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CHAPTER 1

INTRODUCTION

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1.1 OBJECT OF THE PROJECT


Management means getting things done through others, these are the great words of Sir S. George. A manager is one who accomplishing the objectives by directing the efforts of others. Theoretical knowledge of such functions and responsibilities can be obtained in the institute but it is difficult to get the practical experience of it is not possible every time. As per the MBA curriculum, at the end of the first year, all students are required to undergo a summer training programme of about 50 to 60 days. This summer training is an integral part of the MBA course and its successful completion is a prerequisite for the fulfillment of the post graduate degree in management.

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1.2 TOPIC SELECTION

Topic selection is the one of the important aspects of the project. It decides the course of action to be followed. The Topic selection should be such that it helps in understanding the marketing concepts clearly. My topic was given by the company itself. The Topic of my project was Factors influencing consumers while buying Cement. This covers all thing related to the behavior of consumer, factors influencing buying habits, post purchase behavior of the consumers in buying Cement. The topic was Consumer Oriented so I surveyed consumers who are coming to retailer and stockiest of various cement brands in Gaya and near by area to collect all information regarding topic of the Project.

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1.3 OBJECTIVES OF THE STUDY

To identify and study the point-of-purchase factors which influence

consumer while buying Cement.


To study the general perception of customer about Cement.

To study the brand preferences of customer in Cement Sector. To study and analyze the basis of buying of cement by customer.

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1.4 RESEARCH METHODOLOGY

Every Research is based on a standard sequence that determines its initialization, flow and completion. In my project I followed the following sequence of steps.

OBJECTIVES DEFINITION

DEVELOP RESEARCH PLAN

COLLECTION OF DATA

ANALYSE THE INFORMATION INFORMATIO0N PRESENT THE FINDINGS

A Research Methodology is the arrangement of condition of collection and analysis of data in a manner that aims combine relevance to the research purpose with economy in procedure.

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RESEARCH PROCESS

RESEARCH OBJECTIVES RESEARCH DESIGN SOURCES OF DATA DATA COLLECTION DATA ANALYSE

Research Methodology is a way to systematically solve the research problem. When we talk of research methodology we not only talk to research methods but also consider the logic behind the methods we use in the contexts of our research study and explain why we are using a particular method or technique and why we are not using other so that results are capable of being evaluated either by researcher himself or by others. Research methodology means the method carried out of the study the problem. It shows the type of sample design used, its size and the procedure used employed in the field work. Supervisor the extent of provision achieved any special problems during the course of the study.

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Generally Research Methodology follows the following steps:1. TO DECIDE THE OBJECT OF STUDY
The main objectives of my project was to understand the consumer behavior in buying the different brands of cement and also to understand critical factors in buying decision of a customer of cement. I have to also understand the basis of buying cement.

2. TO DESIGN RESEARCH DESIGN


The formidable problem that follows the task of defining the research problem is the preparation of the design of the research project, popularly known as Research Design. Decision regarding what where when how much by what means concerning an inquiry or research study constitute a research design.

Generally there are three types of research design: Exploratory research Descriptive research Casual research
As my Project was mainly about vicinity of customer of cement therefore in this case descriptive research would come.

Descriptive research
The major of descriptive research is description of the state of affairs as it exits at present. The main characteristics of this method are that the researcher has no control over the variables. He can only report what was happened or what is happening. My report was on Cement industry, my work was to do a survey of the market and get the inside information about the product, the basis of buying, need of consumers, influencing factors in buying cement.
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3. TO DETERMINE SOURCE OF DATA


The task of data collection begins after a research problem has been defined and a research plan chalked out. While deciding about the method of data collection to be used for study, the researcher should keep in mind that there are two types of data.

Primary Data Secondary Data PRIMARY DATA


Primary data are time consuming. But it gives accurate result it the sample is effectively selected. The data used is not outdated. There are several methods of collecting data, important ones are:-

Observation method Interview method Through questionnaire Through schedules

SECONDARY DATA
Secondary data means that are already available i.e. they refer to the data which have already been collected and analyzed by someone. Secondary data is economical as the cost of collecting original data saved less time consumed for project compilation secondary data is also used for basis of comparison with the primary data. Here primary data was collected through questionnaire and personal interview of the customer.

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4. TO DESIGN DATA COLLECTION:There are two types of mode to collect the data. They are:Observation Method
The observation method is the most commonly used method. In the way we observe things around us but this sort of observation is not scientific observation. Become a scientific tool and the method of data collection for the researcher when it serves a formulated researcher when it serves a formulated researcher purpose, is systematically planned and recorded and is subjected to checks and controls. On validity and reliability under the observation method the information is sought by way of investigations own direct observation without asking question from respondents

Survey Method
In my project I used the survey method of collection of data. I had surveyed the market in GAYA and near by areas. In all thee I have surveyed the market and have asked the question t dealer s to get data. There was a proper questionnaire which was made and used.

5. TO DETERMINE SAMPLING DESIGN AND SAMPLE SIZE


A sample design is a definite plan for obtaining a sample from a given population. It refers the technique or the procedure would adopt in selection items for the sample. The sample design is determined before data are collected. There are two types of survey, they are: Sample survey Census survey

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I had adopted the sample survey for my project.

Sample universe - all Cement user Sample size - 200 Consumers of Cement. 6. TO ORGANISE AND COLLECT FIELD SURVEY
To do a field survey is an easy job. You need to first organize each and every aspect of the survey before your start with it. The first thing is you should know the product very well before you go to market. Its strength and weakness because that is what you are going to speak about the market. The next thing you should know about the company from you belong. After completing the study of all these aspects, you should know the market from where your have to collect the data. After analyzing all these aspects and organizing yourself you should then go to the market to collect data. I covered all these aspects when I was doing my projects before compilation.

7. TO PROCESS AND ANALYSE THE COLLECTED DATA:The data after collection has to be processed and analyzed in accordance with the outline lay down at the time of developing research plan. In the process of analysis, relationship or differences supporting or conflicting with origin or how hypothesis should be subjected to statistical tests of significance to determine with what validity data can be said to indicate any conclusion. In my projects also after the data has been collected from all the different areas. It was analyzed and then only I made a report on the basis of that analysis.

8. TO PREPARE THE RESEARCH REPORT:I have taken great care in preparation of my research report. I have tried my best to maintain objectivity, coherence and clarity in the good research report is that it effectively communicates its resource findings.

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COVERAGE
I have covered the GAYA and near by areas under the JAIPRAKASH ASSOCIATES LTD. (CEMENT DIVISION) in Patna Region. In above I have visited 100 dealers of various cement brands. Their customers give me satisfactory reply which is relevant to the topic.

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1.5 SCOPE OF THE STUDY

This research work is the result of customer oriented marketing. It is necessary to study systematically the different aspects relating to the marketing process with regards to fulfilling the expectation and needs of the customers. Marketing Research is a comprehensive subject and covers all activities and operations of a seller to his products to customers. The scope of marketing research has been steadily expanding in the recent period. Every activity directly or indirectly related to marketing of the goods and services comes under the purview of marketing research. Marketing Research, Consumer Behaviors Research, Product Research, Brand Research, Sales Research, Pricing Research, etc. are the usual areas covered under research work. Thus, scope of Marketing Research is much wider than what we assumed at the first sight. The major areas within the scope of marketing research are Marketing Research, Consumer Behavior Research; factors influencing research, Advertisement Research are studies in this project.

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1.6 LIMITATION OF THE STUDY

The study was carried out on pursuit of the curriculum of MBA, which is

mandatory for a period of 2 months. Hence, exhaustive data was not available for the concise to rely on.
I conducted the study in individual capacity with available resource with

available source accordingly the information collected is purely from sources and information supplied by the organization and customer hence there are chances of shortcomings. Time constraints are other aspects which were not taken into the consideration. Only the important aspects which directly affect the performance appraisal are discussed in this project. Hence, the project lacks detailed analysis. The appraiser and appraise might not have given their information and hence the data cannot be relied upon completely for drawing a conclusion.
The study was limited to few customer and dealers or stockiest in GAYA

city and its near by areas.

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1.7 RATIONALE OF THE STUDY

UTILITY TO RESEARCHER:

o As a researcher, I got an experience to face the market condition. o I got an opportunity to work with great organization JAIPRAKASH ASSOCIATES LTD. o Being a student of MBA Marketing, I came to know exact market condition and factors affection consumers buying decision. o As consumer is considered as king of market, I got a golden opportunity to learn acceptance and perception tendency of customer. o I got an opportunity to study the strategies used by various companies to attract customer. o I come to know about challenges and threats in cement sector.

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UTILITY TO ORGANISATION
o Research study is a key to the evolution of scientific marketing strategies

and plans.
o It is an important tool for the organization to study buyer behavior

changes in consumer lifestyle, consumption pattern, brand loyalty and also forecast market changes. o Research is also used to study competition and analyze the competitors product positioning and have to get competitive advantages.
o Marketing Research prepares organization for the future both in terms of

risks and opportunities. I forecast the future demand and market trends. To assist in making sales forecast more accurately and scientifically.
o It helps organization to design and develop marketing strategies relating

to like pricing, product development, identifying factors which play a role in decision making of a consumer. o It supplies valuable data to the top management to formulate long-term marketing objective and to set clear strategies necessary to achieve objectives.
o To supply data on competition, market trends, consumer buying behaviors

so as to make marketing activity more effective.


o This study helped organization in channel of distribution to understand

consumer expectation and perception. o Study is helpful to make advertising budget and advertising campaigns.

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o It helps a wholesaler to understand movement of different brands.

CHAPTER - 2

COMPANY PROFILE

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2.1 CEMENT INDUSTRY : AN OVERVIEW

History

of

Cement

Manufacture of cement has a history, which traces back to millennia. The Romans who were prolific builders used burnt calcareous (calcium bearing) rocks along with pozzolanic materials in an era Before Christ. The structures built by them, like the Pantheon, are still there for us to see proving the goodness of cementitious materials as input material for construction. Post industrialization and as infrastructure development started globally, demands for cement has been growing steadily both quantitatively & qualitatively. India is the second largest cement producer in the world after China and cement consumption has been growing at a CAGR of over 8% p.a. in the last five years. The group cement facilities are located in the Satna cluster, which has one of the highest cement production growth rates in India.

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India is today the second largest producer of cement in world with an installed capacity of close to 155 million tonnes per year. 95 % is consumed domestically and only 5% is exported. Demand is growing at more than 10 % per annum. More than 90 % of production comes from large cement plants. There are a total of 130 large and more than 350 small cement manufacturing units in the country. More than 80% of the cement-manufacturing units use modern environment friendly dry process. The forms of cement produced: Ordinary Portland Cement Portland Pozzolana Cement Portland Slag Cement
Blended Cement

Indias per capita cement production: 130 kg per annum. World average of per capita cement production: More than 280 kg per annum.

Major players in Indian cement sector: Jaypee Group ACC Lafarge Gujarat Ambuja Cement Ultratech Cement India Cements Century Cements
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Madras Cements

Bottlenecks of Cement Industry:


A comparison of the energy efficiency of Indian cement industry with that of other developed nations shows Indian companies are lagging. Regional imbalances in cement production:The Cement industry has continued its growth trajectory over the past seven years. Domestic cement demand growth has surpassed the economic growth rate of the country for the past couple of years. Over the past five years (FY03-07), cement demand has grown at a CAGR of 8.37% higher than the CAGR of supply at 4.84%. Demand for cement in the country is expected to continue its buoyant ride on the back of robust economic growth and infrastructure development in the country. The key drivers for cement demand are real estate sector, infrastructure projects and industrial expansion projects. Among these, real estate sector is the key driver and accounted for almost 55% of cement demand in FY 07. During the period FY 03 07, capacity additions in the country (30.6 mn tonnes) were at a slower rate compared to demand growth leading to higher average capacity utilization rates from 81.3% in FY 03 to 93.8% in FY 07. This exerted pressure on average prices which have increased from Rs. 156 per bag in FY 03 to Rs. 216 per bag in FY 07. In December 2007, prices stood at Rs. 245 Rs. 250 per bag.

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Low capacity addition coupled with higher utilization rate also led to increase in proportion of blended cements in product mix. Blended cement accounted for 68% of product mix in FY 07 as compared to 49% in FY 03. Cement is a bulky commodity and cannot be easily transported over long distances making it a regional market place, with the nation being divided into five regions. Each region is characterized by its own demand-supply dynamics.

The Southern region dominated the cement consumption at 44.5 mn tonnes in FY 07, accounting for about 30% of total domestic cement consumption. During FY 03-07, Southern region has witnessed highest CAGR of cement demand at 10.4% followed by Northern and Eastern regions at 8.9% and 9%, respectively.

Over the past five years, cost of cement production has grown at a CAGR of 8.4%. The producers have been able to pass on the hike in cost to consumers on the back of increased demand. Average realizations have increased from Rs. 1,880 per tonne in FY 03 to Rs. 3,133 per tonne in FY 07, at a CAGR of 13.6%, which has resulted in higher profit margins of the industry. To reduce the cost of production, the industry is increasing its focus on captive power generation. Proportion of cement production through captive power route has increased over the years. Also, cement movement by rail has increased over the years.

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2.2ABOUT THE COMPANY: JAYPEE GROUP

History
With a single minded focus in mind, to achieve pioneering myriads of feat in civil engineering Shri. Jaiprakash Gaur, the founding father of Jaiprakash Associates Limited after acquiring a Diploma in Civil Engineering in 1950 from the University of Roorkee, had a stint with Govt. of U.P. and with steadfast determination to contribute in nation building, branched off on his own, to start as a civil contractor in 1958.

Different businesses of Jaypee Group Cement Civil Engineering Private Hydropower Hospitality Information Technology Integrated Township
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Expressway

Historical Milestones:
Year 1957 - Completed first work as contractor in Kota (India). Year 1979 - Jaiprakash Associates Private Ltd. (JAPL) Year 1983 - Establishment of Japyee Rewa Cement Plant (JRCL) with an initial capacity of 1 million tones. Year 1980 - Hotels Siddhartha and Vasant Continental set up. Year 1986 - Formation of Jaiprakash Industries Limited (JIL) by Amalgamating JAPL into JRCL. Year 1992 - Formation of Jaiprakash Hydro Power Ltd. (JHPL) and Jaiprakash Power Venture Ltd. (JPVL) Year 1996 - Establishment of Jaypee Bela Cement Plant (JBCP) with an initial capacity of 1.9 million tones. Year 2000 - Formation of Jaypee Cement Ltd. (JCL) by merging JRCL and JBCP. Year 2003 - Formation of Jaiprakash Associates Ltd. ( JAL) formed by Merging JIL with JCL. Year 2005 - Shares of JHPL listed on BSE/NSE. First Hydropower Company to be publicly held and listed in the country. Year 2006 - Merger of Jaypee Greens with Jaiprakash Associates Ltd. (JAL)
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CEMENT

Jaypee group is the 4th largest cement producer in the country. The groups cement facilities are located in the Satna Cluster (U.P), which has one of the highest cement production growth rates in India. The group produces Ordinary Portland Cement and Pozzolana Portland Cement under the brand names Buland and Buniyad. Its cement division has three modern, computerized process control cement plants namely, Jaypee Rewa Cement Plant (JRCP), Jaypee Bela Cement Plant (JBCP) with an aggregate capacity of 7.0 MTPA. With its plans of adding capacities in different regions of the country, the Group is poised to be a 25 MTPA cement producer by the year 2010 and 30.5 MTPA by 2011. Thus, it is likely to be third largest cement producer in the country. Keeping pace with the advancements in the IT industry, all the 120 cement dumps are networked using TDM/TDMA VSATs along with a dedicated hub to provide 24/7 connectivity between the plants and all the 120 points of cement distribution in order to ensure track the truck initiative and provide seamless integration. This initiative is the first of its kind in the cement industry in India. In the near future, the group plans to expand its cement capacities via acquisition and greenfield additions to maximize economies of scale and build on vision to focus on large size plants from inception. The Group is committed towards the safety and health of employees and the public. Our motto is 'Work For Safe, Healthy, Clean & Green Environment '.

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2.3 BRANDS OF JAYPEE CEMENT BULAND


Buland is the latest to arrive in Indian markets among the blended cement and especially in the markets of M.P., Bihar, Western UP, Delhi & Nepal. Buland in these regions is a hot favorite and in addition to being sold in large quantities is also the un-disputed brand leader. Buland is a superbly engineered blended cement, manufactured with the latest technology at the Companys Cement Complex at Rewa, M.P. Special care is taken to integrate the highest quality of Pulverized Fly ash with high grade, high strength clinker to ensure that the properties of Buland always surpass the norms prescribed by BIS. Qualities of Buland Cement: High Compressive Strength and rate of strength gain. The superfine particles of Buland cement provide great finish to the structure. Buland cement provides unsegregated concrete of better integrity. Impermeable concrete for durable construction. Resistant under aggressive environment even in costal areas. Resistance to corrosive attack on steel reinforcement. Resistant to lime leaching. Low heat of hydration Crackless construction. Reduces shrinkage and swelling. Beneficial effect on workability due to spherical shape of particles and their high fineness. Pumpability provides more cohesive concrete and mortar.

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Modulus of elasticity is high especially at later ages. Improved bondage of concrete to steel.

Buniyad
Buniyad has been a market leader among all blended/composite cements in the markets of U.P. & Bihar. Buniyad, because of its unique design and blend, with high grade, high quality clinker, has led to the construction of vast number of durable, crack free and, durable civil structures in these states. Fine particles of Buniyad cement easily react with water and form a smooth paste, which results in a smooth surface. When used with sand and aggregates it yields a very durable concrete. Buniyad cement helps to produce more cohesive concrete and mortar and it is also less prone to segregation and bleeding. Due to this quality, Buniyad is very suitable for the construction of canals, load bearing structures and foundations. Low permeability of concrete made with Buniyad cement does not allow any kind of bulging in constructions and makes the construction compact, impermeable and resistant to lime leaching. Buniyad is being used for a number of applications like housing & commercial complexes, roads, wells, canals etc. which establishes that Buniyad cement has proven to be favorite choice of the discerning customer. It is particularly well situated to the tropical climatic conditions of India.

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Buniyad surpasses IS: 1489:1991, the laid down BIS standards for fly ash based PPC cement. Buniyad can be easily compared with OPC-43 Grade in cement for its ultimate compressive strength.

ORGANISATIONAL FLOW-CHARTS

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CHAIRMAN

BOARD OF DIRECTORS

CEO

GM (HRM)

GM (PRODUCTION)

GM (MARKETING)

GM (FINANCE)

AMO (MARKETING)

SALES EXECUTIVE

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CHAPTER - 3

TOPIC INTRODUCTION

3.1 CONSUMER BUYING BEHAVIOUR

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Consumer behavior is the study of how people buy, what they buy, when they buy and why they buy. It blends elements from psychology, sociology, sociopsychology, anthropology and economics. It attempts to understand the buyer decision processes, buyer decision making process, both individually and in groups. It studies characteristics of individual consumers such as demographics, psychographics, and behavioral variables in an attempt to understand people's wants. It also tries to assess influences on the consumer from groups such as family, friends, reference groups, and society in general.

External
(Sociological)

Internal
(Psychological)

Culture Social class Reference group Family Marketing mix

Needs Motives Wants Awareness

Learning

Personality Perception Attitude Preference

b e h a v i o r

Buyer Behavior Model

Buying Behavior

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Buying behavior requires a high involvement of decision making. We have two types of buyer behavior: Complex Buying Behavior:First the consumer develops beliefs about the product then attitudes and then makes a thoughtful choice, or, when the consumer is aware of significant differences among brands. Reducing Buyer Behavior (Dissonance):In this case the consumer first acts and then develops beliefs and ends up with a set of attitude.

3.2 FACTORS INFLUIENCING BUYING BEHAVIOUR


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Factors Influencing Consumer Behavior

Cultural Cultural Culture Culture Subculture Subculture Social Class Social Class

Social Social Reference Reference Groups Groups Family Family Roles & Roles & Status Status

Personal Personal Age & LifeAge & LifeCycle Stage Cycle Stage Occupation Occupation Economic Economic Situation Situation Lifestyle Lifestyle Personality & Personality & Self-Concept Self-Concept

Psychological Psychological Motivation Motivation Perception Perception Learning Learning Beliefs & Beliefs & Attitudes Attitudes

Factors Influencing Buying Behavior:


Cultural factors:
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A family may be able to influence a buying behavior of a person.

Social factors:
Social factors consist of reference groups direct or indirect which may be influential.

Personal factors:
The occupation of a person may influence the consumption pattern. The persons economic circumstances, as mentioned below, could also be directly related to his/her buying behavior. pendable income S Savings & assets Borrowing power High resources:o Actualizes taste for niche oriented products o Fulfilled - favour durability, functionality & value o Achievers - prestige products that demonstrate success to peers o Experiences - young, enthusiastic, impulsive & rebellious Low resources:o Believers conservative & conventional o Strivers uncertain, insecure, approval seeking, resource constrained. O Makers practical. Self sufficient, traditional & family oriented. o Favour inexpensive products. o Strugglers - elderly, passive, concerned & cautious customers. o Favour inexpensive products. o Personality - People use brands which match their personality.

Psychological factors:
1. Motivation 2. Perception What your mind wants you to believe
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Selective attention Selective distortion - tendency to twist information into personal meanings and interpret information in a way that will fit our perceptions. Selective retention likely to remember good points mentioned about product We like & forget good points mentioned about competing products. 3. Learning 4. Beliefs descriptive thought that a person holds about something origin of the product shapes consumer brand beliefs People would like to know where the product has been manufactured. Certain countries enjoy a reputation for certain goods; for e.g. Japan is known for electronics and cars.

3.3 CONSUMER BUYING DECISION PROCESS

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NEED RECONISITIO NON

INFORMATIO N SEARCH

EVALUATION OF ALTERNATIVES

POSTPURCHAS E BEHAVIOUR

PURCHASE DECISION

(A model of consumer decision process)

Consumer Buying Process


PROBLEM RECOGNITION:

Problem recognition is that result when there is a difference between one's desired state and one's actual state. Consumers are motivated to address this discrepancy and therefore they commence the buying process. Sources of problem recognition include: An item is out of stock Dissatisfaction with a current product or service Consumer needs and wants Related products/purchases Marketer-induced New products

INFORMATION SEARCH

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Once the consumer has recognized a problem, they search for information on products and services that can solve that problem. Consumers undertake both an internal (memory) and an external search. Sources of information include: Personal sources Commercial sources Public sources

Personal experience ..-------------------------------

The relevant internal psychological process that is associated with information search is perception. Perception is defined as 'the process by which an individual receives, selects, organizes, and interprets information to create a meaningful picture of the world'.

EVALUATION OF ALTERNATIVES

All possible alternatives is evaluated with respect to quality, price, performance, and all other respects. The better one alternative is selected for the use.

PURCHASE DECISION

Once the alternatives have been evaluated, the consumer is ready to make a purchase decision. Sometimes purchase intention does not result in an actual purchase. The marketing organization must facilitate the consumer to act on their purchase intention.

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The provision of credit or payment terms may encourage purchase, or a sales promotion such as the opportunity to receive a premium or enter a competition may provide an incentive to buy now. The relevant internal psychological process that is associated with purchase decision is integration
POST PURCHASE BEHAVIOUR

1. Falls short of expectations- disappointed (abandon or return the product) 2. Meets expectations- satisfied (probability of buying the product again) 3. Exceeds expectations- delighted.

3.4 METHODS OF DATA INTREPRETATION AND


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ANALYSIS

Data interpretation means arranging the collected data in the proper manner and representing the information by using following tools of data interpretation.

TABLES:
Table normal consists rows and columns in which parameters and readings are arranges in particular format.

GRAPHS:
Graphs represent the information in the two axes i.e. x axis and y axis.
90 80 70 60 50 40 30 20 10 0

East West North

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

CHARTS:
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The pie charts are tool of interpretation which represents information in the segments. It differentiates between the data by varying colors which is easily understandable to all people.

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr

3.5 Data analysis and interpretation


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Product awareness:
To identify the awareness of the product of the product among consumer, I collected the data to analyze the exact source by which customer know the product name.

Advertisement

Technical person

Retailer

Others

44

49

78

29

Product Awareness
Advertisement Technical Person Retailor Others

15%

22%

38%
#Source- Primary Data (Customer) #Method- Questionnaire

25%

On the basis of the collected information I can say that retailer i.e. 38% is the major source by which consumers know the product name. After that technical person plays second role i.e.25% in the product awareness to the consumer. And advertisement is the third source by which consumer know the product i.e.22%.

Consumer preferences:
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I tried to analyses the effect of marketing activity of Jaypee Buland cement on customers with the help of a self developed questionnaire. I have analyzed and interpreted the collected primary data. I have served 200 customer of cement at different areas of Gaya and its near by areas. Consumer preferences are as

Urban Area Gaya city Sample size- 100 Cement brand Buland Acc Birla Gold 32 15 Ultratec 14 Lafarge 12 Others 4

No of consumer 23 preferences

Consumer Preference (in urban area)


35 30 25 20 Responses 15 10 5 0

Buland

Acc

Birla Gold

Ultratec

Lafarge

Others

Brand Name----->

#Source- Primary Data (Customer) #Method- Questionnaire

Rural Area- Near by area of Gaya city Sample size 100


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Cement brand

Buland ACC 24

No of consumer 37 preferences

Birla Gold 15

Ultratec 11

Lafarge 5

Others 8

Consumer Preference (in rural area)


40 30
Responses 20

10 0
Buland Acc Birla Gold Ultratec Lafarge Others

Brand Name----->

#Source- Primary Data (Customer) #Method- Questionnaire

On the basis of collected data I analyze that in urban areas(i.e. Gaya) ACC is the market leader having market share 32% where as JAYPEE cement has 23% market share having second position in Gaya and near by areas, followed by Birla Gold 15%, Lafarge 12%, Ultratec 14%and Others 10%. When I entered in suburban and rural area, I came to know that the entire market is dominated by a single dealer who have grip over the market and they are selling large amount of cement as compare to the dealer selling in urban area.

In rural and suburban area Jaypee has dominated its competitors having 37% share. The distribution system of Jaypee is better in rural areas. Thus it would

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beneficial for a marketing organization with in the target group, they can identify the more profitable dealers and design stronger offer and build better relationship with them. Thus, I would suggest the organization to focus on these areas where they can achieve target market easily.

3.6 Basis of Buying

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During survey I found that Quality is the base and deciding factor of buying cement in all selected samples. Since Cement is the only material which gives strengths to buildings. Everybody looks for quality product. To know the base of the buying cement, I developed a questionnaire which is especially for this purpose. I have collected 200 samples in different areas of Gaya and near by areas.

Quality 123

Availability
37

Price 14

Past Other experience Reasons 28 8

BASIS OF BUYING C U S T O M E R S 140 120 100 80 60 40 20 0 Quality Availability Price Past Other Experience reasons

#Source- Primary Data (Customer) #Method- Questionnaire

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It is clear from the above graphs that majority of people i.e. 60% like to buy good quality cement, but availability of cement in market also plays very important role. If the demanded cement is not available then customer are like to switch another brand of cement which is easily available in the market. On the basis of the collected information, I can say that Jaypee Buland has dominated in rural areas because of its quality and availability. In urban areas it is in the second position after ACC cement. Company must care in the urban areas. A promotional campaign should be carried out by the company.

3.7 INFLUENCING FACTOR

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To know the factor which influence customer, I interviewed no of Consumers. The interview gives me ideas about, what is the main factor which influences their decision making whenever they buy cements. The responses give me to analyze the point of purchase factor of the customer.

*sample size 200 consumer of cement. Dealers advice 105 Technical person 35 Personal Advertisement Brand experience loyalty 45 10 55

Point of Purchase factor Dealer's advice advertisement


42% 14%

TechnologicalPerson Brand Loyality

PersonalExperience

18% 22% 4%

#Source- Primary Data (Consumer) #Method- Questionnaire

So, it is clear from the above figure that dealers advice plays a very important role followed by brand loyalty, personal experience, technical person etc. Dealer or stockiest has played very important role in the sale of the any product. Hence, company should uplift the facility which is given to the dealers.

IMPACT OF ADVERTISEMENT

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I also analyze the impact of advertisement on consumer in buying cement. On the basis of collected data I found that advertisement has not play a significant role on the buying behavior of the customer.

TOTAL 200

YES 63

NO 137

IMPACT OF ADVERTISEMENT YES NO

32%

68%

#Source- Primary Data (Consumer) #Method- Questionnaire

On the basis of collected information only 32% consumer believe that advertisement has an impact on the consumer in cement buying. While 68% consumers think that advertisement has not any major impact on the purchasing. Advertisement does not entice consumer to buy this company product or that companys product. Advertisement only creates awareness among the consumer about the company not about the product.

FACILITIES GIVEN BY RETAILOR:

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There are certain facilities given by the retailer to the customer to increase sell. These facilities may be discount on purchase of bulky amount or home delivery or credit facility. I take response of the customer to study the impact of facility on sale.

Facility Responses

Credit 54

Technical assistance 21

Home Delivery 43

Discount 82

Facility given by Retailer

27% Credit Technical assitance 40% 22% 11% Home Delivery Discount

#Source- Primary Data (Consumer) #Method- Questionnaire

On the basis of collected data Discount and credit facility plays a vital role in sale of cement after that home delivery. In the rural areas people require credit facility more than home delivery. On the purchase of bulk quantity retailer give some discount on the price of the cement. This facility is the highest rated i.e. 40% by the consumer.

SATISFACTION LEVEL JAYPEE BULAND


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During my field work, I also collect data about the satisfaction of the customer after purchase of the cement. This is the response of the Jaypee Buland Cement users.

Total 100

High 54

Medium 27

Low 19

Satisfaction Level
High Medium Low

19%

27%

54%

#Source- Primary Data (Consumer) #Method- Questionnaire

On the basis of collected information I found that the user of Jaypee Buland cement is highly satisfied i.e. 54% and only 19% people are low satisfied with Buland. I found that consumer are delighted and suggest other to buy the cement. Jaypee claim their product as high quality which is certified by the IIT Delhi and IIT Rooraki. This helps in the satisfaction of the consumer.

ACC CEMENT

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I also collect the data of the competitive company of JAYPEE to identify the satisfaction level of the consumer who use ACC Cement. This is the response of ACC cement user.

Total 100

High 43

Medium 31

Low 26

Satisfaction Level
High Medium Low

26% 43%

31%

#Source- Primary Data (Consumer) #Method- Questionnaire

On the basis on the collected information I found that the user of ACC cement are less satisfied i.e. 43% and 26% consumer are less satisfied with the product. Consumer thinks that the performance of ACC after use is not up to mark. It takes time in freezing cement and after one or two year the cement starts cracking.

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CHAPTER 4

CONCLUSION

CONCLUSIONS OF THE STUDY


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The study was conducted in GAYA city and its near by areas.

There are 5 outlets of Jaypee Cement in Gaya city and 5 outlets in its near

by areas, I have surveyed all the outlets to collects primary data.

The major competitors of JAYPEE cement are ACC and Birla.

The performance of JAYPEE is satisfied as compared to other competitors.

Though the price of JAYPEE cement is high consumers are more satisfied

with the cement other than its competitors.

JAYPEE BULAND is highly famous brand in middle and north India.

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CHAPTER - 5

RECOMMENDATIONS And SUGGESTIONS

SUGGGESTIONS
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On the basis of analysis and interpretation of the collected primary data, I have got some issue which pointed by the consumer. Here I suggest some points which are beneficial for company in making decision and strategy. 1. Quality is the key factor in the buying of cement because it covers the roof of the consumer. Hence company should maintain and develop the quality of the cement.
2. Price is the key area where control is required. It should be maintain at a

minimum level. It should not be more fluctuable.


3. Jaypee Buland should be projected as a brand of cement by the

company so that every body knows the quality of the cement. 4. Company should give more attention on the distribution system of cement. So that it covers all rural and urban areas market of the Gaya district. 5. Timely delivery of the order of the retailer is also necessary to made available of the product to customer.
6. Training and other facility should also given to retailer so that it handle

proper to customer.

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7. Technical assistance should be provided by the company to develop

Jaypee Buland as a brand.


8. Training should be given to the technical persons such as engineers,

worker and other person who made buildings.

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APPENDICES-1 QUESTIONNAIRE

QUESTIONNAIRE

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NAME AGE ADDRESS (1)

: : : HOW DO YOU KNOW THE PRODUCT OR BRAND WHICH (A) (B) (C) (D) Advertisement Technical Person Retailer Others Jaypee Buland Lafarge Concreto ACC Ultratech Birla-Gold

YOU BUY?

(2)

WHICH BRAND OF CEMENT YOU USE OR BUY? (A) (B) (C) (D) (E)

(3)

WHICH FACTORS INFLUENCE YOU WHILE BUYING (A) (B) (C) (D) (E) Quality Money Technical Person Availability Home delivery

CEMENT?

(4)

WHY ARE YOU USING JAYPEE BULAND CEMENT OR (A) (B) (C) (D) Due to its brand name Due to its quality and strength Due to its easily availability Other reason

OTHER BRAND?

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(5)

ARE YOU SATISFIED WITH TH JAYPEE BULAND OR (A)Yes (B) No

OTHER BRAND?

(6)

IF YOU HAVE ANY COMPLAIN, TO WHOM DO YOU (A) (B) (C) Retailer Company Officer Others

APPROACH?

(7)

IS COMPANY OR SELLER ALWAYS READY TO SOLVE (A) (B) Yes No

YOUR PROBLEM?

(8)

WHAT FACILITY YOU GET FROM THE COMPANY OR (A) (B) (C) (D) (E) Credit Discount Technical Assistance Home Delivery Others

RETAILER?

(9)

DO YOU GET ANY TECHNICAL HELP FROM COMPANY? (A)Yes (B) No

(10) HOW SATISFIED YOU ARE AFTER PURCHASE?


(11) ARE YOU DIVERT FROM ONE BRAND TO ANOTHER AFTER

USE OF PRODUCT? (A) Yes (B) No (12) GIVE ANY SUGGESTION/ADVICE TO COMPANY.

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APPENDICES 2

BIBLIOGRAPHY

BIBLIOGRAPHY
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A. MARKETING MANAGEMENT B.CONSUMER BEHAVIOUR AND MARKETING STRATEGY C. RESEARCH METHODOLOGY D. www.jilindia.com E. www.economictimes.indiatimes.com

: :

PHILIP KOTLER (12th edition, page no.102, 174 &191) PETER OLSON 7th edition

C. R. KOTHARI

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