood. 44 respondents out
of 120 (36%) are op the opinion that they buy their monthly grocery/provisions in
departmental stores and 12 respondents in brand specific stores.

Graph 4.1

Graph showing monthly purchase of grocery/provisions by Customers:

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Inference:
It is inferred from the above analysis that most of the respondents under study visit
retail outlets and departmental stores to buy their monthly groceries. Consumers opted
for retail outlet because shopping for groceries is no longer a strenuous and
uncomfortable affair. It is a pleasurable experience. Some of the reasons for more and
more customers going in for retail outlets are changing life styles and tastes,
increasing disposable income, impact of western lifestyle and so on.

Table 4.2
2. Preferred retail outlet consumers go in for to buy Tomato ketchup product?

Number of Percentage
Sl. No Particulars
Respondents (%)
1 More 12 10
2 Reliance Fresh 16 14
3 Spencer’s 8 7
4 Spar 4 3
5 Total 4 3
6 Food Bazaar 72 60
7 Star Bazaar 4 3
TOTAL 120 100

Analysis:

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It is viewed from the above exhibit that 12 of respondents prefer to buy


Tomato ketchup product in More. 16 respondents say reliance fresh, 8% respondents
says Spencer’s, 4 respondents say Spar, 4% respondents say Total, 72% out of 120
agree that from food bazaar. 4 of them say that star bazaar.

Graph 4.2

Graph showing customers mostly preferred retail outlet to buy Tomato ketchup
products.

Inference:
From the above analysis it is clear that majority of the respondents prefer Food Bazaar
to buy Tomato Ketchup. This is because FOOD BAZAAR is the country’s leading

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chain of stores for the homemaker. They aim to continuously add value to the
consumers shopping basket.

Table 4.3
3. Brand of tomato ketchup products do customer use?

Sl. No Particulars Number of Percentage

Respondents (%)
1 Kissan 72 60
2 Maggi 24 20
3 Heinz 12 10
4 Smith & Jones 4 3
5 Del Monte 8 7
TOTAL 120 100

Analysis:
It is viewed from the above exhibit that 60% of the total respondents agree that
the customer use Kissan tomato ketchup. 20% respondents Maggi and 12 out of 120
agree with Heinz. 3% of them agree with Smith & Jones and 8 out of 120 agree that
the customer use Del Monte.

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Graph 4.3

Graph showing that brand of tomato ketchup products do customer use.

Inference:
From the above it can be inferred that the most preferred brands for a tomato ketchup
is Kissan and Maggi. Kissan because it is the number one brand in Tomato Ketchup.
Quality is the main factor on which Maggi Tomato Ketchup emphasize on. The new
entry such as Hienz and Delmonte are popular in US but it India it need time to catch
hold of customer.

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Table 4.4
4. Consumer’s reasons for going to a particular retail store.

Sl. No Particulars Number of Percentage

Respondents (%)
1 Availability of 52 43
Products
2 Good service 0 0
3 Price discounts 12 10
4 Quality 20 17
5 Convenient Location 36 30
6 Good Ambience 0 0
TOTAL 120 100

Analysis:
It is viewed from the above exhibit that 52 out of 120 respondents say that they go for
a retail outlet because of the availability of products, 10% (12 out of 120) agree upon
price discounts. 17% respondents view quality is that factor, 36 out of 120
respondents for convenient location and none opted for good ambience and good
service.

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Graph 4.4

Graph showing Consumer’s reasons for going to a particular retail store

Inference:
Usually customers are keen at availability of products and convenient location where
they require less time to shop in a particular retail outlet. Retail outlet are usually
placed in convenient location because as it helps the customers to easily identify the
outlets. It also helps in building trust with customers by having a physical shop at
convenient location. These outlets on the other hand also offer a wide range of
products offered by various companies.

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Table 4.5

5. Do customers buy products offered in cross promotional schemes?

Number of Percentage
Sl. No Description
Respondents (%)
1 Yes 68 57
2 No 52 43
TOTAL 120 100

Analysis:
It is clear from the above table that 57% (68 out of 120) of the respondents go
for buying products offered in cross promotion. 43% (52 out of 120) respondents say
that they don’t buy products offered in cross promotion.

Graph 4.5

Graph showing do customers buy products offered in cross promotional schemes.


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Inference:
It is evident that from the above graph that most of customers do opted for
cross promotional schemes. These schemes pour new life into a brand by making the
brand accessible or attractive to new customers or increasing the brand penetration
through new products.

Table 4.6

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6. Table showing the Cross promotion schemes that customers would like
participate in.

Sl. No Particulars Number of Percentage

Respondents (%)
1 Cash Discount 20 17
2 Free sachets 16 13
3 Free gifts 28 23
4 All above 32 27
5 No such schemes 24 20
TOTAL 120 100

Analysis:
From the above table it is evident that 17% (20 out of 120) respondents would go in
for cash discounts and 13% (16 out of 120) for free sachets, 23% of respondents do
go for free gifts. However, some of the respondents i.e., 27% (32 out of 120) are will
for all schemes and 20% are not interested in such schemes.

Graph 4.6

Graph showing the Cross promotion schemes that customers would like participate in

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Inference:
From the above it can be inferred that a good number of respondents feel that they
would participate in all types of cross promotional schemes offered to them by
companies. The Indian customer always wants full value for his money and this is
what is provided by the various promotional schemes in the market. The cross
promotions also help the company to offer the customers a chance of using other
products of the same company.

Table 4.7

7. Does customer buy products which have Garlic /Onion paste in it (Tomato
Ketchup)

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Number of Percentage
Sl. No Description
Respondents (%)
1 Yes 80 67
2 No 40 33
TOTAL 120 100

Analysis:
It is clear from the above table that more than half of the respondents i.e. 80 out of
120 (67%) feel that customer buy products which have such variation of that of
garlic/onion flavor in it. Whereas, 40 out of 120 respondents would not like to try out
such variations in tomato ketchup.

Graph 4.7
Graph showing that customer buy products which have Garlic /Onion paste in it
(Tomato Ketchup)

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Inference:
Therefore from the above analysis it can be inferred that the majority of the
respondents go for certain variations in the taste of tomato ketchup.

Table 4.8

8. Frequencies of customers purchasing Tomato Ketchup?

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Number of Percentage
Sl. No Particulars
Respondents (%)
1 Once a month 24 20
2 0-6 months 68 57
3 Year back 4 3
4 Right now 0 0
TOTAL 120 100

Analysis:
From the above table it is evident that 20% (24 out of 120) respondents agree that
they buy tomato ketchup once a month and 57% (68 out of 120) fell they will
purchase once in six months. However, only handful of them i.e, 4 out of 120 but
yearly once.

Graph 4.8

Graph showing that frequency of customer’s purchasing Tomato Ketchup.

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Inference:
From the above it is inferred that most of respondents buy tomato ketchup
once in 6 month. This is because ketchup follow two purchase patterns, In regular
ketchup households, it is purchased at the beginning of every purchase cycle when
monthly non-durable items are bought. The second group is of those households
where ketchup has an occasional use, it is usually an impulse purchase, from the local
retailers and the main purchaser is the housewife with key influencers being children.

Table 4.9

9. Does customer be open to other variants?

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Number of Percentage
Sl. No Description
Respondents (%)
1 Yes 78 65
2 No 42 35
TOTAL 120 100

Analysis:
It is clear from the above table that majority of the respondents i.e. 78 out of
120 (65%) feel that there open to other variants. Whereas, 42 out of 120 respondents
are of the opinion that they are not open.

Graph 4.9
Graph showing that does customer be open to other variants.

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Inference:
Thus the above study reveals that the majority of the respondents feel that they are
open to other variant because in recent days customer is in verge of tasting different
variety of dishes. In order to satisfy they are much obliged. But there are some cases
where respondents do not go for other variants this is due to the taste that has been
much privileged in these products.

Table 4.10

10. The most preferable offering customers consider while purchasing the
ketchup.

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Number of Percentage
Sl. No Particulars
Respondents (%)
1 Price 4 3
2 Scheme 0 0
3 Brand Name 16 13
4 Quality 72 60
5 Taste 28 24

TOTAL 120 100

Analysis:
It is viewed from the above exhibit that 3% of the respondents think that they consider
price while purchasing and 13% of them on brand name. On the other hand, 60% of
respondents consider quality, 28 out of 120 respondents go for taste before purchasing
the product. Finally no one opted for scheme offerings.

Graph 4.10
Graph showing that most preferable offering customers consider while purchasing the
ketchup.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
Thus the above study reveals that the majority of the respondents feel that they feel
that quality plays a vital role in purchasing the product and next the taste and finally
the brand name. Quality is the main factor on which any Tomato Ketchup should
emphasis and it becomes a main strength for the company to have an edge over its
competitors. Customers also look for reliability in tomato ketchup, it should guarantee
that is no matter which pack a person picks up he would be provided with the same
taste, aroma & seasoning.

Table 4.11
11. Do customers aware of some Del Monte’s products.

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Number of Percentage
Sl. No Description
Respondents (%)
1 Yes 46 38
2 No 70 58
3 Somewhat 4 4
TOTAL 120 100

Analysis:
A large portion of the total universe constituting 58% of customer says they
are not aware of Del Monte. Only 38% (46 out of 120) respondents feel that they are
aware of and 4% are somewhat aware of products.

Graph 4.11

Graph showing that do customers aware of some Del Monte’s products

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
Thus the above study reveals that the majority of the respondents feel that they
are not aware of Del Monte and some respondents who were recent visitors to US are
fond of knowing that it is been launched in India. But during the survey we noticed
that customers are somewhere not sure of the existence/availability of the products of
Del Monte. This certainly means that by proper promotion done in all outlets can
create awareness of the products offered by Del Monte.

Table 4.12

12. The demographic composition of the customers during the promotions of Del
Monte’s Tomato ketchup.

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Number of Percentage
Sl. No Description
Respondents (%)
1 Male 52 43
2 Female 68 57
TOTAL 120 100

Analysis:
From the above table it is evident that all (57%) of the respondents are female
and 43% of the respondents are male. So, one can analyze that the maximum number
of respondents are usually female.

Graph 4.12
Graph showing demographic composition of the respondents during the promotions
of Del Monte’s Tomato ketchup.

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Inference:
Thus the above study reveals that majority of respondents contacted during the
promotions of Del Monte’s Tomato Ketchup were female. This is usual because the
need and wants are better known to the female counterpart in any family in India.

Table 4.13
13. The ages of the customers when collected through survey

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
1 Under 25 years of age 61 51
2 25-34 28 23
3 35-54 25 21
4 Above 55 6 5
TOTAL 120 100

Analysis:
From the above table it can be observed that 51% of the respondents are under
the age of 25 years and 23% of respondents are 25-34 years of age. 21% respondents
say that they are 35-54 years of age and 5% visits the outlets are above 55 years of
age.

Graph 4.13

Graph showing ages of the respondents when collected through survey.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:

Thus the above study reveals that the majority of the respondents feel that the
frequency of ages less than 25 years are quite often in retail outlets because they are
much attracted to buy the products rather than 23-34 years of age. This typically
means that the responses of 34-54 years are comparatively same response in
demographic analysis. Its relevant to say that the ages above 55 years are not quite
often because during their old age period some do not prefer to go to these outlets.

Table 4.14
14. Shopping frequency of the respondents.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
More than twice a 36 30
1
week
2 Once a week 51 42
Several times a 26 22
3
month
4 Once a month or less 7 6
TOTAL 120 100

Analysis:
It is viewed from the above table that 30% of the respondents visits the outlet
more than twice a week. 51 out of 120 respondents visit once a week and 22% (26 out
of 120) visit several times. 6% of the respondents visit once in a month or less.

Graph 4.14

Graph showing Shopping frequency of the respondents.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
It is clear from the above analysis that majority of respondent shop once in a
week but there are some cases where they shop twice in a week. This usually happens
when customer have a tendency to go for freshly available stocks in these stores. Most
of them shop several times in a month they are the typical behavior seen among
Indian customers. But the middle class families shop only once in a month this is due
to the salary received only once in a month.

Table 4.15

15. How did you like Del Monte’s rich and natural tomato
ketchup?

• Average of all Outlets

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
1 Great Taste 27 22
2 Good 92 77
3 Not Good 1 1
TOTAL 120 100

Analysis:
It is clear from the above table that 22% of the respondents say great taste. On
the other hand 77% of respondents say that the taste is good and 1% say not good.

Graph 4.15
Graph showing the average of all outlets response of Del Monte rich and natural
tomato ketchup?

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
It is clear from the above graph that majority of customer tasted the product
during the sampling; we found that the response was pretty good as they liked the
taste of tomato ketchup. They were some respondent who didn’t like the product but
when approached to know the reason they were oriented to brand. This is seen by
direct observation of the customer response.

Table 4.15a
• Multiplex Supermarket response

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
1 Great Taste 20 16
2 Good 98 82
3 Not Good 2 2
TOTAL 120 100

Analysis:
It is viewed from the above exhibit that majority of the respondents think that
the taste is good, 16% of respondents say great taste and 2% say the taste was not
good.

Graph 4.15b

Graph showing the average of Multiplex Supermarket response.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
It is clear from the above graph that majority of customer tasted the product
during the sampling; we found that the response was pretty good as they liked the
taste of tomato ketchup. They were some respondent who didn’t like the product but
when approached to know the reason they were oriented to brand. This is seen by
direct observation of the customer response.

Table 4.15c
• Hari Om Supermarket response

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
1 Great Taste 25 21
2 Good 94 78
3 Not Good 1 1
TOTAL 120 100

Analysis:
It is viewed from the above exhibit that majority of the respondents think that
the taste is good i.e. 78%, 21% say great taste and 1 % say the taste is not good.

Graph 4.15c

Graph showing the average of Hari Om Supermarket response.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
It is clear from the above graph that majority of customer tasted the product during
the sampling; we found that the response was pretty good as they liked the taste of
tomato ketchup. They were some respondent who didn’t like the product but when
approached to know the reason they were oriented to brand. This is seen by direct
observation of the customer response.

Table 4.16d

• Aishwarya Supermarket response

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
1 Great Taste 22 18
2 Good 98 82
3 Not Good 0 0
TOTAL 120 100

Analysis:
It is viewed from the above exhibit that majority of the respondents think the
taste of the ketchup is good i.e. 82% and 18% say it as great taste and none of the
respondents think that it is not good.

Graph 4.16d

Graph showing the average of Aishwarya Supermarket response

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:

It is clear from the above graph that majority of customer tasted the product
during the sampling; we found that the response was pretty good as they liked the
taste of tomato ketchup. They were some respondent who didn’t like the product but
when approached to know the reason they were oriented to brand. This is seen by
direct observation of the customer response.

Table 4.17e
• Family’s Supermarket response

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Number of Percentage
Sl. No Description
Respondents (%)
1 Great Taste 41 34
2 Good 79 66
3 Not Good 0 0
TOTAL 120 100

Analysis:
From the above table it is evident that all (34%) of the respondents say great
taste and 66% of the respondents say the taste is good. 0% of the respondents think
the taste is not good.

Graph 4.17e

Graph showing the average of Family’s Supermarket response

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Inference:
It is clear from the above graph that majority of customer tasted the product
during the sampling; we found that the response was pretty good as they liked the
taste of tomato ketchup. They were some respondent who didn’t like the product but
when approached to know the reason they were oriented to brand. This is seen by
direct observation of the customer response.

STASTICAL ANALYSIS

Z Test
Objective:

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

Ho: Sales Promotion will lead to increase in the sales of Del Monte’s Tomato
Ketchup.
Ha: Sales Promotion will not lead to increase in the sales of Del Monte’s Tomato
Ketchup.

H0 : µHo =117.50
Ha: µHo ≠ 117.50

Sl No. X (X- x ) (X- x )2


1 129 11.35 128.82
2 190 72.35 5234.52
3 178 60.35 3642.12
4 192 74.35 5527.9
5 76 -41.65 1734.7
6 91 -26.65 710.22
7 114 -3.65 13.3
8 103 -14.65 214.6
9 106 -11.65 135.7
10 103 -14.65 214.62
11 109 -8.65 74.8
12 109 -8.65 74.8
13 105 -12.65 160
14 107 -10.65 113.4
15 115 -2.65 7
16 106 -11.65 135.7
17 111 -6.65 44.22
18 112 -5.65 31.92
19 114 -3.65 13.3
20 103 -14.65 214.62
21 113 -4.65 21.6
22 110 -7.65 58.52
23 108 -9.65 93.12
24 108 -9.65 93.12
25 114 -3.65 13.3
26 118 0.35 0.122
27 120 2.35 5.52
28 120 2.35 5.52
29 120 2.35 5.52
30 120 2.35 5.52
31 118 1.35 1.825
32 120 2.35 5.52
33 116 -1.65 2.72
34 120 2.35 5.52
35 120 2.35 5.52
TOTAL ∑= 4118 ∑(X- x )2=

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

18749.23

X = 4118/35= 117.65

σp = ∑( X −x )
2
/ n −1 = 18749 .23 / 35 −1 = 551 .447 = 23.48

z = X - µHo
σp / n

= 117.65 – 117.50 = 0.15 = 0.0085401


23.48 - 35 = 17.564

As it is two-sided in the hypothesis, two-tail test can be applied for


determining the rejection/acceptance rejoins at 5% level of significance using normal
curve area table.
R: |z| > 1.96
The observed value of z is 0.0085401 which is in the acceptance region since
R:q |z| > 1.96 and thus H0 is accepted.
Thus, we may conclude that the given sample (with mean of 117.65) can be regarded
to have been taken from a population at 5% level of significance. The sample taken
proves the hypothesis that sales promotion will lead to increase in the sales of Del
Monte’s Tomato Ketchup.

CHAPTER – V
SUMMARY OF FINDINGS, CONCLUSIONS AND
SUGGESTIONS

5.1 Summary of Findings:


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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

The study was conducted at different outlets of Bangalore to Analyze


the Effectiveness of Sales Promotion for Del Monte Tomato Ketchup. The response
based on the survey of 120 handpicked customers at the various outlets is as follows:
On analyzing and evaluating of the data, the following findings are recorded.

 Majority of
o Consumers opted for retail outlets and departmental stores to purchase
their monthly provisions.
o Respondents aim is continuously added value to the consumers
shopping basket.
o Respondents go for the number one brand Kissan in Tomato Ketchup.
o Retail outlets are usually placed in convenient location and availability
of products because as it helps the customers to easily identify the
outlets.
o Respondents select these schemes to pour new life into a brand by
making the brand accessible or attractive to new customers in cross
promotional schemes.
o Them inferred that a good number of respondents feel that they would
participate in all types of cross promotional schemes.
o Go for certain variations in the taste of tomato ketchup.
o Follow two purchase patterns; it is purchased at the beginning of every
purchase cycle when monthly non-durable items are bought.
o Feel that they are open to other variant because in recent days customer
is in verge of tasting different variety of dishes.
o Quality is the main factor on which any Tomato Ketchup should
emphasis and it becomes a main strength for the company to have an
edge over its competitors
o Certainly mean that by proper promotion done in all outlets can create
awareness of the products offered by Del Monte.
o Needs and wants are better known to the female counterpart in any
family in India.
o Consumers are of frequency of ages less than 25 years are quite often
in retail outlets because they are much attracted.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

o Have a tendency to go for freshly available stocks in these stores.


o I found that the response was pretty good as they liked the taste of
tomato ketchup.

5.2 Conclusions:
Sales promotions have become a vital tool for marketers and its importance has
been increasing significantly over the years. In India, sales promotions expenditure by
various marketing companies is estimated to be Rs 5,000 crores and the emphasis on
sales promotion activities by the Indian industry has increased by 500 to 600 percent
during the last 3 to 5 years.

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

The research was helpful to gain some knowledge about the organization and
also about sales promotion conducted by us. According to the data collected it is
recorded that the level of discounts offered is low. Hence company should try to
provide more discounts on the product. They should also increase the visibility of the
product in Retail Stores and hence effective distribution network because in the
survey conducted by us we found that majority of respondents opted for Food Bazaar.

Ketchup is thinner as compared to Kissan and other products. According to our


inference thickness is one important criteria which affects buying behavior. Hence
company should work on the thickness of the ketchup. Company should work on
taste also. According to the data collected people prefer the taste of Kissan.
They should maintain quality of the product to catch hold of customer attention in all
permissible conditions.

5.3 Recommendations:
Sales promotion is an initiative undertaken by FieldFresh to promote an
increase its sales, usage or trial of product tomato ketchup. Sales promotions are
varied. Some of the other techniques that FieldFresh can adopt in order to increase its
sales turnover are as follows:

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“To Analyze the Effectiveness of Sales Promotion for FieldFresh’s Tomato Ketchup”

 Buy-One-Get-One-Free (BOGOF) – This is a liquidating promotion technique


and is known as a PREMIUM sales promotion tactic.
 New media - Websites and mobile phones that support a sales promotion. For
example, in the United Kingdom, a company printed individual codes on its
product packaging, whereby a consumer would enter the code into a dynamic
website to see if they had won a prize. Consumers could also text codes via their
mobile phones to the same effect.
 Free gifts may be given along with the purchase of FieldFresh’s tomato
ketchup.
 After analyzing the empirical data it was found that a lot of sales promotional
activities were done in order to improve relationships to create a successful long
term relationship with the customers.
 Look into how sales promotional tools used in consumers markets can be put
into practice.
 In addition to gender and age, other demographics could also be studied along
with sales promotion to discover smaller customer segments receptive to this kind
of promotion.
 If such segments were found, marketing efforts could be targeted to increase
marketing efficiency.
 Since majority of the customers is in favor of live demonstration of Tomato
Ketchup. They should prioritize more in rest of the sales promotional tools to
attract more customers.
 In case of Ketchup and sauces it provides better customer education and
fabulous trade shows but it has to focus more discount offer, and so on.
 In the sales promotional tools Field Fresh is highly lacking behind compared
to Kissan and Maggi. Therefore, measures should be taken to uplift these tools in
order to attract the customers.

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