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A

SURVEY REPORT
on

Effects of Packaging in Rural Areas

Anukrity Jaiswal Padmesh Pratap Singh Raman Kumar Maurya

IET, Lucknow

A SURVEY REPORT
on

Effects of Packaging in Rural Areas


Submitted to : Asst. Prof. Mohnish Kumar Submitted by : Anukriti Jaiswal Padmesh Pratap Singh Raman Kumar Maurya

IET, LUCKNOW

ACKNOWLEDGEMENT

Apart from the efforts of our group members, the success of the
project depends largely on the encouragement and guidelines of many others. We take this opportunity to express our gratitude to the people who have been guiding in the successful completion of this project. First of all we would like to thank our honorable HOD Prof. Dr. D. N. Kakkar Sir for his valuable guidance. We would like to show our greatest appreciation to and our faculty members and our seniors. We thank for their tremendous support and help. We feel motivated and encouraged every time. Without their encouragement and guidance this project would not have materialized. This guidance and support received from all the people, who contributed their knowledge to this project, was vital for the success of the project. We are grateful for their constant support and help.

Regards,

Anukriti Jaiswal Padmesh Pratap Singh Raman Kumar Maurya


CONTENTS
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25.

Abstract 1 Introduction 2 Marketing 3 Four Ps of Marketing Mix 4 PACKAGING: 5th P of Marketing Mix 5 Packaging Types 6 Purpose of Packaging 7 SYMBOLS USED IN PACKAGES & LABELS 9 Brand 9 The Ethical values of Brand Feelings in Rural Society A Micro Level Study 10 Consumer Behavior 11 Consumer Buying Behavior 11 Literature Survey 12 Objective of The Study 13 Significance of The Study 13 Research Methodology 14 Research Design 15 Data Collection 15 Sample Size & Universe of The Survey 16 Analysis Tools 16 Data Interpretation 17 Discussion of Findings & Result 29 Conclusion 31 Recommendations 32 Limitations 33

ABSTRACT

This study on the effects of packaging in rural areas was carried out
to ascertain the attitudes of people towards the packaged goods and to deepen the knowledge about the relationship between packaging and sales of any product in consumer buying behaviour. A simple survey design was used on a sample of one hundred people (100) randomly sampled from rural areas of Lucknow. Twelve research questions were posed for the study and a simple percentage was used for the data analysis. For getting the practical information we have collected secondary data and shown it as review of literature. For collecting the primary data we have personally met the customers through questionnaires, and have thorough analysis of data. In theory we have covered topics like introduction of Marketing, Packaging, Ethical Values of Brand and also Consumer Buying Behaviour.

INTRODUCTION

MARKETING

Marketing is the science and art of exploring, creating, and delivering


value to satisfy the needs of a target market at a profit. Marketing identifies unfulfilled needs and desires. It defines measures and quantifies the size of the identified market and the profit potential. It pinpoints which segments the company is capable of serving best and it designs and promotes the appropriate products and services. Marketing is often performed by a department within the organization. This is both good and bad. Its good because it unites a group of trained people who focus on the marketing task. Its bad because marketing activities should not be carried out in a single department but they should be manifest in all the activities of the organization.

FOUR PS OF MARKETING MIX


1. Product: A product is seen as an item that satisfies what a consumer needs or wants. It is a tangible good or an intangible service. Typical examples of mass-produced, tangible objects are the motor car and the disposable razor. A less obvious but ubiquitous mass produced service is a computer operating system. The marketer must also consider the product mix. Marketers can expand the current product mix by increasing a certain product line's depth or by increase the number of product lines. Marketers should consider how to position the product, how to exploit the brand, how to exploit the company's resources and how to configure the product mix so that each product complements the other. 2. Price: The price is the amount a customer pays for the product. The price is very important as it determines the company's profit and hence, survival. Adjusting the price has a profound impact on the marketing strategy, and depending on the price elasticity of the product, often; it will affect the demand and sales as well. The marketer should set a price that complements the other elements of the marketing mix. When setting a price, the marketer must be aware of the customer perceived value for the product. Three basic pricing strategies are: market skimming pricing, marketing penetration pricing and neutral pricing. 3. Promotion: Promotion represents all of the methods of communication that a marketer may use to provide information to different parties about the product. Promotion comprises elements such as: advertising, public relations, personal selling and sales promotion. Advertising covers any communication that is paid for, from cinema commercials, radio and Internet advertisements through print media and billboards. Public relations is where the communication is not directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. 4. Place: Place refers to providing the product at a place which is convenient for consumers to access. Place is synonymous with distribution. Various strategies such as intensive distribution, selective distribution, exclusive distribution and franchising can be used by the marketer to complement the other aspects of the marketing mix.
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The marketing mix elements called product, price, place, and promotion these are called the four elements of marketing mix and also called 4ps of the marketing mix.

PACKAGING: 5 P OF MARKETING MIX


TH

Packaging is an industrial and marketing technique for containing,


protecting, identifying and facilitating the sale and distribution of agricultural, industrial and consumers products. All packaging industries are involved in the preparations, processing and distributions of goods. Packaging is the science, art and technology of enclosing or protecting products for distribution, storage, sale, and use. Packaging also refers to the process of design, evaluation and production of packages. It can be described as a coordinated system of preparing goods for transport, warehousing, logistics, sale, and end use. Packaging contains, protects, preserves, transports, informs, and sells. It is fully integrated into government business.

PACKAGING TYPES

Packaging materials are categorized based on certain criteria among


which are the sources of generation such as primary and secondary packaging. Primary packaging is the wrapping or containers handled by the consumers. Secondary packaging describes large cases or boxes that are used to group quantities of primary packaged goods for distributions. Packaging materials paper/cardboard. include plastics, cans, bottles and

Plastics have become prevalent because they are inexpensive and can be engineered with a wide range of properties. They are strong, lightweight and resistant to chemicals, bacteria and sunlight degradation and are thermally and electrically insulating. Examples are polyfines, polystyrene for egg crates and meat trays, polyvinyl chloride, polyester such as polyethylene terephthalate used as plastic soda open bottles are also use for holding liquids such as fruit juice, drinks and milk. Some are coloured, others are transparent. Cans are made from steel or tin and are used to contain drinks, milk, meat, fish, vegetables and fruits. The cans and their contents are pasteurized at high temperature, cooled and stored. Papers and boards are made from wood pulp, papers mainly used for paper bags and labels and as one of the layers in lamination while boards are use in cartons and drums. Packaging was developed in response to social and economic changes affecting consumers. High living standard in the western world have led to an increase in consumer good and taste for exotic foods which are not grown locally and therefore must be imported. A trend towards urbanization in the last century which has created longer distances between food producers in rural areas and consumers in urban areas has led to a greater demand for packaging.

The increase use of packaging provides a barrier between a product and the external environment thereby ensuring hygienic conditions and reducing the risks of wastage due to contamination. Some adds to the charm and value of an item and it also provide consumers with product information and usage instructions some of which are required by law. Packaging industries contribute to the problems of environmental pollution all over the world. Millions of tons of packages are discarded as solid waste each year. The presence of plastics packages that make up 75 percent of the average household dustbin is of grave concern because of its potentials harm to the environment and the public health. It is in view of this, that this study sought to determine the impacts of packaging industries on the environment.

PURPOSE OF PACKAGING
Packaging and package labeling have several objectives which are as follows:

1. Physical protection 2. Barrier protection 3. Information transmission 4. Marketing and promotion 5. Security 6. Convenience 7. Portion control

SYMBOLS USED IN PACKAGES & LABELS

Many

types of symbols for package labeling are nationally and

internationally standardized. For consumer packaging, symbols exist for product certifications, trademarks, proof of purchase, etc. Some requirements and symbols exist to communicate aspects of consumer use and safety, for example the estimated sign that notes conformance to EU weights and measures accuracy regulations. Examples of environmental and recycling symbols include the recycling symbol, the code and the "Green Dot". Bar codes, Universal Product Codes, and RFID labels are common to allow automated information management in logistics and retailing. Country of Origin Labeling is often used.

BRAND
Brand is a name, term, sign, symbol, design or a combination of them intended to identify the goods and services of one seller or group of seller and to differentiate them from those of competitors. Technically speaking, whenever a marketer creates a new name, logo or symbol for a new product, he or she has created a brand.

THE ETHICAL VALUES OF BRAND FEELINGS IN RURAL SOCIETY -A MICRO LEVEL STUDY Brand feelings are customers emotional responses and reactions
with regard to the brand. Brand feelings are associated with the social currency evoked by the brand. These feelings can be mild or intense and can be positive or negative. The emotions evoked by a brand can become so strongly associated that they are accessible during product consumption or use. More specifically, what distinguishes a brand from its unbranded commodity counterpart is the sum total of consumers perceptions and feelings about the products attribute and show they perform, about the brand name and what it stands for, and about the company associated with the brand. Brands take on unique, personal meanings to consumers that facilitate their day-to-day activities and thus enrich their lives. As consumers lives become more convoluted, rushed and time starved, the ability of a brand to simplify decision making and reduce the risk is invaluable.


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CONSUMER BEHAVIOUR

It can be defined as the process and activities people engage in when


searching for selecting, purchasing, using, evaluating and disposing of product and services so as to satisfy their needs and desires. Its a challenge faced by all marketers to influence the purchase behaviour of consumers in favour of product or services they offer.

CONSUMER BUYING BEHAVIOUR


Consumer decision making varies with type of buying decision they make. Marketers need to understand how customers make purchase decisions. Consumer buying behaviour depends upon the degree of differences along the brands. As consumers lives become more convoluted, rushed and time starved, the ability of a brand to simplify decision making and reduce the risk is invaluable. If consumers recognize a brand and have some knowledge about it, then they do not have to engage in a lot of additional thought or processing of information to make a product decision. Thus, from an economic perspective, brands allow consumers to lower search costs for products both internally and externally. In India, rural people account for 73% of the population. In Tamil Nadu, the rural population is 56%. Despite, the strong potential, the rural markets are by and large less exploited. Out of five lakh villages in India only one lakh have been tapped so far. 70 % of Indias population lives in 627000 villages in rural areas. 90 % of the rural population is concentrated in villages with a population of less than 2000. According to the NCAER projections, the number of middle and high-income households in rural India is expected to grow from 80 million to 111 million by 2007. In urban India, the same is expected to grow from 46 million to 59 million. The corporate world is targeting the rural consumers. The rural market share for the fast moving consumer goods (FMCG) is greater than ever. The perceptions of the rural consumers are different from the urban and semi-urban societies.

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LITERATURE SURVEY
Impacts of Packaging Industries on the Environment in Rural State:
(G. A. Wokocha Department of Integrated Science, Rivers State University of Education Rumolumeni, P.M.B. 5047, Port Harcourt)

Developments in the active packaging of foods:


L. Vermeiren F. Devlieghere M. van Beest N. de Kruijf J. Debevere University of Gent, Department of Food Technology and Nutrition, Laboratory of Food Microbiology and Food Preservation, Coupure links 653, B-9000 Gent, Belgium TNO Nutrition and Food Research Institute, Utrechtseweg 48, P.O. Box 360, 3700 AJ Zeist, the Netherlands

Brand aspiration and brand switching behavior of Rural Consumers: A case study of Haryana

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Dr. Sanjeev Kumar, Dr Singh

OBJECTIVE OF THE STUDY


To determine the impact of packaging in customer buying behavior. To investigate the reasons of Customers perception for brand preference with respect to packaging.

SIGNIFICANCE OF THE STUDY


This study has allowed us to get deepened knowledge about the relationship between packaging and sales of any product or consumer buying behavior. This study would also help in identifying the various packaging factors that has impact on the sales. It describes different aspects behind the sales of a product. The study will also take into account the impact of packaging on the consumers and some recommendations. This study has made us learn how important it is to put down the data we had gathered during the period of research in form of words and paragraphs to portray the actual picture and to rightly express the true side of the story and to do this we found our research advisor very helpful.

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RESEARCH METHODOLOGY
The methodology is a plan for collecting, organizing and integrating collected data so that an end result can be reached. In this section, the discussion is made on the research strategy, different research methods, techniques, collection and ways of analyzing data, as well as discussing the quality of research.

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RESEARCH DESIGN
The study conducted was Descriptive in nature and based on both primary and secondary data. It includes surveys and fact finding enquiries of different kinds.

DATA COLLECTION
Data was collected in two ways: Primary Data Collection and Secondary Data Collection. Primary Data collection was done through the questionnaire forms. This form contains all close ended questions. The questions were based on the Likerts scale and were rated according to the preference of the customer. Secondary Data was collected through various sources like internet and books. In such away the data collected was richer in respondents real opinion about the importance and impacts of packaging in the rural areas.


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SAMPLE SIZE & UNIVERSE OF THE SURVEY


The sample size was of one hundred (100) respondents which were selected randomly from the decided universe. The universe included the people living in the rural areas of Lucknow.

ANALYSIS TOOLS
Simple statistical methods, pie charts etc.

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DATA INTERPRETATION

1. H How ofte do you generally prefer to pur en rchase loose packa aging co onsumer goods ?
Sr. no. . 1. 2. 3. 4. 5. Preferences Ra atings Very Low Preference Low Preference e Mode erate High Preference Very High Prefe erence No. of R Responden nts 51 28 17 4 0

Re espons se
0% 17% 4% Very Low Preferenc w ce Low Pref ference 28% Moderat te High Pre eference Very Hig Preferenc gh ce

51%

Very Low Preferen w nce

Hence above p charts show th e pie s hat 51% of the respondent give ve ts ery low prefere ence and 28% people give low pref d ference to loose p o packaged goods. Thus it shows that even in rura areas, people ge al enerally p prefer pac ckaged products.
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2. Ho often do yo gene ow n ou erally pr refer to purcha ase pack kaged consu umer go oods ?
no. Sr. n 1. 2. 3. 4. 5. Prefe erence Ratings Ver Low Preference ry Low Preferenc w ce Moderate Hig Preferen gh nce Ver High Pre ry eference No. of Re espondent ts 2 13 25 49 11

Re espons se
2% 11% % 13% 1 Very Lo Preference ow 25% 49% % Low Pre eference Modera ate High Pr reference Very Hi igh Preferen nce

High Pref ference

Here 4 49% of res spondents give high preferen to pac s h nce ckaged pr roducts whereas w only 2% of them give very low pref m ry ference to packaged product o ts.
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3. Do you th o hink tha there is any quality differe at e y ence bet tween packa aged pro oduct an unpa nd ackaged produc ? d ct
no. Sr. n 1. 2. 3. 4. 5. Prefe erence Rat tings Ve Low Pre ery eference Lo Preferen ow nce Mo oderate Hi igh Prefere ence Ve High Pr ery reference No. of Respondents s 8 1 17 2 29 3 30 1 16

Re espons se

17% 1 8% % 16% 29 9% Very Low Preferenc ce Low Pre eference Modera ate 30% High Pr reference Very Hig Preferen gh nce

Hi igh Prefer rence

About 46% of r responden think that there is a qu nts k uality diff ference be etween packag and loose prod ged ducts, whe ereas 25% are agai % inst this.
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4. Ho do yo think that packagin plays an imp ow ou k ng portant role ?


no. Sr. n 1. 2. 3. 4. 5. Pref ference Ra atings Very Low Prefe y erence Low Preferenc w ce Mod derate High Preferenc h ce Very High Pref y ference No. of R Responden nts 8 16 25 33 18

Re espons se

8% 18%

16% 25 5% Very Lo Preferen ow nce Low Pr reference Modera ate 33% High Pr reference Very High Preferen nce

High Preferen h nce

From the abov pie ch ve hart we f find that 51% of responde ents thin that nk packag ging plays an impo s ortant role whereas 24% res e s spondents are disagree to s it.
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5. Ho often you pu ow n urchase product on the basis o t e of packa aging ?


no. Sr. n 1. 2. 3. 4. 5. Prefe erence Ratings Very Low Prefe y erence Low Preferenc w ce Mod derate High Preferenc h ce Very High Pref y ference No. of R Responden nts 9 30 29 28 4

Re espons se

28% 29% 4% 9% 30% 3 High Pr reference Very High Preferen nce Low Pre eference Modera ate Very Lo Preferenc ow ce

Low Prefer L rence

From this table we can see that 32% peo e ople buy p products on the basis of packag ging while 39% peo e ople do no give an attentio toward the pac ot ny on ds ckaging of the product.
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6. Ho often you pu ow n urchase FMCG product on thei p t ir packa aging ?


o. Sr. no 1. 2. 3. 4. 5. Prefer rence Rati ings Very Low Preference Low Preference e Mode erate High Preference Very High Prefe erence No. of Re espondent ts 7 2 23 2 29 3 33 8

Re espons se

23% 7% 8% 29% % Very Lo Preferenc ow ce Low Pre eference Modera ate 33% High Pr reference Very High Preferen nce

High Pr reference

From this table we find that 41% of respo e % ondents p purchase F FMCG pr roducts on the basis of packagin wherea 30% of them do not give a e ng as any atten ntion to the pa ackaging o product. of t
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7. Ho often you pu ow n urchase Eatable produc on th e ct heir packa aging ?


no. Sr. n 1. 2. 3. 4. 5. Prefe erence Rat tings Ver Low Preference ry Low Preferenc w ce Moderate Hig Preferen gh nce Ver High Pre ry eference No. of Re espondent ts 9 19 3 36 2 22 14

Re espons se

14% 22%

9% 19% Very Lo Preferen ow nce Low Pre eference Modera ate

36%

High Pr reference Very Hi igh Preferen nce

M Moderate

This ta able show that 36 of resp ws 6% pondents prefer pac p ckaged pr roducts whereas w 28% o them do not prefe packag produ . of o er ged ucts
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8. Ho often you se qualit of pro ow n ee ty oduct w while pur rchasing ? g


no. Sr. n 1. 2. 3. 4. 5. Prefe erence Ratings Ve Low Pre ery eference Lo Preferen ow nce Mo oderate Hi igh Prefere ence Ve High Pr ery reference No. of Re espondent ts 4 6 2 28 3 31 3 31

Re espons se
6% 4%

28% Very Lo Preferenc ow ce Low Pre eference

% 31%

31%

Modera ate High Pr reference Very Hi igh Preferen nce

Very High Preferenc V ce

High Preferenc ce

Above table sho ows that 62% of re espondent give preference t the qua ts to ality of product while p purchasin while 1 ng 10% respondents g give no pr reference to the quality of produ . y uct
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9. Ho often you se price of product whi purch ow n ee ile hasing ?


. Sr. no. 1. 2. 2 3. 3 4. 4 5. Pre eference r ratings Very Low Preference e Low Prefer rence Moderate High Prefe erence Very High Preferenc h ce No. of Re espondent ts 14 28 22 29 7

Re espons se

28 8% 22% 2 Very Low Preferenc w ce Low Pre eference 29% Moderat te High Preference Very Hig Preferen gh nce

14% 7%

Hi igh Prefere ence

This ta able show that 36 of resp ws 6% pondents see the p price of th product while he purchasing whe ereas 42% of respo % ondents do not give attention to the price of d e n p asing. the product while purcha
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10. H How ofte you s en see pack kaging of produ while o uct e purch hasing ?
Sr. no. . 1. 2. 3. 4. 5. Pre eference r ratings Very Low Preference e Low Prefer rence Moderate High Prefe erence Very High Preferenc h ce No. of Re espondent ts 8 23 33 30 6

Re espons se

6% 6 30%

8% 23 3% Very Low Preferenc ce Low Pre eference 33% Modera ate High Pr reference Very Hig Preferen gh nce

Modera ate

Table given abo shows that 36% of the responden prefer good pac ove s % r nts r ckaged pondents do not gi any at ive ttention to the pac o ckaging products while 31% resp of prod duct.
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11. H How muc you l ch loyal to a partic cular pr roduct o the basis on Packa aging ?
. Sr. no. 1. 2. 2 3. 3 4. 4 5. Pre eference r ratings Very Low Preference e Low Prefer rence Moderate High Prefe erence Very High Preferenc h ce No. of Re espondent ts 12 15 45 23 5

Re espons se

5% 23% %

12% % Very Lo Preferen ow nce 15 5% Low Preference Modera ate 45% High Pr reference Very Hi igh Preferen nce

Modera ate

This ta able show that 28 of resp ws 8% pondents are loyal t a partic a to cular bran of nd product wherea 27% of responde as ents are not loyal to any par n o rticular br rand of product.
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12. A you w Are willing t pay m to more if you get good Pa y ackagin ? ng
. Sr. no. 1. 2. 2 3. 3 4. 4 5. Pre eference r ratings Very Low Preference e Low Prefer rence Moderate High Prefe erence Very High Preferenc h ce No. of Re espondent ts 15 21 29 27 8

Re espons se

8% % 27%

15 5% Very Lo Preferen ow nce 21% Low Preference Modera ate 29% High Pr reference Very Hi igh Preferen nce

Moderate

From a above tab we found that 35% of res ble spondents are willin to pay more s ng if they would ge good pa y et ackaging w while 36% of them are not w % willing to pay p more.
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DISCUSSION OF FINDINGS & RESULTS


From table 1, it is found that about 79% respondents do not prefer loose packaging consumer goods including 51% strongly against to it. Whereas, 21% people prefer to loose packaged consumer goods. From table 2, 60% of respondents prefer packaged consumer goods and 25% are moderate. 15% of them do not prefer the packaged goods. Table 3 shows that 46% of respondents think that there is quality difference between packaged and unpackaged goods and 29% are moderate respondents. Whereas 25% of them do not think that there is any quality difference between packaged and unpackaged products. From table 4, it is found that 51% of people think that packaging plays an important role, 25% are moderate and 24% are against to it. From table 5, it is found 32% of people purchase product on the basis of packaging, 29% respondents is moderate and 39% do not purchase goods on the basis of packaging. Table 6 shows that 41% people purchase FMCG products on the basis of packaging, 29% are moderate and 39% do not agree. Table 7 shows that 36% of respondents purchase eatables on the basis of packaging, 36% are moderate and 28% do not agree. From table 8, it is found that 62% of respondents prefer quality of product while purchasing, 28% are moderate and 10% disagree to it. From table 9, it is found that 36% of respondents see price of the product while purchasing, 22% are moderate and 42% do not prefer the price of the product while purchasing. Table 10 shows that 36% people see packaging of the product while purchasing, 33% of people are moderate and 31% of people do not pay any attention on packaging.

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Table 11 shows that 28% of people are loyal towards a particular brand of product, 45% are moderate and 27% are not loyal towards any particular brand of product. From table 12, we found that 35% of respondents are willing to pay more if they would get good packaging, 29% are moderate and 36% are not willing to pay more.

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CONCLUSION

This study was carried out to ascertain the impacts of packaging industry on
the rural environment. To elicit information for the study, a structured questionnaire containing 12 questions was developed and administered on one hundred (100) respondents randomly sampled from the rural areas of Lucknow and Barabanki. Data was analyzed using percentage mean. The findings indicate that

1. Consumers show some satisfactory attitude towards handling packaging materials after the use of the content. 2. Packaging materials has huge impact on the natural environment and consumer buying behavior. 3. Consumer shows their loyalty towards particular brands of various products.

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RECOMMENDATIONS

Based on the findings of this study, the following recommendations are made:
1. Enlightenment campaign should be mounted to educate consumers on the danger of mishandling packaging materials. 2. The packaged goods on some reasonable prices must be introduced to encourage the people of rural areas towards buying packaged products. 3. Consumers should be taught to recycle or reuse the packaging materials after using the contents. 4. Scientist and industrialists should develop biodegradable packages. 5. Composting of paper and wood packages should be encouraged among urban dwellers. 6. Government should initiate house to house collection of packaging materials.

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LIMITATIONS
The sample size of 100 is too small to understand the consumer satisfaction in packaging goods. Consumer satisfaction needs specialized knowledge of area so there is a chance of interpretation error. There is a possibility that respondents might have filtered their response under testing condition. Availability of secondary data was limited.

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