MAJOR PROJECT REPORT ON

“A study on Consumer Preferences of Chocolate Brands”

Submitted in partial fulfilment of requirement of Bachelor of Business

Administration (B.B.A) General

BBA VIth SEMESTER MORNING

BATCH 2015-2018

SUBMITTED TO: SUBMITTED BY:

Dr. Niti Saxena Pritanshi Anand

(ASSOCIATE PROFESSOR) (02314101715)

JAGANNATH INTERNATIONAL MANAGEMENT SCHOOL, KALKAJI

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 STUDENT UNDERTAKING

I hereby declare that the present study of “Consumer Preferences of Chocolate Brands” is based
on my original research work for the partial fulfilment of the requirement of BACHELOR OF
BUSINESS ADMINISTRATION Batch 2015 – 2018. This report has been prepared by me under
the guidance of Dr. Niti Saxena. This project is an original work and has not been submitted
earlier for the award of my degree/diploma or associate ship to any other university / institute.

NAME – PRITANSHI ANAND

ENROLLMENT NUMBER- 02314101715

COLLEGE – JIMS KALKAJI

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 CONTENTS
Chapters Description Page No.

Student Undertaking (2)

Contents with page number (3)

List of Figures (4)

List of Charts (6)

Certificate of Supervisor (7)

Acknowledgement (8)

Executive Summary (9)

1. Introduction to topic (10)

2. Objectives of Study (31)

3. Literature Review (33)

4. Company Profile (36)

5. Research Methodology (52)

6. Analysis& findings (54)

7. Findings & Inferences (87)

8. Limitations (89)

9. Recommendations and Conclusion (90)

10. Bibliography (93)

11. Appendix (94)

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 LIST OF FIGURES

LIST OF FIGURES

S.NO. Figures Title Page Number

1. Figure 1: Dairy Milk Silk 11

2. Figure 2: Cocoa Powder 13

3. Figure 3: Unsweetened Chocolate 13

4. Figure 4: Dark Chocolate 14

5. Figure 5: Bitter Sweet Chocolate 14

6. Figure 6: Semi-Sweet Chocolate 15

7. Figure 7: Sweet dark chocolate 15

8. Figure 8: Milk Chocolate 16

9. Figure 9: White Chocolate 16

10. Figure 10: Couverture Chocolate 17

11. Figure 11: Gianduja Chocolate 17

12. Figure 12: Candy Coating Chocolate 18

13. Figure 13: How is Chocolate Made? 25

14. Figure 14: Nestle India Headquarters in Gurgaon 37

15. Figure 15: Nestle Logo 38

16. Figure 16: Nestle Chocolates 39

17. Figure 17: Kit-Kat 39

18. Figure 18: Milky Bar 40

19. Figure 19: Nestle Munch 40

20. Figure 20: Nestle Milk chocolate 41

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 21. Figure 21: Nestle Bar one 42

22. Figure 22: Nestle Chocolate Eclairs 42

23. Figure 23: Polo 43

24. Figure 24: John Cadbury 43

25. Figure 25: Cadbury Office 45

26. Figure 26: Cadbury Chocolates 47

27. Figure 27: Dairy Milk 48

28. Figure 28: 5 Star 49

29. Figure 29: Perk 49

30. Figure 30: Cadbury Celebrations 50

31. Figure 31: Temptations 51

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 S. No. Charts Title Page Number

1. Chart 1: Liking for the Chocolates 58

2. Chart 2: Different Age Groups 59

3. Chart 3: Preference according to the age groups 60

4. Chart 4: Brand Preference 61

5. Chart 5: Purchase of Cadbury chocolates 62

6. Chart 6: Purchase of Nestle Chocolates 63

7. Chart 7: Overall Purchase of Chocolates 73

8. Chart 8: Form Preference 75

9. Chart 9: Pack of Chocolate Preferred 76

10. Chart 10: Promotional Offers 77

11. Chart 11: Factors affecting purchase 78

12. Chart 12: Media of Advertisement 80

13. Chart 13: Frequency of customers 82

14. Chart 14: Reasonable Price 82

15. Chart 15: Customer Brand Loyalty 86

16. Chart 16: Reaction On New Products 88

Introduced

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 LIST OF CHARTS

CERTIFICATE OF THE SUPERVISOR

This is to certify that the project work titled “A study on Consumer Preference of
Chocolate Brands” is a work of Pritanshi Anand having Enrollment Number
02314101715.

This project was carried out under the partial fulfilment for the award of the degree
of BBA from JAGANNATH INTERNATIONAL MANAGEMNET SCHOOL
under my guidance.

This project is original and has not been submitted earlier for the award of my
degree/diploma or associate ship to any other university/institute.

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 SIGNATURE OF GUIDE

DR. NITI SAXENA

(ASSOCIATE PROFESSOR)

ACKNOWLEDGEMENT

The satisfaction and euphoria that accompanies the successful completion of any task would be
without mentioning the names of the people who made it possible, whose constant guidance and
encouragement crown all the efforts with success.

I am deeply indebted to all people who have guided, inspired and helped me in the successful
completion of this project. I owe a debt of gratitude to all them, who were so generous with their
time and expertise.

A lot of effort has gone into this project report. My thanks are due to many people with whom I
have been closely associated. I would like all those who have contributed in completing this
project. First of all, I would like to send my sincere thanks to Dr. Niti Saxena for her helpful hand
in the completion of my project.

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I would like to thank my entire beloved family and friends for providing me monetary as well as
non – monetary support, as and when required, without which this project would not have been
completed on time. Their trust and patience is now coming out in the form of this thesis.

EXECUTIVE SUMMARY

The project title

"A study on Consumer Preference of Chocolate brands" deals mainly with the
consumer behaviour.

In this project I had done extensive market research regarding CadburyChocolate

and its brands and some competitor’s brands like Nestle, Amul, etc.
There has been a stiff competition among the different chocolate brands, especially
among Cadbury and nestle. The scope of the project was to collect data from the
selected market locations of south Delhi, analyze the significance of the data and
the conclusion. I had gone to different market locations of South Delhi and
Interviewed different consumers about their preference and buying behaviour of
selecting a particular brand of chocolate.

I had also given Questionnaire to them in this regard and took their feedback,
which later helped me in coming out with results, which are analysed and shown
through graphs. In this project I have interviewed personally different consumers
from Children to Housewives, Students to Professionals. I found different buying
behaviour among them according to mood, occasion, choice, pricing, quality,
availability & advertising of different chocolates. Comparative research is the act
of comparing two or more things with a view to discovering something about one
or all of the beings compared. Comparative study helps in evaluating our strength
and weakness with other competitor in the same sector.
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By doing the comparison of Nestle and Cadbury chocolates, it was found that the
preference of the chocolates more preferred by the consumer is Cadbury that is
73% of market and Nestle cover 22% of market. Consumer is very conscious about
the quality of the product in that matter they are not ready to compromise and both
company product are very qualitative, if a product is not available in the market
than some consumer would to switchover to another product or brand, the
consumption of the chocolates are more in children and teenage group though
having any occasion or not having any occasion. But among all brands of
chocolates, Cadbury's brand is more preferred by the consumers and it is market
leader in chocolates. And above all the Cadbury's Dairy Milk is liked most.

CHAPTER-1

INTRODUCTION TO THE TOPIC

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 INTRODUCTION

CONSUMPTION OF CHOCOLATES IN INDIA

India is working up a voracious appetite for chocolates.

A delectable combination of rising disposable incomes, changing lifestyles and a

young population’s growing penchant for indulgence has transformed India into
one of the world’s fastest growing chocolate markets.

A July report from French investment bank Society General predicts that in the
next five years, global confectioners will see the highest growth in four markets:
India, Mexico, China and Brazil.

But it’s not just affluent Indians who are craving for chocolates, although they still
comprise nearly 80% of country’s chocolate sales, according to Technopak, a retail
consultancy. Lured by smaller, more affordable offerings, the rural hinterland and
tier 2 and 3 cities—still dominated by traditional Indian sweets—are developing
quite a sweet tooth.

Overall, India’s per-capita spending on confectionery is tiny—and that means

there’s plenty of room for growth.

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All marketing starts with the consumer. So consumer is a very important person to
a marketer. Consumer decides what to purchase, for whom to purchase, why to
purchase, from where to purchase, and how much to purchase. In order to become
a successful marketer, he must know the liking or disliking of the customers. He
must also know the time and the quantity of goods and services, a consumer may
purchase, so that he may store the goods or provide the services according to the
likings of the consumers. Gone are the days when the concept of market was let the
buyers beware or when the market was mainly the seller’s market. Now the whole
concept of consumers over eighty prevails. The manufacturers produce and the
seller’s sell whatever the consumer likes. In this sense, consumer is the supreme in
the market. As consumers, play a very vital role in the health of the economy local,
national or international. The decision make concerning our consumption
behaviour affect the demand for the basic raw materials, for the transportation, for
the banking, for the production; they effect the employment of workers and
deployment of resources and success of some industries and failures of others.
Thus marketer must understand this.

Preference (or "taste") is a concept, used in the social sciences particularly

economics. It assumes a real or imagined "choice" between alternatives and the
possibility of rank ordering of these alternatives, based on happiness, satisfaction,
gratification, enjoyment, utility they provide. More generally, it can be seen as a
source of motivation.

In cognitive sciences, individual preferences enable choice of objectives/goals. The

study of the consumer preference not only focuses on how and why consumers
make buying decision, but also focuses on how and why consumers make choice
of the goods they buy and their evaluation of these goods after use. So for success
of any company or product promotion it is very necessary to depart its
concentration towards consumer preference.

A Brief Overview of Chocolate

Chocolate, as we commonly know it, is the product of a long refining process that begins with the
fruit (cacao beans) of the tropical tree Theobroma cacao.

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The beans are fermented, dried, roasted, and ground, and the resulting products include cocoa
butter, a smooth, solid fat used in both food and cosmetics, and chocolate liquor, or ground roasted
cocoa beans.

The type of chocolate that come from this refining process is determined by the various amounts of
cocoa butter and chocolate liquor the chocolate contains, as well the amount of sugar and any other
ingredients added to the mixture.

A Guide to Chocolate Varieties

This brief guide to the types of chocolate will demystify the many different chocolate names, and
help you choose the perfect type of chocolate for your recipe.

 Cocoa powder: This unsweetened powder is pulverized, partially defatted chocolate

liquor. Cocoa powder gives an intense chocolate taste and is available in “Dutch-
processed” (alkalized) or natural varieties. Natural cocoa powder is light brown, with a
strong, pronounced chocolate flavour. It is slightly acidic, so it is best to use natural cocoa
powder in recipes calling for baking soda. Alkalized cocoa powder is darker in color, less
acidic, and has a milder chocolate taste. Alkalized cocoa powder is recommended for
recipes that call for baking powder.

Figure 2: Cocoa Powder

 Unsweetened chocolate: Also known as “bitter” or “baking” chocolate. This is pure

chocolate liquor, composed solely of ground cocoa beans. Although it looks and smells like
chocolate, it has a bitter taste and is not meant for consumption on its own—it is best used
in cooking, when it can be combined with sugar to make it more palatable. Because cocoa
beans contain equal amounts of cocoa butter and cocoa solids, unsweetened chocolate lends
a deep, rich chocolate flavor to baked goods. Unsweetened chocolate is the base ingredient
in all other forms of chocolate, except white chocolate.

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 Figure 3: Unsweetened Chocolate

 Dark chocolate: Chocolate that contains chocolate liquor, sugar, cocoa butter, vanilla and
leicithin (an emulsifier).There are no milk solids added in dark chocolate. The cocoa
content of commercial dark chocolate bars can range from 30% (sweet dark) to 70- 80%
for extremely dark bars. Bittersweet chocolate and semi-sweet chocolate also fall into the
“dark chocolate” category.

Figure 4: Dark Chocolate

 Bittersweet chocolate: Chocolate, as defined by the FDA, that contains at least 35% cocoa
solids. Most bittersweet bars contain at least 50% chocolate liquor, with some bars pushing
70-80% chocolate liquor. This chocolate often has a deeper, more bitter flavor than sweet
dark or semi-sweet bars. However, the amount of sugar in the chocolate is not regulated, so
one manufacturer’s “bittersweet” bar may taste sweeter than another’s “semi-sweet” bar.

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 Figure 5: Bitter Sweet Chocolate

 Semi-sweet chocolate: This is primarily an American term, popularized by Nestle Toll

House semi-sweet chocolate chips. Semi-sweet chocolate contains at least 35% cocoa
solids, and is generally assumed to be darker than sweet dark chocolate, but sweeter than
bittersweet. However, the lack of regulations regarding sugar content means that these
classifications are relative and not consistent across brands.

Figure 6: Semi -Sweet Chocolate

 Sweet dark chocolate: is “dark chocolate” in the sense that it does not contain milk solids,
but it still has a high percentage of sugar and is much sweeter than other types of dark
chocolate. Many brands of sweet dark chocolate have only 20-40% cocoa solids.

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 Figure 7: Sweet dark Chocolate

 Milk chocolate: In addition to containing cocoa butter and chocolate liquor, milk chocolate
contains either condensed milk (most European varieties) or dry milk solids. Milk
chocolate must contain at least 10% chocolate liquor (in the United States), 3.39%
butterfat, and 12% milk solids. Milk chocolates are typically much sweeter than dark
chocolate, and have a lighter color and a less pronounced chocolate taste. Milk chocolate is
more difficult to temper properly and more prone to overheating.

Figure 8: Milk Chocolate

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  White chocolate: White chocolate gets its name from the cocoa butter it contains, but does
not contain chocolate liquor or any other cocoa products. As a result, it has no pronounced
chocolate taste, but commonly tastes like vanilla or other added flavorings. By law, white
chocolate must contain a minimum 20% cocoa butter, 14% milk solids, and a maximum of
55% sugar. There are some “white chocolate” products available that contain vegetable fats
instead of cocoa butter—these should be avoided from a taste standpoint, as they contain
no cocoa products at all, and are not technically white chocolate.

Figure 9: White Chocolate

 Couverture chocolate: Used primarily by professional bakers or confectioners, this

chocolate contains a very high percent (at least 30%) of cocoa butter, as well as a high
percentage of chocolate liquor. This high ratio makes it expensive, but it also means that
the resulting chocolate is smooth and melts quickly and evenly. Couverture chocolate is the
preferred chocolate for tempering and enrobing candies. It comes in dark, milk, and white
varieties, and can be purchased online or at well-stocked cake decorating stores.

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 Figure 10: Couverture Chocolate

 Gianduja chocolate: Gianduja is the name given to a European style of chocolate made
from chocolate and nut paste. Hazelnut paste is most common, but gianduja can also be
made with almond paste. It comes in milk or dark chocolate varieties. Gianduja chocolate
can be used as a flavouring or as a substitute for milk or dark chocolate. At room
temperature it is soft enough to be rolled or cut, but is too soft to use for molding
chocolates.

Figure 11: Gianduja Chocolate

 "Candy coating" chocolate: Also known as “confectionery coating,” “summer coating,”

or “compound coating.” These terms refer to candy products that are flavoured like dark,
milk or white chocolate and substitute vegetable or palm oils for cocoa butter. These
products are cheaper than most chocolates, and do not contain significant amounts of
chocolate liquor; thus, they do not have a strong chocolate flavour or an appealing mouth
feel. However, they have excellent melting and molding properties, and thus are often used
in candy making for dipping or enrobing, since they do not require tempering and can
withstand high ambient temperatures. Be careful to never mix candy coating with real
chocolate, as the fats are not compatible and the resulting candy will be unattractive and
discolored.

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 Figure 12: Candy Coating Chocolate

CHOCOLATE PRODUCTION

The cocoa-bean -- the heart of the sweetest delicacy in the world – is bitter! This is
why, up to the 18th century some native tribes ate only the sweetish flesh of the
cocoa fruit. They regarded the precious bean as waste or used it, as was the case
among the Aztecs, as a form of currency.

Figure 13: How is Chocolate made?

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The Varieties

There are two quite different basic classifications of cocoa, under which practically
all varieties can be categorised: Criollo and Forastero cocoas.
The pure variety of the Criollo tree is found mainly in its native Equador and
Venezuela. The seeds are of finer quality than those of the Forastero variety.
They have a particularly fine, mild aroma and are, therefore, used only in the
production of high-quality chocolate and for blending. However, Criollo cocoa
accounts for only 10% of the world crop. The remaining 90% is harvested from
trees of the Forastero family, with its many hybrids and varieties. The main
growing area is West Africa. The cocoa tree can flourish only in the hottest regions
of the world.

The Harvest

Immediately after harvesting, the fruit is treated to prevent it from rotting.

At fermentation sites either in the plantation or at, collecting points, the
fruit is opened.

Fermentation

The fermentation process is decisive in the production of high quality raw cocoa.
The technique varies depending on the growing region.

Drying

After fermentation, the raw cocoa still contains far too much water; in fact about
60%. Most of this has to be removed. What could be more natural than to spread
the beans out to dry on the sun-soaked ground or on mats? After a week or so, all
but a small percentage of the water has evaporated.

Cleaning

Before the real processing begins, the raw cocoa is thoroughly cleaned by passing
through sieves, and by brushing. Finally, the last vestiges of wood, jute fibres, sand
and even the finest dust are extracted by powerful vacuum equipment.

Roasting

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The subsequent roasting process is primarily designed to develop the aroma. The
entire roasting process, during which the air in the nearly 10 feet high furnaces
reaches a temperature of 130 °C, is carried out automatically.

Crushing and shelling

The roasted beans are now broken into medium sized pieces in the crushing
machine.

Blending

Before grinding, the crushed beans are weighed and blended according to special
recipes. The secret of every chocolate factory lies in the special mixing ratios,
which it has developed for different types of cocoa.

Grinding

The crushed cocoa beans, which are still fairly coarse are now pre-ground by
special milling equipment and then fed on to rollers where they are ground into a
fine paste. The heat generated by the resulting pressure and friction causes the
cocoa butter (approximately 50% of the bean) contained in the beans to melt,
producing a thick, liquid mixture.

This is dark brown in color with a characteristic, strong odour. During cooling it
gradually sets: this is the cocoa paste. At this point the production process divides
into two paths, but which soon join again. A part of the cocoa paste is taken to
large presses, which extract the cocoa butter. The other part passes through various
blending and refining processes, during which some of the
cocoa butter is added to it. The two paths have rejoined.

CocoaButter

The cocoa butter has important functions. It not only forms part of every
recipe, but it also later gives the chocolate its fine structure, beautiful
lustre and delicate, attractive glaze.

Cocoa

After the cocoa butter has left the press; cocoa cakes are left which still contain a
10 to 20% proportion of fat depending on the intensity of compression.
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Powder

These cakes are crushed again, ground to powder and finely sifted in several stages
and we obtain a dark, strongly aromatic powder, which is excellent for the
preparation of delicious drinks - cocoa. Cocoa paste, cocoa butter, sugar and milk
are the four basic ingredients for making chocolate. By blending them in
accordance with specific recipes the three types of chocolate are obtained which
form the basis of ever product assortment, namely:

Kneading

In the case of milk chocolate for example, the cocoa paste, cocoa butter, powdered
or condensed milk, sugar and flavouring - maybe vanilla - go into the mixer, where
they are pulverized and kneaded.

Rolling

Depending on the design of the rolling mills, three or five vertically mounted steel
rollers rotate in opposite directions. Under heavy pressure they pulverise the tiny
particles of cocoa and sugar down to a size of approx. 30 microns. (One micron is
a thousandth part of a millimetre.)

Conching

But still the chocolate paste is not smooth enough to satisfy our palates.
But within two or three days all that will have been put right. For during this period
the chocolate paste will be refined to such an extent in the conches that it will
flatter even the most discriminating palate. Conches (from the Spanish word
"concha", meaning a shell) is the name given to the troughs in which 100 to 1000
kilograms of chocolate paste at a time can be heated up to 80 °C and, while being
constantly stirred, is given a velvet smoothness by the addition of certain amounts
of cocoa butter. A kind of aeration of the liquid chocolate paste then takes place in
the conches: its bitter taste gradually disappears and the flavor is fully developed.
The chocolate no longer seems sandy, but dissolves meltingly on the tongue. It has
attained the outstanding purity, which gives it its reputation.

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Product play

In as early as1998, India’s largest chocolate maker, Mondelēz—earlier called

Cadbury—introduced chocolate packets that cost as low as Rs5. This was mainly
to persuade non-users to try the products and to penetrate into rural areas.

At the other end of the market, Mondelēz is also expanding its range of premium
chocolates for an urban clientele with a more international palette.

According to Prashant Peres, director, marketing (chocolates) at Mondelēz India,

to keep up with the growing demand in the premium segment, the company has
introduced new products in recent months.

“With product and packaging innovations like our various home treat packs, we are
also focusing on creating new consumption occasions in the mainstream segment,”
Peres told Quartz in an email. Alongside, the traditional notion that chocolates are
meant only for children is also changing.

“Previously chocolates were predominantly seen as a confectionary product for

children, which also limited their consumption. However, market leader Cadbury’s
(Mondelēz) has focussed on growing chocolate consumption by adults, for gifting
as well as a celebratory consumption instead of traditional sweets,” said
Devangshu Dutta, chief executive of Third Eyesight, a retail consultancy.

Italy’s Ferrero Spa—makers of the popular Kinder Joy chocolates, Nutella

chocolate spread, Ferrero Rocher chocolates and Tic Tac 15 mints—has seen its
revenue shoot up in India. In 2014, the company’s sales in India rose 76% to
Rs1,014 crore ($160 million) and it posted its first-ever profit of Rs12 lakh
($18,931).

Such numbers have enticed others to join India’s chocolate craze. In March this
year, Mars International India, a subsidiary of the American Mars Inc, announced
that it will invest Rs1,005 crore ($159 million) in a new factory in Pune in
Maharashtra. The plant will make brands like Snickers and Galaxy.
Factors such as rising cocoa prices and lack of supply-chain infrastructure in India
have not exactly dampened the enthusiasm of chocolate makers.

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“The chocolate industry in India is growing at nearly 20% every year,” MV
Natarajan, general manager, Mars International India, said in a statement, “and we
see this as a huge opportunity to expand our chocolate portfolio in the country in
the coming years.”

For India’s chocolate makers and lovers alike, the fun has just begun.

Chocolate consumption in India is extremely low. Per capita consumption is

around 160 gms in the urban areas, compared to 8-10kg in the developed countries.
In rural areas, it is even lower. Chocolates in India are consumed as indulgence and
not as a snack food. A strong volume growth was witnessed in the early 90’s when
Cadbury repositioned chocolates from children to adult consumption. The biggest
opportunity is likely to stem from increasing the consumer base. Leading players
like Cadbury and Nestle have been attempting to do this by value for money
offerings, which are affordable to the masses.

OBJECTIVES OF THE STUDY

This project is based on the comparative study consumer behaviour towards Nestle
and Cadbury chocolates. Objectives of the study are:

 To study the factors affecting the consumption pattern.

 To know the reason for purchase of chocolates.

 To find out brand preference of the chocolates consumer.

 To find the factors which affect the consumer preference at the time of
purchasing chocolates.

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 CHAPTER-2

LITERATURE REVIEW

REVIEW OF LITERATURE

Dr.Shendge (2012) on his study “A Comparative Study of Consumer Preference

towards Cadbury and Nestle Chocolates with Special Reference to Navi Peth Area
in Solapur City” viewed that Chocolate is liked and eaten by all age group of
people.

Attiya Kanwal (2011) on his study “Consumer preference of International brands

over local brands” aimed at determining consumer preference of international
brands instead if national or local brands. Consumer evaluates products based on
information cues, which are intrinsic and extrinsic. If a consumer is satisfied with a
product, he will buy it again, become loyal and over time develop a relationship
with the brand. There are various factors which influence consumer purchase
decision. The price of a brand plays a fundamental role in the consumer’s choice of
brand. If a brand is priced too high then a consumer will avoid it. The price of a
brand is an indication of the quality of the brand as well. The country of origin of
products is another cue used as a sign of quality of a product. Products from
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developed countries are perceived to be of better quality. Other factors include
fashion, family and friends, brand name, availability, advertising campaigns etc.
The sample for this research is taken from Islamabad and Rawalpindi. Simple
random sampling was the technique used and the sample size was 100. Data
collected for research was through questionnaire, which was distributed among
both males and females of various age groups and income levels.

Calculations were then analyzed and interpreted using percentage of respondents

and frequency distribution.

Consumers are seen to give preference to international brands if asked to choose

between an international brand and a national brand. Consumers regard
international brands to be of better quality, more durable and reliable. Furthermore,
they are more price and quality conscious and not very brand loyal. Local
companies need to emphasize on the quality of their products in advertisements
and their advertisements need to be more targeted and up-beat to attract the
younger market segment.

Usha.V (2007) in her study “A Study on Buying Behaviour of Consumers towards

Instant Food Products in Kolar District” stated that In India, majority of food
consumption is still at home.

Nevertheless, out-of-home food consumption is increasing due to increase in

urbanization, breaking up of the traditional joint family system, desire for quality,
time which translates into an increased need for convenience, increasing number of
working women, rise in per capita income, changing lifestyles and increasing level
of affluence in the middle income group had brought about changes in food habits.

Hence, Instant Food Products came into light, which originated in Japan with
Instant noodles and had its beginning in India in 80’s, are found today in the
kitchen shelves of every Indian household. The advancement of science and
technology offered the people new foods processing vessels, equipment and tools
but still people were in search of new techniques to speed up the cooking process
in order to cope up with mechanical life, as they do not have sufficient time to
cook food in the conventional methods. Capitalizing this situation, business houses
ranging from small time manufactures to multinational corporations have started
innovating and commercializing “easy to cook food items” like noodles,
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vermicelli, gulab jamun, instant idli, vada, dosa mix etc. that are otherwise called
instant. The instant food products are not only easy to cook but also have a
significant role and place in the celebration of the family functions and religious
functions of the people.

CHAPTER-3

COMPANY PROFILE
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 COMPANY PROFILE

NESTLE

Nestle India

Nestle India is a subsidiary of Nestle the Switzerland. The company insists on

honesty, integrity and fairness in all aspects of its business and expects the same in
its relationships.

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 Figure 14: Nestle India Headquarters
in Gurgaon

Nestle India- Presence across India

Beginning with its first investment in Moga in 1961, Nestlé’s regular and
substantial investments established that it was here to stay. In 1967, Nestlé set up
its next factory at Choladi (Tamil Nadu) as a pilot plant to process the tea grown in
the area into soluble tea.
The Nanjangud factory (Karnataka), became operational in 1989, the Samalkha
factory (Haryana), in 1993 and in 1995 and 1997, Nestlé commissioned two
factories in Goa at Ponda and Bicholim respectively. Nestlé India is now putting
up the 7th factory at Pant Nagar in Uttaranchal.

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 Figure 15: Nestle Logo

Nestle’ Story

Nestlé was founded in 1867 on the shores of Lake Geneva in Vevey, Switzerland
and its first product was “Farine Lactée Nestlé”, an infant cereal specially
formulated by Henri Nestlé to provide and improve infant nutrition. From its first
historic merger with the Anglo-Swiss Condensed Milk Company in 1905, Nestlé
has grown to become the world’s largest and most diversified food Company, and
is about twice the size of its nearest competitor in the food and beverage sector.

Nestlé’s trademark of birds in a nest, derived from Henri Nestlé’s personal coat of
arms, evokes the values upon which he founded his Company. Namely, the values
of security, maternity and affection, nature and nourishment, family and tradition.
Today, it is not only the central element of Nestlé’s corporate identity but serves to
define the Company’s products, responsibilities, business practices, ethics and
goals.

In 2004, Nestlé had around 247,000 employees worldwide, operated 500 factories
in approx. 100 countries and offered over 8,000 products to millions of consumers
universally. The Company’s transparent business practices, pioneering
environment policy and respect for the fundamental values of different cultures
have earned it an enviable place in the countries it operates in. Nestlé’s activities
contribute to and nurture the sustainable economic development of people,
communities and nations.

Above all, Nestlé is dedicated to bringing the joy of ‘Good Food, Good Life’ to
people throughout their lives, throughout the world.

31 | P a g e
 Chocolates and Confectionery

Figure 16: Nestle Chocolates

NESTLÉ KITKAT

Figure 17: Kitkat

Nestle Kitkat are delicious crisp wafer fingers covered with chocolayer. Our
special tropicalized recipe ensures that NESTLÉ KITKAT is preserved even in
warmer climates.

32 | P a g e
NESTLÉ MILKYBAR

Figure 18: Milky bar

NESTLÉ MILKYBAR is a delicious milky treat which kids love. With its Calcium
Rich recipe, NESTLÉ MILKYBAR is a favourite with parents to treat their kids
with.

NESTLÉ MUNCH

Figure 19: Nestle Munch

Extremely popular in India, NESTLÉ MUNCH is wafer layer covered with

delicious chocolayer. A crispy light irresistible snack!

33 | P a g e
NESTLÉ MILK CHOCOLATE

Figure 20: Nestle Milk Chocolate

NESTLÉ Milk Chocolate is a milk chocolate with a delicious taste for you to
savour.

NESTLÉ BAR-ONE

Figure 21: Nestle Bar-one

NESTLÉ BAR-ONE has a luscious nougat and caramel core covered with a
delicious chocolayer.

NESTLÉ CHOCOLATE ECLAIRS

34 | P a g e
 Figure 22: Nestle Chocolate Eclairs

NESTLÉ offers a bouquet of three exciting éclair variants: NESTLÉ Eclairs are
rich milky caramel éclairs with a soft centre. NESTLÉ Chocolate Eclairs are a
delicious delight with luscious creamy chocolate inside. NESTLÉ MILKYBAR
Eclairs are delightful éclairs with a creamy milky chocolate centre.

POLO

Figure 23: Polo

POLO is a mint roll popularly described as ‘The Mint with the Hole’.

35 | P a g e
 CADBURY

How Cadbury Chocolate is made?

Figure 24: John Cadbury

Milk chocolate for eating was first made by Cadbury in 1897 by adding milk
powder. John paste to the dark chocolate recipe of cocoa mass, cocoa butter and
sugar. By today's standards this chocolate was not particularly good: it was coarse
and dry and not sweet or milky enough for public tastes.

There was a great deal of competition from continental manufacturers, not only the
French, but also the Swiss, renowned for their milk chocolate.

Led by George Cadbury Junior, the Bournville experts set out to meet the
challenge. A considerable amount of time and money was spent on research and on
new plant designed to produce the chocolate in larger quantities.

A recipe was formulated incorporating fresh milk, and production processes were
developed to produce a milk chocolate 'not merely as good as, but better than' the
imported milk chocolate'.

Four years of hard work were invested in the project and in 1905 what was to be
Cadbury's top selling brand was launched.

36 | P a g e
Three names were considered: Jersey, Highland Milk and Dairy Maid.
Dairy Maid became Dairy Milk, and Cadbury's Dairy Milk, with its unique flavour
and smooth creamy texture, was ready to challenge the Swiss domination of the
milk chocolate market.

By 1913 Dairy Milk had become the company's best-selling line and in the mid-
twenties Cadbury's Dairy Milk gained its status as the brand leader, a position it
has held ever since.

COMPANY OVERVIEW OF CADBURY INDIA

Figure 25: Cadbury office

Cadbury began its operations in 1948 by importing chocolates and then re-packing
them before distribution in the Indian market. After 59 years of existence, it today
has five company-owned manufacturing facilities at Thane, Induri (Pune) and
Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices
(New Delhi, Mumbai, Kolkota and Chennai). The corporate office is in Mumbai.
Currently Cadbury India operates in three sectors viz. Chocolate Confectionery,
Milk Food Drinks and in the Candy category.

In the Chocolate Confectionery business, Cadbury has maintained its undisputed

leadership over the years. Some of the key brands are Cadbury Dairy Milk, 5 Star,
Perk, Éclairs and Celebrations. Cadbury enjoys a value market share of over 70% -
the highest Cadbury brand share in the world! Their flagship brand Cadbury Dairy
37 | P a g e
Milk is considered the "gold standard" for chocolates in India. The pure taste of
CDM defines the chocolate taste for the Indian consumer.

In the Milk Food drinks segment their main product is Bournvita - the leading
Malted Food Drink (MFD) in the country. Similarly in the medicated candy
category Halls is the undisputed leader.
The Cadbury India Brand Strategy has received consistent support through simple
but imaginative extensions to product categories and distribution. A good example
of this is the development of Bytes. Crispy wafers filled with coca cream in the
form of a bagged snack, Bytes is positioned as "The new concept of sweet
snacking". It delivers the taste of chocolate in the form of a light snack, and thus
heralds the entry of Cadbury India into the growing bagged Snack Market, which
has been dominated until now by Salted Bagged Snack Brands. Bytes was first
launched in South India in 2003. Since 1965 Cadbury has also pioneered the
development of cocoa cultivation in India.
For over two decades, it has worked with the Kerala Agriculture University to
undertake cocoa research and released clones, hybrids that improve the cocoa
yield.

Today, Cadbury is poised in its leap towards quantum growth and new categories
of business, namely gums, mints, snacking and gifting. It is a part of the Cadbury
Schweppes Group, world's No.1 Confectionery Company.

CADBURY WORLD WIDE

Cadbury is the world's largest confectionery company and have a strong regional
presence in beverages in the Americas and Australia.

With origins stretching back over 200 years, today their products - which include
brands such as Cadbury, Schweppes, Halls, Trident, Dr Pepper, Snapple, Trebor,
Dentyne, Bubblicious and Bassett - are enjoyed in almost every country around the
world. We employ around 60,000 people.

Their heritage starts back in 1783 when Jacob Schweppe perfected his process for
manufacturing carbonated mineral water in Geneva, Switzerland. And in 1824
John Cadbury opened in Birmingham selling cocoa and chocolate.

These two great household names merged in 1969 to form Cadbury Schweppes
plc. Since then they have expanded their business throughout the world by a
programme of organic and acquisition led growth.
38 | P a g e
Concentrating on their core brands in beverages and confectionery since the
1980s, they have strengthened their portfolio through almost fifty acquisitions,
including brand icons such as Mott's, Canada Dry, Halls, Trident, Dentyne,
Bubblicious, Trebor, Bassett, Dr Pepper, 7 Up and Snapple.

- It employ 60,000 people in over 200 countries

- Worlds No 1 Confectionery company

- World's No 2 Gums company

- World's No 3 beverage company

CADBURY CHOCOLATES

Figure 26: Cadbury Chocolates

DAIRY MILK

The story of Cadbury Dairy Milk started way back in 1905 at Bournville, U.K., but
the journey with chocolate lovers in India began in 1948.

39 | P a g e
The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of
Cadbury Dairy Milk with a variety of ingredients and are very popular amongst
teens & adults.

Cadbury Dairy Milk has exciting products on offer - Cadbury Dairy Milk Wowie,
chocolate with Disney characters embossed in it, and Cadbury Dairy Milk 2 in 1, a
delightful combination of milk chocolate and white chocolate. Giving consumers
an exciting reason to keep coming back into the fun filled world of Cadbury.

Today, Cadbury Dairy Milk alone holds 30% value share of the Indian chocolate
market.

Figure 27: Dairy milk

5 STAR

The second largest after Cadbury Dairy Milk with a market share of 14%, Cadbury
5 Star moves from strength to strength every year by increasing its user base.

Launched in 1969 as a bar of chocolate that was hard outside with soft caramel
nougat inside, Cadbury 5 Star has re-invented itself over the years to keep
satisfying the consumers taste for a high quality & different chocolate eating
experience.

40 | P a g e
One of the key properties that Cadbury 5 Star was associated with was its classic
Gold colour. And through the passage of time, this was one property that both, the
brand and the consumer stuck to as a valuable association.

More recently, to give consumers another reason to come into the Cadbury 5 Star
fold, Cadbury 5 Star Crunchy was launched. The same delicious Cadbury 5 Star
was now available with a dash of rice crispies.

Figure 28: 5 star

PERK

Cadbury launched Perk in 1996. With its light chocolate and wafer construct,
Cadbury Perk targeted the casual snacking space that was dominated primarily by
chips & wafers.

With the rise of more value-for-money brands in the wafer chocolate segment,
Cadbury Perk unveiled two new offerings - Perk XL and XXL. In 2004, with an
added dose of 'Real Cadbury Dairy Milk' and an 'improved wafer', Perk became
even more irresistible

41 | P a g e
 Figure 29: Perk

CELEBRATIONS
Cadbury Celebrations was aimed at replacing traditional gifting options like Mithai
and dry- fruits during festive seasons.
Cadbury Celebrations is available in several assortments: An assortment of
chocolates like 5 Star, Perk, Gems, Dairy Milk and Nutties and rich dry fruits
enrobed in Cadbury dairy milk chocolate in 5 variants, Almond magic, raisin
magic, cashew magic, nut butterscotch and caramels.

The super premium Celebrations Rich Dry Fruit Collection which is a festive
offering is an exotic range of chocolate covered dry fruits and nuts in various
flavours and the premium dark chocolate range which is exotic dark chocolate in
luscious flavours.

42 | P a g e
 Figure 30: Cadbury Celebrations

TEMPTATION
Cadbury Temptations is a range of delicious premium chocolate in five
flavours variants - Roast Almond Coffee, Honey Apricot, Mint Crunch, Black
Forest and Old Jamaica.

43 | P a g e
 Figure 31: Temptations

44 | P a g e
 CHAPTER-5

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

Research is a logical and systematic search for new and useful information on a
particular topic. Research is a process used to collect information and data for the
purpose of making business decisions.

The methodology may include publication research, interviews, surveys and other
research techniques, and could include both present and historical information.

Research Methodology

45 | P a g e
This chapter describes the methodology of the study. This project is based on
information collected from primary sources. After the detailed study, an attempt
has been made to present comprehensive analysis of consumption of Cadbury and
nestle chocolates consumed by the people. The data had been used to cover various
aspects like consumption, consumer’s preference and customer’s satisfaction
regarding Cadbury and Nestle chocolates. In collecting requisite data and
information regarding the topic selected, I went to the residents of Delhi and
collected the data.

Survey design

The study is a cross sectional study because the data were collected at a single
point of time. For the purpose of present study a related sample of population was
selected on the basis of convenience.

Sample Size and Design

A sample of 100 people was taken on the basis of convenience. The actual
consumers were contacted on the basis of random sampling.

Research Period

Research work is only carried for 2 or 3 weeks.

Research Instrument

This work is carried out through self-administered questionnaires. The questions

included were open ended, dichotomous and offered multiple choices.

Data Collection

The data, which is collected for the purpose of study, is divided into 2 bases:

Primary Source: The primary data comprises information survey of

“Comparative study of consumer behaviour towards Nestle and Cadbury
chocolates”. The data has been collected directly from respondent with the help of
structured questionnaires.

46 | P a g e
 Secondary Source: The secondary data was collected from internet,
References from Library.

47 | P a g e
48 | P a g e
 CHAPTER-6

ANALYSIS AND FINDINGS

49 | P a g e
ANALYSIS OF THE STUDY

LIKING FOR THE CHOCOLATES

TABLE 1: Liking for the

chocolates

Liking for the Chocolate Yes No

Number of Respondents 95 5

50 | P a g e
 Liking For the Chocolate

95
100
Number of Persons

80
60 Yes
40 No
20 5
0
Response
1

Chart 1: Liking for the chocolates

From the above analysis of the given sample of 100 respondents it is concluded that out
of 100 people 95 people likes to eat chocolate while only 5 people don’t prefer to eat
chocolate.

DIFFERENT AGE GROUPS

TABLE 2: Different Age groups

AGE GROUPS 0-10 10-20 20-30 ABOVE 30

NUMBER OF 14 42 33 11
RESPONDENTS

51 | P a g e
 F RESPONDE
NUMBERO
AGE GROUPS

NTS
50 42
40 33
30 0-10
20 14 11 10 to 20
10
0 20 to 30
1 Above 30

AGE GROUPS

Chart 2: Different Age groups

According to the above analysis it is concluded that I have surveyed 100 respondents out
of which 14, 42, 33, 11 belongs to age group 0-10, 10-20, 20-30, above30 respectively.

PREFERENCE ACCORDING TO AGE GROUPS

Table 3: Preference according to age

groups.

AGE GROUPS
BRANDS 0-10 10-20 20-30 ABOVE 30
CADBURY 7 35 24 5
NESTLE 5 6 8 5
NO CONSUMTION 2 1 1 1

52 | P a g e
 PREFERENCE ACCORDING TO AGE
GROUPS

M
O
C

R
S

S
25
45
1
40
6
35 1
30 8 NONE
NESTLE
OF
20
15 35 CADBURY
MBE

2 24
NU

10 5 1
5
5 7 5
0
0-10 10 to 20 to Above
20 30 30
AGE GROUPS

Chart 3: Preference according to age

groups

According to the above analysis it is concluded that people of different age groups prefer
mostly Cadbury brand of chocolate while Nestle brand is least preferred by the age group
between 10-20. People of age group above 30 equally likes to have both brands.

BRAND PREFERENCE

TABLE 4:
Brand
Preference

BRANDS PREFERENCE BY CONSUMERS

CADBURY 73
NESTLE 22

53 | P a g e
 Brand Preference

73
80
Persons 60
Cadbury
40
22 Nestle
No.
of

20

0
1
Chocolate Brands

Chart 4 : Brand Preference

From the above analysis of given sample of 93 respondents who eat chocolates it is
concluded that only 22 people prefer to eat Nestle chocolates while 73 people likes to
eat Cadbury chocolates.

PURCHASE OF CADBURY CHOCOLATES

Table 5: Purchase of Cadbury Chocolate

CADBURY CHOCOLATES
SUB- BRANDS NUMBER OF RESPONDANTS
DAIRY MILK 69
5 STAR 64
PERK 61
CELEBRATIONS 49
TEMPTATIONS 41

54 | P a g e
 Cadbury chocolates Purchased By People

80
Number of Persons

69 64 61
60
49 41
40

20

0
1
Sub-brands of Cadbury Chocolate

Dairy Milk 5 Star Perk Celebrations Temptation

Chart 5: Purchase of Cadbury Chocolate

From the above analysis of given sample of 73 respondents who eat Cadbury chocolates
it is concluded that mostly people has purchased Dairy Milk sub-brand of Cadbury while
Temptation is least purchased by the people.

PURCHASE OF NESTLE CHOCOLATES

Table 6:
Purchase of
nestle
chocolates

NESTLE CHOCOLATES
SUB- BRANDS NUMBER OF RESPONDANTS
KIT KAT 17
MUNCH 19
MILKY BAR 18
BAR- ONE 16
MILK CHOCOLATE 11

55 | P a g e
 Nestle chocolates Purchased by People

20 19
18
18 17
16 15
Number of Persons

14
12 11
10
8
6
4
2
0
Sub-brands of Nestle Chocolates

Kit Kat Munch Milky Bar Bar-One Milk Chocolate

Chart 6: Purchase of Nestle chocolates

From the above analysis of given sample of 22 respondents who eat Nestle chocolates it
is concluded that mostly all sub-brands are purchased by people but top most is Munch
followed by Milky Bar and Kit Kat. While surveying we have found that many people are
not aware of Milk Chocolate.
OVERALL PURCHASE OF CHOCOLATES

Table 7: Overall Purchase of Chocolates

OVERALL PURCHASE OF SUB- BRANDS OF CHOCOLATES

SUB-BRANDS PERCENTAGE OF PURCHASE
DAIRY MILK 13
5 STAR 12
PERK 11
CELEBRATIONS 9
TEMPTATIONS 7
56 | P a g e
 KIT KAT 10
MUNCH 11
MILKY BAR 11
BAR ONE 9
MILK CHOCOLATE 7

Sub-brands of Chocolates purchased By People Dairy Milk

5 Star
Perk
7% 13%
9% Celebrations
12% Temptation
11%
Kit Kat
11% 11% Munch
Milky Bar
9%
10% 7% Bar-One
Milk Chocolate

Chart 7: Overall Purchase of Chocolate

From the above analysis it is concluded that overall Dairy Milk is purchased by people

followed by 5 Star while Temptation and Milk Chocolate is least purchased by people.

57 | P a g e
 PREFERENCE OF SUBRANDS OF CHOCOLATES

PREFERENCE OF SUBRANDS OF CADBURY CHOCOLATES

Table 8: Preference of Sub brands of Cadbury Chocolates

CADBURY CHOCOLATES
SUB- BRANDS GRAND TOTAL AVERAGE RANKS
OF (GRAND TOTAL / No.
PREFERENCE OF RESPONDANTS)
DAIRY MILK 315 4.3 1
5 STAR 220 3 2
PERK 176 2.4 3
CELEBRATIONS 136 1.86 4
TEMPTATION 91 1.24 5

According to the above analysis it is concluded that in Cadbury Brand, Dairy milk is the
most preferred sub-brand as it is ranked first by the respondents. While Temptation is the
least preferred sub-brand of Cadbury chocolates.

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 PREFERENCE OF SUB-BRANDS OF NESTLE CHOCOLATES

Table 9: Preference of Sub brands of Nestle Chocolates

NESTLE CHOCOLATES
SUB- BRANDS GRAND AVERAGE RANKS
TOTAL OF (GRAND TOTAL / No. OF
PREFERENCE RESPONDANTS)
KIT KAT 70 3.18 1
MUNCH 64 2.9 3
MILKY BAR 65 2.95 2
BAR-ONE 45 2.05 4
MILK 30 1.36 5
CHOCOLATE
According to the above analysis it is concluded that in Nestle Brand, Munch is the most
preferred sub-brand as it is ranked first by the respondents. While Milk Chocolate is the
least preferred sub-brand of Cadbury chocolates.

59 | P a g e
 INFLUENCING FACTORS DURING PURCHASE

OVERALL INFLUENCE

Table 10: Influencing

Factors

FACTORS GRAND TOTAL AVERAGE RANK

FLAVOR/TASTE 435 4.58 1
PRICE 295 3.1 9
QUALITY 391 4.12 2
PACKAGING 344 3.62 4
FORM 301 3.17 7
BRAND 354 3.73 3
IMAGE 344 3.62 4
COLOR 297 3.13 8
SHAPE 268 2.82 10
QUANTITY 342 3.6 6

According to the above analysis it is concluded that on an average mostly people are
influenced by flavor/taste followed by quality, brand and image. It is surprised to know
that very few people are influenced by price followed by shape of the chocolate.

60 | P a g e
 INFLUENCING FACTORS DURING PURCHASE OF CADBURY
CHOCOLATES

Table 11:
Influencing Factors
of Purchase of
Cadbury

FACTORS GRAND TOTAL AVERAGE RANK

FLAVOR/TASTE 335 4.6 1
PRICE 235 3.2 7
QUALITY 307 4.2 2
PACKAGING 277 3.79 3
FORM 231 3.16 8
BRAND 271 3.71 4
IMAGE 262 3.59 5
COLOR 224 3.07 9
SHAPE 213 2.92 10
QUANTITY 262 3.59 5

According to the above analysis it is concluded that on an average mostly people are
influenced by flavor/taste followed by quality, packaging and brand. Here color and
shape are not all influencing people while purchasing Cadbury chocolates.

61 | P a g e
 INFLUENCING FACTORS DURING PURCHASE OF NESTLE
CHOCOLATES

Table 12:
Influencing Factors
of Purchase of
Nestle

FACTORS GRAND TOTAL AVERAGE RANK

FLAVOR/TASTE 100 4.5 1
PRICE 60 2.72 5
QUALITY 84 3.82 2
PACKAGING 67 3.04 9
FORM 70 3.18 8
BRAND 83 3.77 3
IMAGE 82 3.73 4
COLOR 73 3.32 7
SHAPE 55 2.5 10
QUANTITY 80 3.64 6

According to the above analysis it is concluded that on an average mostly people are
influenced by flavor/taste followed by quality, brand and image. Here packaging and
shape are not all influencing people while purchasing Nestle chocolates.

62 | P a g e
 FACTORS GIVING MOST SATISFACTION TO CONSUMERS

OVERALL
Table 13: Factors of
Overall Satisfaction

FACTORS GRAND TOTAL AVERAGE RANK

FLAVOR/TASTE 427 4.81 1
PRICE 337 3.6 4
QUALITY 367 3.86 2
PACKAGING 338 3.56 5
FORM 332 3.49 7
BRAND 358 3.77 3
IMAGE 328 3.45 9
COLOR 332 3.49 7
SHAPE 335 3.52 6
QUANTITY 328 3.45 9

According to the above analysis it is concluded that on an average people are most
satisfied with the flavor/taste of a chocolate followed by quality and brand. It is
surprising to know that although people are satisfied with quality but unsatisfied with
the quantity.

63 | P a g e
 IN CADBURY CHOCOLATE

Table 14:
Overall
Satisfaction in
Cadbury
Chocolate

FACTORS GRAND TOTAL AVERAGE RANK

FLAVOR/TASTE 334 4.6 1
PRICE 269 3.68 5
QUALITY 282 3.86 2
PACKAGING 272 3.73 4
FORM 264 3.62 6
BRAND 282 3.86 2
IMAGE 247 3.38 10
COLOR 259 3.55 7
SHAPE 258 3.53 8
QUANTITY 255 3.49 9

According to the above analysis it is concluded that on an average people are most
satisfied with the flavor/taste of a chocolate followed by quality and brand. It is
surprising to know that although people are satisfied with quality but unsatisfied with
the quantity and image.

64 | P a g e
 IN NESTLE CHOCOLATE

Table 15: Overall Satisfaction in

Nestle Chocolate

FACTORS GRAND TOTAL AVERAGE RANK

FLAVOR/TASTE 93 4.2 1

PRICE 68 3.09 8

QUALITY 85 3.86 2

PACKAGING 66 3 10

FORM 68 3.09 8

BRAND 76 3.45 5

IMAGE 81 3.68 3

COLOR 73 3.32 6

SHAPE 77 3.5 4

QUANTITY 73 3.32 6

65 | P a g e
According to the above analysis it is concluded that on an average people are most satisfied with
the flavor/taste of a chocolate followed by quality and image. It is surprising to know that
although people are satisfied with quality but unsatisfied with the form and packaging.

FORM PREFERENCE

Table 16: Form Preference

FORM OF CHOCOLATE NUMBER OF

RESONDENTS
HARD 33

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 NUTTIES 25
CRUNCHY 29
CHEW 20
Form of a Chocolate Prefered by People

Consumer
Numberof

s 40 33
30
10
25 29 HARD
CHEW

20 NUTTIES
20
CRUNCHY

0
1
Forms

Chart 8: Form Preference

According to the above analysis it is concluded that most of the people likes to eat
hard chocolate and chew form of a chocolate is least preferred.

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 PACK OF CHOCOLATES PREFERED

Table 17: Pack of

Chocolate Preferred

PACK SIZE NUMBER OF RESPONDENTS

SMALL 28

BIG 48

FAMILY PACK 19

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 Pack of Chocolate Prefered

60
48

Number
ofConsu
50

mers
40 SMALL
28
30 BIG
19
20 FAMILY PACK
10
0
1
Pack

Chart 9: Pack of
Chocolate Preferred

According to the above analysis it is concluded that out of sample of 95 people who eat
chocolates likes to buy big pack. Family pack is mostly preferred by aged people only.

PROMOTIONAL OFFERS

Table 18: Promotional

Offers

PROMOTIONAL OFFERS NUMBER OF RESPONDENTS

FREE GIFTS 52
PRICE OFFER 23
ANY OTHER 20

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 Effect of Promotional Offers while

Consumer
Purchase

60 52

s
50
40 FREE GIFTS
30 23 PRICE OFFER
of

20
20 ANY OTHER
Num
ber

10
0
Promotional Offers
1

Chart 10: Promotional

Offers

According to the above analysis it is concluded that out of sample of 95 people who eat
chocolate 52 are attracted by free gifts, 23 by price offers while 20 were attracted by
some other reasons.

FACTORS AFFECTING PURCHASE

Table 19: Factors

Affecting Purchase

FACTORS NUMBER OF
RESPONDENTS
ADVERTISEMENT 65
SUGGESTION FROM FRIENDS AND 16
RELATIVES
ATTRACTIVE DISPLAY 11
70 | P a g e
 DOCTORS ADVICE 15
BRAND AMBASSADORS 9
INGREDIENTS 25

ADVERTISEMENT
Factors Affecting Purchase
ofConsu
mers 40 25 DISPLAY
80 SUGGESTION
65 FROM FRIENDS
60 AND RELATIVES
ATTRACTIVE
Number

20 16 11 15 9 DOCTOR'S
0 ADVICE

BRAND
1Factors AMBASSDORS

INGREDIENTS

Chart 11: Factors Affecting

Purchase

According to the above analysis it is concluded that Advertisement is the best measure to
attract customers to purchase more. Its impact is much more than other factors. While
friends and relatives and brand ambassadors also play a significant role in this regard.

71 | P a g e
 MEDIA OF ADVERTISEMENT

Table 20: Media of Advertisement

MEDIA OF ADVERTISEMENT NUMBER OF RESPONDENTS

TELEVISION 82

NEWSPAPERS 7

BROCHURES 3

HOARDING 4

DISPLAY 15

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 Media of Advertisement influencing the Purchase

Custom
100
ers
60 82 Brochers
80 Television
Newspapers
Numb Of

40 Hoarding
er

20 7 3 4 15 Display
0 1
Media Of Advertising

Chart 12: Media of Advertisement

According to the above analysis it is concluded that television emerges as the best media
for advertisement of chocolates that compel consumers to buy. It is much more than other
ways as out of 95 respondents 82 are attracted to by through television media while
brochures are the least attracting media.

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 FREQUENCY OF CONSUMPTION

Table 21: Frequency of consumers

FREQUENCY OF CONSUMPTION NUMBER OF RESPONDENTS

ONCE IN A FORTNIGHT 16

DAILY 17

WEEKLY 39

MONTHLY 18

QUARTERLY 5

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 Frequency of Consumption

50
39
Consum
40
Number
Once in a
ers 30 fortnight
of

18 Daily
20 16 17
Weekly
10 5
Monthly
0
1 Quarterly
Frequency

Chart 13: Frequency of

consumers

According to the above analysis it is concluded that mostly people purchase chocolates
weekly. Only 15 out of 95 purchase chocolates quarterly.

75 | P a g e
 REASONABLE PRICE

Table 22: Reasonable price

PRICE OF CHOCOLATE NUMBER OF RESPONDENTS

BELOW 5 6

5-10 23

10-20 51

20-30 4

ABOVE 30 11

76 | P a g e
 Reasonable Price

60 51
50 Below5

Consumers
Number of 40 5 to 10
30 23 10 to 20
20
10 6 4 11 20 to 30
0 Above 30
1Price

Chart 14: Reasonable price

According to the above analysis it is concluded that the consumer thinks 10-20 Rs is the
reasonable price of a chocolate. So it must be worthwhile to know this as it may effect the
sale of chocolates.

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 CONSUMER’S BRAND LOYALTY

Table 15: Consumer Brand

Loyalty

BRAND LOYALTY ACTIONS NUMBER OF RESPONDENTS

POSTPONE YOUR PURCHASE 26

SWITCH OVER TO OTHER

BRANDS 24

GO TO OTHER SHOP FOR SEARCH 45

OF PREFERED BRAND

78 | P a g e
 Brand Loyalty
Number of consumers

50 45 Postpone Purchase
40
30 26 24 Switch Brand
20
10 Search in other
Shop
0
1
Action of Consumers in

absence of Prefered Brand

Chart 15: Consumer Brand

Loyalty

According to the above analysis it is concluded that mostly people are loyal to the brand
as in the absence of availability of their preferred brand mostly people like to search for
it or they are ready to postpone their purchase.

79 | P a g e
 REACTION OF CONSUMERS IF NEW BRAND IS INTRODUCED

Table 24: Reaction on new

product Introduced

SHIFT TO NEW BRAND OF THE NUMBER OF RESPONDENTS

PREFERED PRODUCT

NO, NOT AT ALL 35

MAY CONSIDER 27

NO, SHALL NOT 4

CAN’T SAY 29

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 Reaction of consumers if new brand
is introduced

40 35
Number O Consumers

27 29 No, Not at all

30
May Consider
20 Shall Not
f

Can't Say
10 4
0
1 Reactions

Chart 16: Reaction on new

product Introduced

According to the above analysis it is concluded that mostly people are addicted to the
same flavor or taste and they don’t want to change it as out of 95 respondents 35 are not
ready to try new brand at any cost.

REASONS FOR NOT SWITCHING OVER TO OTHER BRANDS

All the consumers why they continue to buy the old brand gave various
important reasons. The most important reasons given by the consumers were:
Taste
Brand
Image
Quality
Packaging

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 CHAPTER-7
FINDINGS & INFERENCES

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 FINDINGS

CONSUMER RESEARCH

Consumer research deals with consumer and their problems and solution to the problems. In
this I came to know about the consumers need and expectation levels regarding products and
ascertainable levels of consumer satisfaction

PRODUCT RESEARCH

Under product research I came to know about the modification which consumers wants as to
the quality, packing, shape, color, and quantity etc of their favorite chocolate.

PRICING RESEARCH

This includes ability to consume, to pay for the product, how much a person can spend on
his/her favourite chocolate. In this I have tried to find out consumer’s price expectations and
reactions.

ADVERTISING RESEARCH

Under this I have concluded that whether the advertisement appeals the consumers or not. This
also includes evaluating and selecting the proper media-mix and measuring advertising
effectiveness.

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 LIMITATIONS OF THE STUDY

In attempt to make this project authentic and reliable, every possible

aspect of the topic was kept in mind. Nevertheless, despite of fact
constraints were at play during the formulation of this project. The main
limitations are as follows.
Due to limitation of time only few people were selected for the study.
So the sample of consumers was not enough to generalize the findings of
the study.

The main source of data for the study was primary data with the help
of self-administered questionnaires. Hence, the chances of unbiased
information are less.

People were hesitant to disclose the true facts.

The chance of biased response can’t be eliminated though all

necessary steps were taken to avoid the same.

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 CHAPTER-8

RECOMMENDATIONS AND CONCLUSIONS

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 CONCLUSION

A survey of the people has been conducted to know the liking pattern
of the two products Cadbury and Nestle. It is observed that overall
people like to eat Cadbury brand rather than Nestle. It is concluded that
mostly people preferred Dairy Milk of Cadbury due to its flavour/taste,
quality and image and due to its hard form. Some people often like to
have a chocolate with good flavour, quality and crunchiness so they are
going towards Kit Kat and Munch of Nestle due to its taste and
crunchiness.
It is thus concluded from the facts collected that mostly people
refer to buy big pack of their favourite chocolate, and sometimes some
of them go for small and family pack.

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 SUGGESTIONS AND RECOMMENDATIONS

Company should concentrate more on television for

advertisement, as mostly people get attracted through television
only.
For promotional offers, company should go for free gifts rather
than going for other ways.

Nestle company should concentrate on its packing as people are

least satisfied with it while Cadbury should concentrate on the shape of a
chocolate.
People are unsatisfied with the price and quantity of chocolate so
companies should concentrate in this regard also.

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 BIBLIOGRAHY

http://www.cadburyindia.com
http://www.nestle.com
http://www.aphrodite-chocolates.co.uk/history_chocolate.htm
http://www.google.com
http://www.cadbury.co.nz/carnival/index.htm
http://www.packaging-technology.com/…/cadbury4.html
http://www.chocolatereview.co.uk
http://en.wikipedia.org/wiki/preference

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 ANNEXURE

QUESTIONNAIRE

PROJECT REPORT ON CONSUMER PREFERENCETOWARDS NESTLE

AND CADBURY CHOCOLATES

Que1. Do you eat chocolate?

Yes No

Que2. Which brand of chocolate do you prefer?

Cadbury Nestle

Que3. Which sub-brand you have purchased?

Cadbury Nestle

Dairy Milk Kit Kat

5Star Munch

Perk Milky Bar

Celebrations Bar-One

Temptation Milk Chocolate

Que4. Rank the sub-brands of chocolates according to your preference? (1 for most
preferred)

Cadbury Nestle

Dairy Milk Kit Kat

5Star Munch

Perk Milky Bar

Celebrations Bar-One

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 Temptation Milk Chocolate

Que5. How much importance do you give to the following factors when you purchase a
chocolate? (Tick in the desired column)

Factors Very Important Normal Least None

Important Important
Flavor/taste
Price
Quality
Packaging
Form
Brand
Image
Color
Shape

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 Quantity

Que6. How much are you satisfied with the following factors in your preferred
chocolate? (Tick in the desired column)
Factors Very Satisfied Normal Least Can’t Say
Satisfied Satisfied
Flavor/taste
Price
Quality
Packaging
Form
Brand
Image
Color
Shape
Quantity

Que7. Which form of a chocolate do you like?

Hard Nutties

Crunchy Chew

Que8. What pack do you purchase?

Small Big Family Pack

Que9. Which promotional offers attract you most?

Any
Free gifts Price Offer other

Que10.Which of these factors affect your purchase?

Advertisement

Suggestion from friends and relatives

Attractive Display

Doctors Advice

Brand Ambassadors

Ingredients

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 Que11. Which media of advertisement influence your purchase?
Television Newspapers Brochures

Hoarding Display

Que12. How frequently do you purchase chocolates?

Once in a fortnight Daily
Weekly Monthly
Quarterly

Que13. What according to you is the reasonable price of chocolate?

Below5 5-10 10-20

20.30 Above 30

Que14. If your preferred brand is not available for repeat purchase then what will you do?
Postpone your purchase

Switch over to other brand

Go to the other shop to search for your preferred brand

Que15. If another brand of the same product appears in the market, will you prefer to stop
buying this brand and buy the new brand?
No, not at all I may consider

No, I shall not can’t say

Que16. If you don’t like to change to the new brand, then what are the reasons
for continuing to purchase the old brand?

PERSONAL DETAILS

Name:
Address:
Age:
Between 0-10 Between10-20
Between 20-30 Above 30
Gender:

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 Phone Number:
Marital status:
Education:
Profession:

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