Chapter 1.

Introduction of the topic

In a project of “Consumer Buying Behaviour Of Godrej” we deeply understand the buying

behaviour of consumer towards GODREJ.

The most challenging concept in marketing deals with understanding why buyers do what
they do (or don’t do). But such knowledge is critical for marketers since having a strong
understanding of buyer behavior will help shed light on what is important to the customer and
also suggest the important influences on customer decision-making. Using this information,
marketers can create marketing programs that they believe will be of interest to customers.

As you might guess, factors affecting how customers make decisions are extremely complex.
Buyer behavior is deeply rooted in psychology with dashes of sociology thrown in just to
make things more interesting. Since every person in the world is different, it is impossible to
have simple rules that explain how buying decisions are made. But those who have spent
many years analyzing customer activity have presented us with useful “guidelines” in how
someone decides whether or not to make a purchase.

In fact, pick up any textbook that examines customer behaviour and each seems to approach
it from a different angle. The perspective we take is to touch on just the basic concepts that
appear to be commonly accepted as influencing customer behaviour. We will devote
two sections of the Principles of Marketing tutorial to customer behaviour. In this section we
will examine the buying behaviour of consumers (i.e., when people buy for personal reasons)
while in section 4 we will examine factors that influence buyer’s decisions in the business
market. This tutorial includes the following topics:
1. Consumer Buying Behaviour
2. Types of Purchase Decisions
3. Why Consumers Buy
4. What Influences Purchasing
5. Internal: Perceptual Filter
6. Internal: Knowledge and Attitude
7. Internal: Personality and Lifestyle
1
8. Internal: Roles and Motivation
9. External: Culture and Groups
10. External: Situation
11. How Consumers Buy

For marketers it is important to understand how consumers treat the purchase decisions they
face. If a company is targeting customers who feel a purchase decision is difficult (i.e., Major
New Purchase), their marketing strategy may vary greatly from a company targeting
customers who view the purchase decision as routine. In fact, the same company may face
both situations at the same time; for some the product is new, while other customers see the
purchase as routine. The implication of buying behaviour for marketers is that different
buying situations require different marketing efforts.

Why Consumers Buy

As we discussed in Part 1: What is Marketing? , customers make purchases in order to satisfy

needs. Some of these needs are basic and must be filled by everyone on the planet (e.g., food,
shelter) while others are not required for basic survival and vary depending on the person. It
probably makes more sense to classify needs that are not a necessity as wants or desires. In
fact, in many countries where the standard of living is very high, a large portion of
the population’s income is spent on wants and desires rather than on basic needs. In this
tutorial when we mention the consumer we are referring to the actual buyer, the person
spending the money. But is should also be pointed out that the one who does the buying is not
necessarily the user of what is bought and that others may be involved in the buying decision
in addition to the actual buyer. While the purchasing process in the consumer market is not as
complex as the business market, having multiple people involved in a purchase decision is not
unusual. For example, in planning for a family vacation the mother may make the hotel
reservations but others in the family may have input on the hotel choice. Similarly, a father
may purchase snacks at the grocery store but his young child may be the one who selected it
from the store shelf. So understanding consumer purchase behavior involves not only
understanding how decisions are made but also understanding the dynamics that influence
purchases

2
What Influences Purchasing

As we discussed the decision-making process for consumers is anything but straight forward.
There are many factors that can affect this process as a person works through the purchase
decision. The number of potential influences on consumer behaviour is limitless. However,
marketers are well served to understand the KEY influences. By doing so they may be in a
position to tailor their marketing efforts to take advantages of these influences in a way that
will satisfy the consumer and the marketer (remember this is a key part of the definition of
marketing).

For the purposes of this tutorial we will break these influences down into three main
categories: Internal, External and Marketing. However, those interested in learning more
about customer buying activity may want to consult one or more consumer behavior books
where they will find additional methods for explaining consumer buying behaviour. For the
most part the influences are not mutually exclusive. Instead, they are all interconnected
and, as we will see, work together to form who we are and how we behave. For each of the
influences that are discussed we will provide a basic description and also suggest its
implication to marketers. Bear in mind we only provide a few marketing implications for each
influence; clearly there are many more.

How Consumers Buy

So now that we have discussed the factors influencing a consumer’s decision to purchase,
let’s examine the process itself. This process is presented in a sequence of 5 steps as shown
below. However, whether a consumer will actually carryout each step depends on the type of
purchase decision that is faced. For instance, for minor re-purchases the consumer may be
quite loyal to the same brand, thus the decision is a routine one (i.e., buy the same product)
and little effort is involved in making a purchase decision. In cases of routine, brand loyal
purchases consumers may skip several steps in the purchasing process since they know
exactly what they want allowing the consumer to move quickly through the step. But for
more complex decisions, such as Major New Purchases, the purchasing process can extend
for days, weeks, months or longer.

3
1. Need/Want/Desire is Recognize

In the first step the consumer has determined that for some reason he/she is not satisfied (i.e.,
consumer’s perceived actual condition) and wants to improve his/her situation(i.e.,
consumer’s perceived desired condition). For instance, internal triggers, such as hunger or
thirst, may tell the consumer that food or drink is needed. External factors can also trigger
consumer’s needs. Marketers are particularly good at this through advertising, in-store
displays and even the intentional use of scent (e.g., perfume counters). At this stage the
decision-making process may stall if the consumer is not motivated to continue (see
Motivation above).However, if the consumer does have the internal drive to satisfy the need
they will continue to the next step.

2. Search for Information

Assuming consumers are motivated to satisfy his or her need, they will next undertake a
search for information on possible solutions. The sources used to acquire this information
may be as simple as remembering information from past experience (i.e., memory) or the
consumer may expend considerable effort to locate information from outside sources (e.g.,
Internet search, talk with others, etc.).How much effort the consumer directs toward searching
depends on such factors as: the importance of satisfying the need, familiarity with available
solutions, and the amount of time available to search. To appeal to consumers who are at the
search stage, marketers should make efforts to ensure consumers can locate information
related to their product .For example, for marketers whose customers rely on the Internet for
information gathering, attaining high rankings in search engines has become a critical
marketing objective.

4
Chapter 2. Profile of the company

2.1 Overview of Industry as whole

Godrej, today one of the largest engineering and consumer products company i n t h e
country having varied interests from engineering to personal
c a r e products. We are also one of the most respected corporate houses known for our
philanthropy and initiation of labour reforms besides being recognized for our
values of fair, transparent and ethical dealings.

Godrej India has seen both the post and pre independence days as it got established in 1897. It
started its business with locks manufacturing and at present it a provider of wide variety of
services in India, like doors, furniture, locks, software development, beverages, chocolates,
chemicals for industries, home appliances etc The website on different associates gives full
details on the dealers, their locations and maintenance tips on each product manufactured by
Godrej India. Godrej has captured a consumer market in India at large scale with its brands
like Soaps, Toiletries, Hair Care, Household Care, Fabric Care, Baby Care and Keyline
Brands. Godrej and Boyce ltd deals in both the consumer products as well as industrial
products. Both have wide ranges of products in it. From appliances to personal care in
consumer products while the storage solution, machine tool service ,agro products, chemicals
etc comes in the industrial products category. Recently it has announced to increase the
number of retail stores from 49 to 100 by 2010. Investment of Rs 20 crore will be made to
make it a success.

Godrej Appliances Ltd. brings out refrigerators, washing machines, air-conditioners,

microwave ovens, and DVD players in India with the latest technology. Every consumer good
comes with price range and variety to serve absolutely all the strata of the society. Fully
sensing the need and demand of the market of IT in India Godrej Infotech Limited provides
IT solutions like the development of software, e solutions development, customization
& ERP. It also provides database outsourcing and consultancy services Godrej Industries ltd.
manufactures Oleo chemicals. Over two dozens of industries in India use the chemicals made
by Godrej industries. They all in all make more than hundred of such chemicals. Besides this

5
it also produces edible oil, vanaspati and bakery fats, and deals in medical diagnostic and real
estate. The name of this associate was Godrej Soaps Limited till March 31, 2001. It is big
exporter of products to 40 different countries. Product has quality that of international
standard and yet at competitive price. Company's' profile shows that Godrej Properties ltd a
real estate arm of Godrej Group is doing wonders in residential sector in India. it is coming
up with property project in Bangalore. The projects worth Rs. 850 crore under the name f
Godrej Woodsman Estate. It has 840 two and three bedroom apartments with all the modern
facilities. It Is trying hard to capture the residential real estate market in Bangalore. Earlier it
constructed apartment in Mumbai and Pune.

Godrej Group Of Companies

GODREJ &
BOYCE

GODREJ
GODREJ
CONSUMER
LIMITED
PRODUCTS

GODREJ GODREJ
INTERIO INDUSTRIES

GODREJ

GODREJ GODREJ
PROPERTIES INFOTECH

GODREJ GODREJ
SARALEE AGROVET

6
Godrej and Boyce Mfg. Co. Ltd

Godrej & Boyce manufactures a spectrum of consumer products and industrial products. The
Consumer products include Appliances (Refrigerators, Washing Machines, Air Conditioners,
Microwaves, and DVD Players), Locks, Furniture, Security Equipment, Office Automation,
Conferencing Solutions, and vending Machines. Industrial Products include
Storage Solutions.

Godrej Consumer Products Ltd (GCPL)

(GCPL) Incorporated on 29th November, 2000

Godrej Consumer Products Ltd.(GCPL) is a major player in the Indian FMCG market with
leadership in personal, hair, household and fabric care segments. The company employs950
people and has three state-of-the-art manufacturing facilities at Malanpur (M.P.) Guwahati
(Assam) and Baddi (H.P.) .Godrej’s focus is on providing our customers with innovative, value
for money solutions for meeting their daily needs and improving the quality of their life. This
is achieved through the brands the company produced.

Godrej Industries Ltd(GIL)GIL was established in 1897

Godrej Industries Limited is India's leading manufacturer of oleo chemicals and makes more
than a hundred chemicals for use in over two dozen industries. It also manufactures edible
oils, vanaspati and bakery fats.GIL is a member of the Godrej Group, which was established
in 1897 and has since grown into a US$1.875 billion conglomerate. The company was called
Godrej Soaps Limited until March 31, 2001. Thereafter, the consumer products division got
de-merged into Godrej Consumer Products Limited, and the residual Godrej Soaps became
Godrej Industries Limited.

Godrej Products Consumer products

Godrej Consumer Products Ltd.(GCPL) is a major player in the Indian FMCG market with
leadership in personal, hair, household and fabric care segments. The company is among the
largest marketers of toilet soaps in the country and has a leadership position in the hair colour
category in India.

7
GODREJ DIRECT

It is a division of GODREJ appliance, where company’s representatives go directly to the

customer and full fill the requirement. It is a initiative towards CRM. It has started its
operation in 2002 by selling contracts and AMCs. But looking at the need of the customer and
after understanding the customer in a better way we have started selling appliances from
2005.Presently it has its operation in 15 branches.

GODREJ DIRECT, BHUBANESWAR Started operation in may 2008

It has 2 division telecalling and D2D.in D2D 10 executives are there who put up camps in
different location and visit to the homes in that locality. The average knocks per executive is
35 to 40.in telecalling 4 executives are there who call to the existing customer and generate
the leads and the sales executive follow up the leads.

8
2.2 Profile of the Organization

Corporate profile

Pirojshanagar 1943

The government of Bombay auctions Vikhroli village to pirojsha Godrej. Over the next 50
years vikhroli transforms into a green industrial township that cares for its people and
environment.

Properties 1990

The company establish Godrej Properties, which brings the Group’s philosophy of innovation
and excellence to the real estate industry in India.

Agri-business 1991

Godrej Agrovet is incorporated. A diversified, Research & Development backed agri-

business
company, it is dedicated to addressing India’s key agriculture crises.

Godrej completes a century 1997

The company celebrate their 100th birthday and remind themselves that they are only as good
as what they do next.

Gourmet Retail 2005

The company foray into gourmet retail with the launch of Godrej Nature’s Basket. India’s
foremost retail destination for fine foods from across the world, the company have a growing
presence today with over 30 premium stores.

9
Planet Godrej: Sustainable living in the heart of Mumbai

Planet Godrej, a skyscraper in Mumbai’s Mahalaxmi, is a great example of sustainable

development. With 8 out of 9 acres dedicated to landscaped gardens, the company offers their
clients the most difficult thing to find in Mumbai space.

Omnivore Partners 2010

The company become an anchor investor in Omnivore Partners, a venture capital firm that
invests in early stage agricultural technology start ups in India.

Godrej one 2015

Godrej Properties and Pelli Clarke Pelli Architects create Godrej One, their new global
headquarters at Vikhroli in Mumbai.

Nadir Godrej Centre for Animal R&D

One of the first private sector investments in improving the efficiency of animal agriculture in
India, the Nadir Godrej Centre for Animal R&D leads cutting-edge research work.

Godrej Agrovet is publicly listed 2017

Godrej Agrovet Limited is listed on the Bombay Stock Exchange and the National Stock
Exchange.

Sales-Subsidiaries and Affiliates

The Company is one of the largest privately-held diversified industrial corporations in India.
The combined Sales(including Excise Duty) of the Company, its subsidiaries and affiliates,
during the Fiscal Year ended March 31, 2008,were about Rs. 90,000 million (US$ 1,900
million).

10
Product Profile

1. Appliances
2. Locks
3. Furniture
4. Security equipment
5. Office automation
6. Conferencing solution
7. Soaps & personal care
8. Food
9. Aircare
10. Household insecticides
11. Housing
12. Vending machine

GODREJ for business

Godrej Aerospace began in 1985, with development of critical, high precision spacecraft
components, made out of exotic alloys.
Today, we deliver major projects involving precision machining, precision fabrication
(welding & brazing), heat treatments, surface treatments, assembly, and testing & supply of
complex, air-worthy systems.

Godrej Appliances began in 1958, when we made the first ever refrigerator in India. This
was followed by several innovations including launching PUF (polyurethane foam) in the
‘80s.

Godrej Chemicals pioneered the manufacturing of Oleochemicals in India, back in 1963.

Today, we are one of India's leading Oleochemicals players. We manufacture and market
over 100 chemicals for use in more than 24 applications. Our products are exported to over
80 countries in North and South America, Asia, Europe, Australia and Africa. Our state-of-
the-art manufacturing facilities are located in Valia in Gujarat and Ambernath Maharashtra.

11
The Electricals and Electronics division at Godrej consists of five verticals.
Compressed Air Solutions:
We help our clients improve the energy efficiency in compressed air through our product
portfolio of Energy Efficient Screw Compressors and Blowers, and patented Energy Savings
Supply & Demand Side Systems. We have over 4000 installations worldwide.

Green Building Consultancy Services (GBCS) was established to impact the design of
urban structures, making them environment-friendly. Today, we are a market leader in the
Green Building Consultancy sector of India, with over 60 platinum-certified projects.
GBCS provides complete green building solutions such as:
Green building design services for IGBC, LEED & GRIHA rating systems
MEP Design Consultancy
Building Information Modeling
Building Simulations
Building Commissioning

Godrej Material Handling is India's largest manufacturer of lift trucks. Our range includes
electric, LPG and diesel counterbalanced forklifts (25-tonne capacity), warehouse trucks and
trucks for specific purposes. We also manufacture attachments of our own design to address
a wide range of handling applications, and offer attachments made by international
specialists.

Lawkim Motors started out with the manufacture of hermetically sealed compressor motors
for air-conditioning and refrigeration. Our shared values of quality, trust and commitment
made joining the Godrej Group a perfect fit.

Security Solutions
Security Solutions when it comes to safety, it's safe to say we have you covered. Godrej
Security Solutions offer diverse security product solutions including technologically
advanced sphere-like cameras with analytics, substance detectors (bomb, bullets, narcotics),
X-ray baggage scanners, biometrics and access control systems, burglary and fire resistant
safes, road blockers, marine solutions etc.
Our products are tested stringently at leading testing laboratories such as, SP Test in
Sweden, VDS Test in Germany and the Underwriters Laboratory in the United States. Our
plant in Mumbai is rated as one of the finest and largest factories in India.

12
Vending, happy people make a productive workplace. Godrej Vending makes it easy to
keep your team refreshed and energised throughout their day.

Godrej Consoveyo over the last 15 years, Godrej Consoveyo Logistics Automation Ltd.
(GCLA), has led the Indian logistics industry. We are the market leader in the Automated
Warehousing Solutions segment with 70+ projects.

At Godrej Infotech, it is our mission to empower all types of businesses around the world
with innovative and integrated IT solutions. Started in 1971, Godrej Infotech today offers
software services and consulting to help businesses stay competitive.

GODREJ for consumer

At Godrej Agrovet, we are dedicated to improving the productivity of Indian farmers by

innovating products and services that sustainably increase crop and livestock yields. We
hold leading market positions across the different businesses in which we operate-Animal
Feed, Oil Palm Plantations, Agri Inputs, Hybrid Seeds and Processed Poultry.

Audio Visual Solutions our offerings include a range of products and solutions across
audio, video, display, lighting equipment, systems controls, information display systems,
network operating systems and video wall display systems.
We focus on the enterprise, education and healthcare segments of the Indian market. We
have delivered several projects for corporate clients in facilities such as boardrooms,
conference rooms, auditoriums, training rooms, home automation and tele-presence rooms.
With innovative designs and after sales service, we are leading the way in AV in India. We
are closely associated with InfoComm International, as well as the Global Presence Alliance
(GPA).

Godrej Construction established in 1948, builds and delivers commercial, industrial and
residential buildings that meet international standards, while being sensitive to the wider
environment.

13
Furniture workplaces function better when they are designed for the people within them.
That's why wellness and ergonomics inform everything we do.

Godrej Properties has a vibrant portfolio with projects spread across 12 cities in India. Our
portfolio comprises residential and commercial projects.

Godrej Locks began in 1897, as the first business of the Godrej Group. Our founder,
Ardeshir Godrej, invented India’s first spring-less lock in 1907. We have remained a market
leader in the locks industry, across a century.

Godrej Precision Engineering, credited for development of several firsts in India, has
extensive experience as a system integrator and precision manufacturer of mission-critical
components and systems.

Godrej Process Equipment has been supplying heavy industry with products and project
management since 1976. From an India-only business we have become truly export-
oriented: our equipment is installed in projects across 6 continents.

Tooling when we launched in 1935, we had the most sophisticated tool room in India. It was
originally intended for Godrej companies, but in 1993 we opened commercially, with rapid
success - starting in the automotive sector. Today, the sophistication continues and we are
also the largest tool room in India, serving different industries around the world.

Godrej Storage Solutions began in 1956, pioneering automated storage and retrieval
systems in India. We are a market leader in the field of intra-logistics with world-class
design, manufacturing, project management, distribution & after sales support. To date, we
have worked on 10000+ facilities, successfully delivering for over 40 countries.

14
2.3 Problems of the Organization

After initial jump, Godrej faces challenge of driving steady growth

The threefold jump in Godrej Consumer Products Ltd’s revenue from international
operations has a simple explanation—five of their eight international operations were
acquired in the year ended March. Now the hard work begins—making these acquisitions
count beyond the initial bump in sales and profit.

Godrej has a problem with Modi govt's bullet train. And, it's land related

Citing a government official, the daily added that the Godrej Group has sought a change in
the project's alignment to free up nearly 3.5 hectares belonging to its infrastructure arm,
Godrej Constructions, from the proposal.

How Godrej meets the talent challenge in Africa

Shortage of talent is a global phenomenon, but it seems more so in Africa. A survey done by
Bain & Company tells you why - for example, South Africa's education system is near the
bottom in global comparisons - it ranks 138th out of 144 countries in maths and science
education. Despite high levels of secondary enrolment, few students actually graduate from a
tertiary institution. When companies are able to find and hire the right talent, these sought-
after individuals tend to leave either the company or South Africa, a trend reflected in high
rates of job switching and emigration, the Bain survey said.

Godrej Agrovet: The challenge of varied businesses under one roof

Once Godrej Agrovet becomes a listed company, it will face the challenge of value discovery,
as stock markets in general have given preference to individual firms rather than a company
holding multiple businesses

15
Godrej Industries Ltd, the promoter of Godrej Agrovet Ltd, is listing its unit at an opportune
time.

16
2.4 Competition Information

Dorset is the top competitor of Godrej. Dorset is a Private company that was founded in New
Delhi, Delhi in 1995. Dorset operates in the Industrial Machinery & Equipment industry.
Dorset has 1,594 fewer employees vs. Godrej.

Ozone is seen as one of Godrej's biggest rivals. Ozone was founded in New Delhi, Delhi} in
2000. Ozone is in the Renovation & Interior design services field. Compared to Godrej,
Ozone generates $80.3M less revenue.

Blum is perceived as one of Godrej's biggest rivals. Blum was founded in 1952, and is
headquartered in Hoechst, Vienna. Blum competes in the Construction Supplies & Fittings
field. Blum generates $2.1B more revenue vs. Godrej.

We are for open trade, not protection. Competition is the best: Adi Godrej

India

Consumer demand is growing well. GST is increasing consumption. GST rates on consumer
products are lower than in the past, which is encouraging consumption.

17
On the rupee and the current account deficit

The rupee has slid in the last couple of weeks. But for five years before that the rupee was
quite steady. If you look at a five-year picture, the rupee is not doing bad. Current account
deficit has gone up a little, but our foreign exchange reserves are very good. And now the
government is taking steps to correct the
current account deficit.

On GST implementation

GST has gone off very well. It has added to growth. It has helped reduce prices in many
areas. From the very beginning in July 2017, GST rates on toilet soaps were lower and we
passed on the benefits to consumers, and demand has increased. GST has been well
implemented. The government has corrected some earlier infirmities and it is a great reform
and will help India considerably in the future. It is helping already.
On the opening up of Indian economy

We, at Godrej, have always been for the opening up of the economy. Even before 1991, we
had advocated openness. Even now we advocate open trade, no protection. Competition is the
best.

On Chinese imports coming in at lower costs

Why should they come in at lower costs? We, at least, do not face any Chinese competition.
In soap, hair colour, where are the Chinese products? In fact, we export our oleo chemicals to
China.

On Indian competitiveness versus Chinese companies

One has to be competitive. Indian businesses, for various reasons, are sometimes not
competitive. Earlier we had restrictions that did not allow private companies to expand. There
used to be a licence for everything. Now there are many other restrictions like in the
movement of goods. GST is a good development: now there will be free movement.

18
On the Godrej Group companies growing globally

We expect good growth both from our Indian businesses as well as from our international
businesses. We are mainly in developing countries; they are growing much faster than
developed countries. At the same time we keep looking for new opportunities for acquisitions

On the sale of the UK business and global focus on emerging markets

The UK business was our first acquisition in Godrej Consumer Products. It’s an old
acquisition. The main reason we acquired it was that the same owners had hair colour
businesses in Africa. We thought it would give us an entry into those businesses, which it did.
Later we acquired the same owner’s African hair colour businesses. So it was very useful.
Now there is no purpose in continuing in a developed country.

On becoming a carbon-neutral group

We have recently become carbon-neutral. It has also saved us costs. The cost of alternate
energy is cheaper than it used to be and in the long run it will be much cheaper than carbon-
emitting energy like coal or oil.

On what has changed at Godrej over the years

First of all, we have grown tremendously. When I joined the business in 1963, the total
turnover of the business was `10 crore. We have gone into new areas, value-added areas. We
have done a lot of R&D. We have globalised, with manufacturing operations in a lot of
countries. In Godrej Consumer Products, for example, we have higher per capita sales in
countries like Indonesia, South Africa, Kenya,

19
2.5 S.W.O.T Analysis of the Organization

S.W.O.T Analysis of Godrej Consumer Products Limited

It offers products in soap, toiletries, cosmetics, household care, hair care and fabric care
categories. GCPL operates in more than 60 countries in Asia, Africa, Europe, Middle East
and Latin America. GCPL has been recording strong growth in revenues (8.9% in FY2015)
and operating margins (18.6% in FY2015). GCPL is headquartered in Mumbai, India.

Strengths in the SWOT Analysis of Godrej Consumer

Products Limited :

Strong Brand Portfolio: GCPL is one of the largest FMCG companies in India with a broad
brand portfolio and the wide range of customers. According to company estimates, over 600
million people use a Godrej product every day. The company has been able to create a strong
brand portfolio which enables it to reach to various different consumer segments.

Strong market positions in multiple categories: GCPL has leading market positions in
categories such as hair colours, household insecticides and liquid detergents. It has also
maintained a strong position in the soap category.

Weaknesses in the SWOT Analysis of Godrej Consumer

Products Limited :

Lack of scale: Even after building a strong brand portfolio and distribution, GCPL lacks
scale like ITC or HUL which are its competitors in various FMCG segments. These
companies have the financial strength to diversify in different business and invest higher in
more products. This affects GCPL’s competitiveness to these companies.

20
Stiff competition affects market share: India has various players in many of the categories
in the FMCG industry. This ensures stiff competition in the market and hence limits the
market share for GCPL. The entry of Patanjali has also reduced the market share of the
FMCG giants in many categories.

Opportunities in the SWOT Analysis of Godrej Consumer

Products Limited :

Inorganic Expansion: GCPL has transformed itself from a domestic company to a multi-
national company having a presence in over 60 countries.

Rapidly growing rural market: The Indian rural market is rapidly growing as technology-
driven distribution enables the companies to maintain the demand and supply and hence the
increasing rural demand is capitalised. With improving penetration of FMCG products in the
rural market, GCPL can improve its bottom line.

Threats in the SWOT Analysis of Godrej Consumer

Products Limited :

The abundance of counterfeit products: The presence of counterfeit products affects the
image of a brand and also affects revenues of a company. In India, counterfeit products affect
a major portion of the FMCG industry sales.

Intense competition from recognised companies: FMCG industry has intense competition
with a presence of various MNCs as well as domestic players. GCPL faces competition from
companies like HUL, ITC, Marico, Dabur and Patanjali etc. Intense competition also gives
fire to aggressive price competition which is a threat to the whole industry.

21
Chapter 3. Research Methodology

3.1 Overview of the Project

The topic of the project is “Consumer Buying Behaviour Of Godrej. I do survey on buying
behaviour of consumer towards Godrej’s products.

I have done survey to understand consumer buying behaviour. I also do the market survey
to know the actual need of the consumer. The sample size was taken of 120
respondents. My major focus was on the factors that were influencing the buying
behaviour of the consumers. My plan was to capture the information and to
categorized them in different segments. I have got good responses.

My chosen areas for my project were whole Jaipur and nearby that where these
types of products are selling.

22
3.2 Objective Of Study

1. To know the consumers buying behaviour regarding Godrej Home Appliances.

2. To know the reach of the Godrej Appliances in different private organizations, institution,
govt., homes etc and who is their competitor, who is the market leader etc.

3. To describe the level of involvement and types of Consumer problem solving processes.

4. To recognize the stages of the consumer buying decision process.

5. To explain how situational influences may affect the consumer buying decision process.

23
3.3 Data Sources

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

Primary Source: The data has been collected directly from dealers with the help of
questioners/Schedules.

Secondary Source: The secondary data was collected from internet.

24
3.4 Limitations Of The Study

. Retailers never had the luxury of time to offer, therefore our conversation was brief. It would be unfair
if we fail to mention that, some retailers were very helpful and Cooperative.

. The institution survey sometimes experienced reduced seriousness

. The no. of Appliances and the brand they were using sometimes were given in
approximation by the person answered as he/she was not the concerned authority.

.The no of institution surveyed might not be the correct representation of the market.

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Chapter 4. Analysis And Presentation

Data Analysis Of Consumer Survey

Q1. Have you already used any product of Godrej ?

Yes No
Customer who are already using
Godrej 58% 42%

As per our market survey most of the 58% customer said that they already used electronics
product of Godrej.

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Q2. Which brand you like most? Videocon, LG, Samsung, Sony, Goderj?

Customer preference Videocon LG Samsung Godrej

brand

16% 35% 22% 27%

From the above diagram, LG is most preferable brand among all the brands and being a
market leader with35%.after that Godrej followed the leader with 27%.

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Q3. Which factors influence you to purchase a product?
Price, Service, Brand image, Features, Influence by other

Reason for Price Service Brand image Features Influence by

purchasing a other
product

28 18 22 20 12

From the above diagram, We come across that the Price is the main factor which influence
the consumer buying process. After that it is followed by Brand image, features, service of
the company. At last purchase decision of consumer get more influence by the others.

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Q4.Do you have any Godrej home appliances? Refrigerator, AC, Washing Machine,
Microwave, Water purifier, DVD player

Godrej home Water Refrigerator AC Washing DVD player Microwa

appliances purifier Machine ve

2% 40% 13% 22% 13% 10%

It is to be found that most of the people having Godrej Refrigerator, after that
Godrej Washing machine, then they use Ac, and most of the people are not aware of Godrej
Microwave and water purifier. That’s why it have very low percentage.

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Q5. Do you aware about Godrej Home appliances?

Refrigerator AC Washing Water Microwave DVD player

Machine Purifier

96% 50% 70% 5% 25% 15%

From the above table shows that 96% of people aware about Godrej Refrigerator.70% of
people knowing about the washing machine,60% microwave,25% AC,20%DVD Player
and 5% of people aware on Water purifier.

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 Questions for the survey

INSTITUTION NAME: S.S Jain Subodh P.G. (Autonomous) College, Jaipur

LOCATION: Rajasthan, Jaipur

Dear Sir/madam, I am a BBA student from S.S Jain Subodh P.G. (Autonomous) College, Jaipur and
doing a project on Consumer Buying Behaviour of Godrej. Your response is highly valuable. I would be
grateful if you could help me by filling it up honestly and legitimately. I assure that any information provided
will be solely used for academic purpose and will be kept confidential. No answers are right or wrong; give the
answers which you feel are the best.

We would be thankful if you share some of your valuable opinion regarding the following
questionnaire.

NAME: CONTACT NO:

AGE: ADDRESS:

OCCUPATION:

1. Family size
Less than 4 members ( ) 4-6 members ( )
More than 6 members ( )

2. Which product of Godrej you have purchased?

Refrigerator ( ) Microwave ( )
Washing machine ( ) D.V.D player ( )

3. Do you know about Godrej products?

Refrigerator ( ) Microwave ( )
Washing machine ( ) D.V.D player ( )

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4. From where would you like to buy products?
Multi brand outlet ( ) Direct marketing ( )
Retail store ( )

5. Which factor influences you to purchase products?

Company brand name ( ) Promotional activities ( )
Product feature ( ) Price ( )
Service ( ) Influence by other ( )

6. When you prefer to buy a product?

Exchange offer ( ) Discount offer ( )
Sales offer ( ) Other ( )

7. Will you prefer to pay a little more amount to get a better quality product and services?
Yes ( ) No ( )

8. By satisfaction of a product you mean…

Price ( ) Quality product ( )
Good after sales service ( ) Value for money ( )

9. Why you purchase appliances from Godrej?

Availability of good products ( ) Best price ( )
Best offers ( ) Brand name ( )

10. Feedback

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Chapter 5. Findings

5.1 Conclusion and Recommendations

Conclusion

After the successfully completion of my project, I understood that market research is an

important aspects for a company through out the lifecycle of a particular product. It helps in
knowing the changing taste. preference, life style etc. of the consumer.

With reference to my research topic “Consumer Buying Behaviour Of Godrej”. It was found
that 70% of the respondents have responded with a positive note. That means they are
satisfied with their product.

From the study it was found that most of the customers had gone for Godrej brand only due to
exchange offer i.e. 85%. It was also found that Brand name and quality of the product are the
first preference for the customers apart from age group. From the study it was also found that
customers put more preference on product knowledge of the sales person during the purchase
of the product. So the company should provide effective training to its sales person regarding
product features.

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Recommendations

Through whole project duration we did some observational study and literature review and
we found that there are some factors which can help the company to build a brand in national
market. Some of the recommendations are as follows:-

1) Company should give Quotation for different slabs of different quantity at the best possible
price for consolidated quantity.

2) Competitors are giving the appliance in credit, which is one of the main factors which
determine the purchase. Companies take post dated cheque from the institution. GODREJ
should also follow the same tactics.

3) Most of the institutions get the post sales service quickly. So it is better to increase the
number of voluntary service for differentiation.

4) Exclusive stores should be opened for GODREJ appliance similar to GODREJ INTERIO.

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5.2 Scope of further study

Scope of Project

•The very purpose which the company has laid down has given us enough guidelines to
design the scope of the project. The project would discuss:

•The market share of Godrej Appliances in different sectors, to find out the competitor and
market leader in this category.

•Which factor influence the selling, what the institution and consumer looks before they
purchase the Godrej Appliances.

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Bibliography

. Kotler, Philip and Keller, K.L. (2007), “Marketing Management”

. Electronic Reference: Official website of GODREJ

www.godrej.com
www.godrejappliances.com
www.godrejdirect.com
http://www.google.com

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