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INTRODUCTION
CHAPTER-1
INTRODUCTION
Great companies start with great ideas and Amway is no exception. Amway, an
abbreviation for "American Way", was coined in 1959 by founders, Jay Van Andel and Richard
DeVos. The business was built on the simple integrity of helping people lead better lives.
The vision of the Amway India Enterprises franchise is Inspiring people to live better lives.
With the mission to provide the best business opportunity, the direct sales business delivers
exceptional quality products in the following areas:
The Amway India Enterprises franchises values have enabled it to guide its actions and help
achieve everything without compromise or harm.
Recording a huge sales turnover year after year, Amway India Enterprises franchise is also the
founder member of the Indian Direct Selling Association (IDSA). The multilevel marketing
business was awarded the `Rising Business Star of the Millennium' award by the Karnataka
Welfare Association in October 2000.
All the 75 products in four categories sold in India match Amway's global quality standards.
With a tamper-proof seal and a 100% Money Back Guarantee, all products are environmentally
friendly and not tested on animals. Through its presence in India, the multilevel marketing
franchise enhances human resource development through entrepreneurial opportunity and selfemployment. Amway also encourages the return of its used product bottles for re-cycling, thus
preventing their misuse.
CUSTOMER SATISFACTION
2
OBJECTIVES
The study encompassed the following objectives
To study the consumer awareness and preference towards Amway products
To analyse the level of satisfaction of consumer towards Amway products
STATEMENT OF PROBLEM:
3
Consumer satisfaction with regard to Amway products depends upon user expectation
and various factors like price, quality and brand image. Customer satisfaction differs from one
consumer to other based on various factors. Attitudes and opinions of the consumers include
product interest, brand image. The necessity that has arisen for the study has been to identify the
level of consumer satisfaction towards Amway products and to know about the causes for
shifting their preference from Amway to other brands because of high price and other reasons.
Hence, the current study on customer satisfaction towards Amway has been conducted.
LIMITATIONS
Due to time constraint the study was conducted only in Coimbatore city.
RESEARCH METHODOLOGY
PRIMARY DATA
The primary data is the source of collection of information. To analyze the consumer
satisfaction towards Amway products,120 respondents were selected from within the Coimbatore
city. The respondents included students, business people, employees, and home makers.
In order to collect the relevant data from the respondents a questionnaire consisting of 29
questions was distributed to know the personal opinion of the respondents towards Amway
products.
SECONDARY DATA
Journals
Websites
News dailies
SAMPLE SIZE
120 Respondents in Coimbatore City.
CHAPTER-II
REVIEW OF LITERATURE
CHAPTER-2
REVIEW OF LITERATURE
R.Furger (1991) conducted a study on consumer satisfaction towards light weight laptops and it
was inferred that the various features like touch screen, slim and sleek, advanced power
management provided in the laptop highly influences the satisfaction of the consumer.
P.Rajendran (1996) conducted a study on consumer preference for shampoo. The objective of
the study was to analysis the impact of advertisement of different brands of shampoo and
consumer behaviour towards buying. The data was collected in Erode district to the sample size
of 100 respondents by using convenient sampling method. It was found from the study that
majority preferred quantity, which ranged from 9ml to 170ml packets, and peace was not an
important factor for their purchase
Prof. Bhavin Pandya (2000) conducted a study on the report on shampoo and relevant facts
respondents were asked about the brand of the shampoo which they use. It really astonishing that
half of the respondents did not respond to the question or were reluctant to say anything about
the usage of their shampoo brands. The HUL brands rule the shampoo category, CLINIC PLUS
is used by 15.62% of the respondents followed by SUNSILK is used by 9.38%, Clinic ALL
CLEAR is used by 4.69%. From the respondents obtained 46.875, HUL brand of shampoo is
used by 31.25%, P&G brands of shampoo is used by 8.59%. HEAD&SHOULDER became very
popular and acceptable, while PATENT and REJOICE are gaining the ground Cavins kare brand
have 4.96% of brand usage. Now CHICK shampoo heading the ground.
N.Kothai Nayaki (2001) conducted a study on Brand preference of toilet soap users with special
reference to Gobichettipalayam taluk has found that a large number of brands of toilet soaps
available in the market which defer I price , quality, quantity etc due to the favourable features of
brands, the consumers have preferred to purchase their loyal brands only. The study has
concluded that best quality soaps at reasonable price, majority of the respondents preferred
HAMAM as their brand only
Sangeetha.T (2002) undertook a study on brand Equity of hair care products and distribution of
3 products segments in the city of Coimbatore for Cavin Care limited pertaining to the
7
residents, dealers, wholesalers and departmental stores with the sample size of 150. It was found
that consumers are aware of hair care products of cavin care and most of them belong to the age
group of 15 to 25 years.
Ramya Devi (2002) conducted a study on Developing marketing strategy for attraction and
retention of consumers with special reference to Johnson and Johnson baby powder. The study
form of the sample size of 200 respondents in Chennai city found that the awareness of Johnson
and Johnson baby powder was 170% and retention of the consumers was 150%.
Dr.Vyajayanthi, Dr.G.Chand kulkani, Dr. Anil Abraham, and Dr.S.A Kolhapure(2006) made a
study on Anti dandruff activity and safety of polyherbal hair oil an open pillof in Bangalore
city. Twenty five patients of both gender, from the age group of 20_45 years, who were suffering
from mild to moderate dandruff they were enrolled in this study and advise to apply of 10ml of
anti dandruff hair oil twice daily for a period of two weeks this study concludes that the anti
dandruff hair oil was clinically effective and safe
Dr.A Vinayagamoorthy (2007) made An Empirical study on shampoo consumption aimed at
the studying the consumer behaviour with regard to purchase, consumption, and post purchase
evaluation of shampoo with sample size of 100 respondents in Chinnakammiyampet Village in
Vellore district. The objective of the study was to find out awareness among the consumers about
the various brands that majority respondents prefer a shampoo for fragrance, quality, Colour, and
advertisement. Most of the respondents have used the shampoo for both head bath and full body
bath.
Dr.R.Vijaya Kumar, N.Raman and Prof P.V Prabha (2007) undertook a study on satisfaction
derived by users of clinic plus shampoo in Coimbatore city 200 users of clinic plus shampoo
were selected as sample respondents on the basis of convenient sampling method. The researches
with the primary objective of measuring the extent of variation in the level of satisfaction derived
by the users of clinic plus shampoo. It was found that out of 200 respondents 26% fall under
Less Satisfied category, 42% belong to Just Satisfied category and remaining 32% have been
Highly Satisfied with the product
8
Ranjith P.V., Ela Goyal (2011) conducted a case study on consumer perception for laptops it is
recommended that the manufacturers have to concentrate on adding features to the existing
products. The companies have to concentrate on the important parameters like education and
browsing.
REFERENCES
1.
10
CHAPTER-III
COMPANY PROFILE
CHAPTER-3
COMPANY PROFILE
HISTORY OF AMWAY
Amway is the largest direct selling company and manufacturer in the world that uses
network marketing to sell a variety of products, primarily in the health, beauty, and homecare
markets. Amway was founded in 1959 by Jay Van Andel and Richard DeVos. Based in Ada,
Michigan, the company and family of companies under Alticor reported sales growth of 2.3%,
reachingUS$8.4 billion for the year ending December 31, 2009.Its product lines include home
care products, personal care products, jewellery, electronics, Nutrilite dietary
supplements, water purifiers, air purifiers, insurance and cosmetics .
11
Amway conducts business through a number of affiliated companies in more than ninety
countries and territories around the world. It is ranked by Forbes as one of the largest private
companies in the United States and one of the largest retailers in the world.
In 1959, the American Way Association was formed. This would be the chance to grow
and set the direction of a new entity. Rich and Jay immediately set out to find an initial product
to add to the line. They purchased the rights to Frisk, a household cleaner (which was later
renamed Liquid Organic Concentrate or L.O.C.).
In 1960, the American Way Association, now Amway, bought a controlling share in the
manufacturing facility in Michigan where LOC was made. The Amway Sales handled product
and distribution, Amway Services did business related tasks (like insurance for distributors) and
Amway manufacturing, which produced LOC. By 1964, the three arms of Amway were all
merged into a single entity - Amway Corporation. The idea was by handling the manufacturing
and distribution of a product line, and then allowing a network of IBOs. This seemed like the
only way to offer what Jay and Rich originally envisioned - a solid opportunity where anyone
with motivation could excel, regardless of their background and status. This is a main part of
Amway's business philosophy.
Not just products and not just sales, but a way to a better life.
Amway promotes individual entrepreneurship through its innovative direct selling
approach of world class consumer products. Amway India is the countrys leading direct selling
FMCG-company which manufactures and sells world-class c o n s u m e r p r o d u c t s .
VISION
Inspiring people to live better lives.
MISSION
12
To provide the best business opportunity. To deliver exceptional quality products to urban
and semi urban homes in the areas of nutrition and wellness, cosmetics, personal care, home
care, home tech and insurance.
GOAL OF AMWAY
The development of new business opportunities
To increase the companys role in relation to social responsibility
To provide excellent customer service
13
Amway India is the countrys leading direct selling FMCG-company which manufactures
and sells world-class consumer products. All its products are covered by a 100 per cent
Money Back Guarantee. If not completely satisfied with the product, the consumer can
return it for a 100% refund.
There is no joining fee for the Amway business any adult can enroll as an Amway
distributor, without any payment.
MANUFACTURING
Almost all Amway India products are manufactured in the country through seven third
party contract manufacturers. To bring the identified contract manufacturers production
facilities and skills to international standard, Amway has invested in transfer of state-ofthe-art, world-class technology to the contract manufacturers free of cost.
PRODUCTS
At present, Amway India offers over 130 products in five categories. They are Personal
care category, Home Care category, Nutrition & Wellness category, Cosmetics and Great
Value Products.
With the exception of Cosmetics range (Artistry*) and some products in Nutrition and
Wellness category, all Amway India products and bottles are manufactured in India.
14
NATIONAL PRESENCE
principlesfreedom, family, hope and rewardhold as true today as they did in the very
beginning.
CORPORATE CREDENTIALS
15
Established in 1995, Amway India commenced commercial operations in May 1998 and
has emerged as the largest Direct Selling FMCG Company. The Company has its
headquarters in the National Capital Region of India - New Delhi.
Amway has invested in excess of Rs. 200 crore in India of this; Rs. 22 crore is in the
form of direct foreign investment.
Amway India has 500 full time employees and has generated indirect employment
for 2000 persons at all the contract manufacturer locations.
Amway India provides free and unlimited training to all its distributors to help them grow
their business. Amway India conducts over 20,000 training sessions during an average
12-month period with an attendance of over 1.5 million Amway Business Owners and
prospects.
Amway India recorded a sales turnover of over Rs. 2130 crore in 2011, up from Rs.1790
crores in 2010.
Amway India is a member of the Confederation of Indian Industries (CII) and Federation
of Indian Chambers of Commerce (FICCI).
The World Blind Union presented an award and citation to Amway India in 2003, for its
peerless work for the blind child.
PRODUCT PROFILE
AMWAY PRODUCTS:
16
Amway offers a range of exclusive, competitive brands that meet proven customer needs
around the world. From nutritional supplements to water treatment, cosmetics to cleaning
products, these brands are the solid foundation for a successful, independent Retail business.
NUTRILITE
Nutrilite is the worlds leading brand of vitamin, mineral, and dietary supplements,
grown harvested, and processed on its own certified organic farms.
ARTISTRY
Artistry is one of the worlds top five largest-selling prestige brands of facial skin care
and colour cosmetics.
17
DYNAMITE
Dynamite's range of male grooming products, formulated internationally is designed to
deliver the ultimate grooming experience.
GLISTER
18
PERSONA
Persona Premium 3 in 1 Soap is a complete soap for the entire family promises refreshing
confidence.
SATINIQUE
19
Satinique Advanced Range with unique Ceramide Infusion System uses nature's own
renewing technology to rejuvenate, strengthen and protect your hair.
SA8
SA8 Gelzyme is India's only 3-in-1 laundry detergent which pretreats, cleans and softens.
G&H
20
G&H Range enriched with the goodness of Glycerine and Honey, deeply nourishes and hydrates
the skin for a healthy glow.
LOC
LOC High Suds is a multipurpose household liquid cleaner.
DISH DROPS
21
Dish Drops is a concentrated hand dishwashing liquid with a powerful "Triadic Detergency
System".
ATTITUDE
Attitude Skin care range of products are fortified with Triple Advanced Complex. This
Complex contains :*OSMOGELINE-red sea weed extract, Vitamin A,C,E & Natural Fruit &
Floral extracts like Aloe Vera, Avocado & Grape seed extracts. The new improved attitude skin
care range of products help to clean, replenish, moisturize & revitalize your skin making it soft
supple & lustrous.
Great Value Product Range offers you Great Quality, Great Performance, Great Price and a
Money Back Guarantee!
23
CHAPTER-IV
ANALYSIS & INTERPRETATION
24
PERCENTAGE ANALYSIS
The descriptive analysis is mainly employed to find the distribution of
different categories of respondents. As the values are expressed in percentage it
facilitates comparison and standardization. This technique is employed for all the
questions given in the questionnaire. Suitable diagrams where also constructed for
easy understanding.
25
GENDER
Gender has always played a significant role in any decision process. Table
No.1 reveals the classification of sample size on the basis of gender.
TABLE NO.1 GENDER WISE CLASSIFICATION OF THE
RESPONDENTS
No of
Respondents
Percent
Male
35
29.17
Female
85
70.83
Total
120
100.00
GENDER
85
35
INTERPRETATION
26
Table No.1 has inferred that 70.83% of the respondents are females and
29.17% of the respondents are males.
RESULT
It is concluded that majority 70.83% of the respondents are female.
AGE:
Age is a factor that plays an important role in analyzing the satisfaction
level. Table No.2 explains the classification of the respondents in terms of their
ages.
TABLE NO.2 AGE WISE CLASSIFICATION OF THE RESPONDENTS
No of Respondents
Percent
15-20 yrs 53
44.17
20-25 yrs 28
23.33
25-30 yrs 17
14.17
more
than 30
22
18.33
120
100.00
yrs
Total
27
53
28
17
22
INTERPRETATION
Table No.2 explains that 44.17% of the respondents are between the age
group of15-20 years and 23.33% of the respondents belongs to the age group of
20-25 years. 18.33% and 14.17% of the respondents belongs to the age group of
more than 30 years and 25-30 years respectively.
RESULT
It is concluded that most 44.17% of the respondents belongs to the age group
of 15-20 years.
MARITAL STATUS
28
No of
Married
Percent
Respondents
41
34.17
Unmarried
79
65.83
Total
120
100.00
MARITAL STATUS
79
41
MARRIED
UNMARRIED
INTERPRETATION
Table No.3 reveals that 65.83% of the marital status is unmarried and
34.17% of the respondents are married.
RESULT
29
No of
Respondents
Percent
Higher secondary
17
14.17
UG
67
55.83
PG
26
21.67
Professional
10
8.33
Total
120
100.00
30
EDUCATIONAL QUALIFICATION
67
26
17
10
INTERPRETATION
31
Table No.4 inferred that 5.83% of the respondents are pursuing their UG and
21.67% of the respondents were undergoing their PG. 14.17% of the Amway users
completed their higher secondary.8.33% of the Amway users are professionals.
RESULT
It is concluded that majority 55.83% of the respondents are under graduates
OCCUPATION
Occupation can be a influencing factor in choosing Amway products. Table
No.4.5 explains the occupation of the respondents.
No of
Respondents
Percent
Student
67
55.83
Business
6.67
Employed
28
23.33
Homemaker
17
14.17
Total
120
100.00
32
OCCUPATION
STUDENT
17
BUSINESS
28
67
EMPLOYED
HOMEMAKER
INTERPRETATION
Table No.5 has revealed that student respondents are the maximum which
consists of 55.83% and employee respondents are 23.33%. The response from the
homemakers is 14.17%. The least respondents belongs to the group of business
people consists of 6.67%
RESULT
It is concluded that majority (55.83%) of the respondents are students.
33
MONTHLY INCOME:
The purchasing power of the respondents depends upon the earnings of the
respondents. Table No.6 reveals the monthly income of the respondents.
No of
Respondents
Less than
Percent
34
28.33
26
21.67
10001-20000 32
26.67
5000
5000-10000
more than
20000
Total
28
23.33
120
100.00
34
MONTHLY INCOME
34
32
26
28
INTERPRETATION
Table No.6 revealed that 28.33% of the respondents were earning less than
5000 per month and 26.67% of the respondents earns between10001-20000 p.m.
the respondents who earns more than 20000 is 23.33%. 21.67% of the respondents
are earning 5000-10000 p.m.
RESULT
It is concluded that Most of the 28.33% of the respondents are earning less
than 5000 p.m.
35
SIZE OF FAMILY:
Family size will vary from one family to another. Table No.4.7 shows the
family size of the respondents.
No of
Respondent
Percent
s
1-3 members
33
27.50
4-5 members
73
60.83
5-6 members
6.67
5.00
120
100.00
more than 6
members
Total
36
SIZE OF FAMILY
73
4.3
INTERPRETATION
Table No.7 has explained that 60.83% of the respondents have 4-5 members
in their family whereas 27.50% of the respondents have 1-3 members only and
6.67% of the respondents have 5-6 members and 5% of the respondents have more
than 6 members in the family.
RESULT
It is concluded that majority (60.83%) of the respondents have 4-5 members
in their family.
37
RESIDENTIAL AREA:
Residential area of the respondents has greater influence in preferring the
products. Table No.8 explains the area wise classification of the respondents.
TABLE NO.8 RESIDENTIAL AREA WISE-CLASSIFICATION OF THE
RESPONDENTS
No of
Rural
Percent
Respondents
24
20.00
Urban
96
80.00
Total
120
100.00
RESIDENTIAL AREA
24
96
RURAL
URBAN
INTERPRETATION
Table No.8 has explained that 80% of the respondents are residing in urban
area. 20% of the respondents residing in rural area.
RESULT
It is concluded that majority (80%) of the respondents are from urban area.
38
Strongly
aware
agree
30
56
25.0%
46.7%
about
Agree
Neutral
Disagree
Strongly
Total
27
disagree
2
120
22.5%
4.2%
1.7%
100%
Amway
products
INTERPRETATION
Table No.4.9 reveals that 46.7% of the respondents agrees that they are fully
aware about Amway products 25.0% of the Amway users strongly agree that they
are fully aware about Amway products 22.5% of the respondents have expressed
their awareness of Amway products as neutral 4.2% of the respondents disagrees
that they are fully aware about the Amway products. 1.7% of the respondents
strongly disagree that they are fully aware about Amway products.
RESULT
It is concluded that most (46.7%) of the respondents agrees that they are
fully aware about Amway products
PRODUCT DIFFERENTIATION:
39
Amway has a brand image for its products. Table No.10 explains whether
the Amway product is unique when compared to other products in multi level
marketing.
TABLE NO.10 AMWAY PRODUCT IS UNIQUE
Amway
Strongly
product is agree
18
unique
15.0%
Agree
Neutral
Disagree
Strongly
Total
120
100%
69
25
disagree
0
57.5%
20.8%
6.7%
0.0%
INTERPRETATION
Table No.10 explains that 57.5% of the respondents agree that Amway
products is unique when compared to other products.20.8% of the respondents
expressed the uniqueness of the Amway products when compared to other products
as neutral. 15% of the respondents strongly agree that Amway product is unique
when compared to other products.6.7% of the respondents disagree that Amway
product is unique. None of the respondents strongly disagree that Amway product
is unique when compared to other products.
RESULT
It is concluded that majority (57.5%) of the respondents agrees that Amway
product is unique.
HIGH PREFERENCE FOR AMWAY PRODUCTS:
40
Strongly
product is agree
24
highly
Agree
Neutral
Disagree
Strongly
Total
120
100%
48
36
disagree
3
40.0%
30.0%
7.5%
2.5%
preferred
20.0%
INTERPRETATION
Table No.11 reveals that 40% of the respondents agree that Amway product
is highly preferred when compared to other products. 30% of the respondents is
neutral about the preference of the Amway products when compared to other
products.20% of the respondents strongly agree that Amway product is highly
preferred when compared to other products. 7.5% of the respondents disagree that
Amway product is highly preferred.2.5% of the respondents strongly disagree that
Amway product is highly preferred.
RESULT
It is concluded that most of the respondents (40%) have agreed that Amway
products is highly preferred when compared to other products
41
The following Table No.12 reveals the opinion of the respondents if the
distribution of products is offered to them.
Distributio
Strongly
n of
agree
17
47
14.2%
39.2%
products
Agree
Neutral
Disagree
Strongly
Total
29
18
disagree
9
120
24.2%
15.0%
7.5%
100%
will be
taken up if
offered
INTERPRETATION
Table No.12 reveals that 39.2% of the respondents agree that distribution of
products will be taken up if offered. 24.2% of the respondents are neutral to take
up the distribution if offered.15% of the respondents disagrees to take up
distribution 14.2% of the respondents strongly agree to take up the distribution of
products. 7.5% of the respondents strongly disagree to take up the distribution of
Amway products.
RESULT
It is concluded that most (39.2%) of the respondents agrees to take up
distribution, if offered.
AMWAY PRODUCTS WILL BE USED FOR LIFE
42
The following Table No.13 shows the different views of the respondents
opinion in relation to usage of Amway products for lifetime.
Amway
Strongly
products
agree
17
46
14.2%
38.3%
will be
Agree
Neutral
Disagree
Strongly
Total
32
19
disagree
6
120
26.7%
15.8%
5.0%
100%
used for
life
INTERPRETATION
Table No.13 explains that 38.3% of the respondents agrees that Amway
products will used for lifetime.26.7% of the respondents are neutral to use Amway
products for lifetime.14.2% of the respondents strongly agrees that Amway
products will be used for life 15.8% of the respondents disagrees to use Amway
products for lifetime.5% of the respondents strongly disagrees to use Amway
products for lifetime.
RESULT
It is concluded that most (38.3%) of the respondents agreed that Amway
products will be used for life.
MOSTLY PREFERRED BY HIGH INCOME GROUP:
43
Amway products are mostly preferred by high income people. The following
Table No.14 reveals the preference of Amway products by income of high income
group people.
TABLE NO.14 MOSTLY PREFERRED BY HIGH INCOME GROUP
Amway
Strongly
product is agree
48
preferred
Agree
Neutral
Disagree
Strongly
Total
120
100%
37
17
13
disagree
5
30.8%
14.2%
10.8%
4.2%
mostly by
40.0%
high
income
group
INTERPRETATION
Table No.14 reveals that 40% of the respondents strongly agree that Amway
product is mostly preferred by high income group.30.8% of the respondents agrees
that Amway products is mostly preferred by high income group.14.2% of the
respondents are neutral about the preference by high income group.10.8%of the
respondents disagrees this opinion.4.2% of the respondents strongly disagrees.
RESULT
It is concluded that most (40%) of the respondents strongly agrees that
Amway products is mostly preferred by high income group.
FEMALE MEMBERS MOSTLY USE AMWAY PRODUCTS:
44
The following Table No.15 reveals the respondents view in relation to the
statement that Female members mostly prefer to use Amway products when
compared to males.
TABLE NO.15 FEMALE MEMBERS MOSTLY USE AMWAY PRODUCTS
Female
Strongly
members
agree
36
45
30.0%
37.5%
prefer to
Agree
Neutral
Disagree
Strongly
Total
22
14
disagree
3
120
18.3%
11.7%
2.5%
100%
use
Amway
products
INTERPRETATION
Table No.15 inferred that 37.5% of the respondents agree that female
members mostly prefer to use Amway products 30% of the respondents strongly
agrees that female members mostly prefers Amway products.18.3% of the
respondents are neutral about this option.11.7% of respondents disagrees that
female members mostly prefer to use Amway products.2.5% of the respondents
strongly disagrees this statement.
RESULT
It is concluded that most (37.5%) of the respondents agrees that female
members prefer to use Amway products when compared to male.
45
The following Table No.16 shows the respondents opinion with regard to
children level of preference towards Amway product is very low.
Children
Strongly
level of
agree
44
33
36.7%
27.5%
preferenc
Agree
Neutral
Disagree
Strongly
Total
32
disagree
3
120
26.7%
6.7%
2.5%
100%
e is very
low
INTERPRETATION
Table No.16 reveals that 36.7% of the respondents strongly agree that
children preference for Amway products is low. 27.5% of the respondents agree to
it. 26.7% of the respondents are neutral about children preference.2.5% of the
respondents strongly disagrees this statement.
RESULT
It is concluded that most (36.7%) of the respondents strongly agree that
children level of preference for Amway products is very low.
No of
Respondents
Percent
Yes
41
34.17
No
30
25.00
Not sure
49
40.83
47
AWARENESS
49
41
30
INTERPRETATION
Table No.17 inferred that 40.83% of the respondents are not sure that they
are aware about all aspects relating to Amway products. 34.17% of the respondents
says that they are fully aware about all aspects relating to Amway products.25% of
the respondents says that they are not fully aware.
RESULT
It is concluded that most (40.83%) of the respondents are not sure about all
aspects relating to Amway products.
48
SOURCE OF AWARENESS
Source of awareness through which the respondents is introduced to the
Amway products.
TABLE NO.18 SOURCE OF AWARENESS
No of
Respondents
Percent
Distributors
32
26.67
friends
57
47.50
relatives
21
17.50
10
8.33
120
100.00
advertisemen
t
Total
49
SOURCE OF AWARENESS
10
8.2
DISTRIBUTORS
FRIENDS
RELATIVES
21
ADVERTISEMENT
57
INTERPRETATION
The above Table No.18 explains that 47.5% of the respondents says that
their source of awareness is friends. 26.67% of the respondents say that their
source of awareness is distributors.17.5% of the respondents says that their source
of awareness is relatives.8.33% of the respondents says that their source of
awareness is advertisement.
RESULT
It is concluded that most (47.5%) of the respondents says that their source of
awareness is friend.
50
PERIOD OF USAGE
The following Table No.19 explains how long the respondents have been
using the Amway products.
TABLE NO.19 TIME PERIOD OF USING AMWAY PRODUCTS
No of
Respondents
Percent
> 1 yrs
45
37.50
2-4 yrs
59
49.17
5-6 yrs
12
10.00
3.33
120
100.00
more than 6
yrs
Total
51
PERIOD OF USAGE
59
45
12
INTERPRETATION
The above Table No.19 reveals that 49.17% of the respondents says that they
have been using Amway products ranging between 2-4 years.37.5% of the
respondents says that they have been using Amway products for less than 1 year
10% of the respondents says that they have been using Amway products for 5-6
years.3.3% of the respondents says that they have been using Amway products for
more than 6 years.
RESULT
It is concluded that most (49.17%) of the respondents are using Amway
products for 2-4 years.
52
Total
Price
4
3.3
4
3.3
19
15.8
16
13.3
4
3.3
73
60.8
120
100.0
Packing
%
17
14.2
%
25
20.8
%
18
15.0
%
25
20.8
%
26
21.7
%
9
7.5
%
120
100.0
Ingredients
%
36
30.0
%
17
14.2
%
16
13.3
%
20
16.7
%
21
17.5
%
10
8.3
%
120
100.0
Eco-friendly
%
22
18.3
%
28
23.3
%
30
25.0
%
13
10.8
%
19
15.8
%
8
6.7
%
120
100.0
Distributor services
%
5
4.2
%
29
24.2
%
17
14.2
%
33
27.5
%
25
20.8
%
11
9.2
%
120
100.0
Brand image
%
36
30.0
%
18
15.0
%
19
15.8
%
14
11.7
%
25
20.8
%
8
6.7
%
120
100.0
53
1
2
3
4
5
6
INTERPRETATION
Table No.20 inferred that 30% of the respondents prefer Amway products
due to brand image and ingredients these two factors are ranked most. 24.2% and
25% of the respondents prefer Amway products due to distributor services and ecofriendly respectively. 21.7% of the respondents choose to use Amway products due
to its packing and 60.8% of the respondents gave least ranking to price.
RESULT
It is concluded that most (30%) of the respondents prefer Amway products
due to brand image and ingredients.
54
Products
personal
care
oral care
beauty care
Total
21
23
26
29
21
120
100.0
14
9.2%
31
26
14
48
23
24
23
25
14
Home care
26
31
Health care
16
32
29
20
14
55
%
120
100.0
%
120
100.0
%
120
100.0
%
120
100.0
%
1
2
3
4
5
INTERPRETATION
From the Table No.21 explains that 28.3% of the respondents prefer health
care products the most. 26.7% of the respondents choose home care products,
21.7% of the respondents give next preference to personal care and beauty care and
40% of the respondents have given least importance to oral care products.
RESULT
It is concluded that most of the respondents have given priority to health
care products.
56
LEVEL OF SATISFACTION
The following Table No.22 explains the respondents level of satisfaction
with various factors of Amway products.
TABLE NO.22 LEVEL OF SATISFACTION
Highl
Category
Brand
Price
Quality
easyavailabilit
y
Offers
Highly
satisfi
Neutr dissatisfi
satisfi
ed
al
ed
ed
60
53
2.5%
0.0%
14
32
28
21
11.7%
17.5%
47
49
25
18
dissatisfi Total
ed
2.5%
19
43
32
20
5.0%
17
22
33
26
22
57
18.3%
120
100.0
%
120
100.0
%
120
100.0
%
120
100.0
%
120
100.0
%
LEVEL OF SATISFACTION
HIGHLY SATISFIED
SATISFIED
NEUTRAL
DISSATISFIED
HIGHLY DISSATISFIED
INTERPRETATION
Table No.22 inferred that 50% of the respondents are highly satisfied with
brand, 26.7% of the respondents are satisfied with the price. 40.8% of the
58
respondents are satisfied with quality. 35.8% of the respondents are satisfied with
the easy-availability and 27.5% of the respondents are satisfied with the offers.
RESULT
It is concluded that most (50%) of the respondents are highly satisfied with
the brand.
RECOMMENDATION OF AMWAY PRODUCTS TO OTHERS:
The following Table No.23 explains respondents view with regard to
recommendation of Amway products to others.
TABLE NO.23 RECOMMENDATION OF AMWAY PRODUCTS TO
OTHERS
No of
Respondents
Percent
Yes
94
78.33
No
26
21.67
Total
120
100.00
59
26
YES
NO
94
INTERPRETATION
Table No.23 reveals that 78.33% of the respondents says that they will
recommend Amway products to others and 21.67% of the respondents says they
will not recommend Amway products to others.
RESULT
It is concluded that majority, 78.33% of the respondents will recommend the
Amway products to others.
60
DISTRIBUTOR SERVICE
The following Table No.24 reveals the respondents exact answer whether
they would become a distributor of Amway
TABLE NO.24 DISTRIBUTOR SERVICE
No of
Yes
Percent
Respondents
27
28.72
No
67
71.28
Total
94
100.00
DISTRIBUTOR SERVICE
27
67
INTERPRETATION
Table No.24 inferred that 71.28% of the respondents says that they will not
become an Amway distributor and 28.72% of the respondents says that they will
become an Amway distributor.
RESULT
61
It is concluded that majority (71.28%) of the respondents says that they will
not become an Amway distributor.
SWITCH OVER OF PREFERENCE TO OTHER PRODUCTS
Respondents may switch over their preference to other products due to
various reasons. The following Table No.25 explains the respondents switch over
of preference to other products other than Amway.
TABLE NO.25 SWITCH OVER TO OTHER PRODUCTS
No of
Respondents
Percent
Yes
69
57.50
No
51
42.50
Total
120
100.00
62
51
69
INTERPRETATION
Table No.25 explains that 57.50% of the respondents says that they will not
switch over to any other product and 42.50% of the respondents says that they will
switch over to other product.
RESULT
It is concluded that majority (57.50%) of the respondents says that they will
not switch over to any other product.
63
No of
Responden
ts
46
Percen
t
66.67
15
21.74
11.59
69
100.00
INTERPRETATION
Table No.26 reveals that 66.67% of the respondents say that products are
costly, 21.74% of the respondents says that the products are not available in nearby shops and 11.59% of the respondents says that there is no offers.
RESULT
64
CHI-SQUARE ANALYSIS
The personal attributes of the respondents have been the basis natural factors exposed to
research study conducted at any place or time. Hence to call out the value of the personal
attributes in the research design, the chi square test has been conducted on the variables to
ascertain the type of association between the personal attributes as the independent variables and
the test attributes on the dependent variables. The association of the personal attributes, such as
monthly income, education, occupation, age, gender and the size of the family with the test
attributes viz., the influencing factors such as price, brand image,quality and the shift in the
brand preference have been tested with the chi-square test relevant null hypothesis have been
framed as required.
65
Gender
Total
male
female
distributors
12
20
32
sources of awareness
friends
relatives
13
7
44
14
57
21
advertisement
3
7
10
Total
35
85
120
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
RESULT
Value
2.371a
2.372
.137
3
3
Asymp. Sig.
(2-sided)
.499
.499
.711
df
120
Table No.1 has revealed that the respondents relationship between gender and source of
awareness. It has been inferred that the value is 2.371 at 3 degree of freedom which is lower than
66
the table value of 7.815 at 5% level of significance. Thus there is no significant relationship
between gender of respondents and their source of awareness.
Thus the null hypothesis is accepted at 5% level of significance.
Gender
Total
male
female
Total
35
85
120
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
5.965a
5.808
.372
3
3
Asymp. Sig.
(2-sided)
.113
.121
.542
df
120
RESULT:
Table No.2 has revealed the respondents relationship between the gender and how long
they have been using the Amway products. The chi-square value has been 5.965 at 3 degree of
67
freedom which is lower than the table value of 7.815. Thus there is no significant relationship
between gender and their period of usage.
Thus the null hypothesis is accepted at 5% level of significance.
Gender
male
female
Total
Total
35
85
120
Chi-Square Tests
Pearson Chi-Square
Continuity Correction a
Likelihood Ratio
Fisher's Exact Test
Linear-by-Linear
Association
N of Valid Cases
RESULT:
Value
2.774b
2.022
2.644
2.751
df
1
1
1
1
Asymp. Sig.
(2-sided)
.096
.155
.104
Exact Sig.
(2-sided)
Exact Sig.
(1-sided)
.142
.080
.097
120
68
Table No.3 shows the computed Chi-square value is 2.774 at 1 degree of freedom which
is lower than the table value which is 3.841. There has been a significant relationship between
gender and recommendation of products to others.
Thus the null hypothesis is accepted at 5% level of significance.
Age
Total
15-20 yrs
20-25 yrs
25-30 yrs
more than 30 yrs
distributors
15
3
4
10
32
sources of awareness
friends
relatives
24
11
16
5
8
3
9
2
57
21
advertisement
3
4
2
1
10
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
9.981a
10.305
1.101
9
9
Asymp. Sig.
(2-sided)
.352
.326
.294
df
120
RESULT
69
Total
53
28
17
22
120
Table No.4 inferred that the computed value of chi-square as 9.981 at 9 degree of
freedom which is lower than the table value of 16.919. Thus there is no association between age
of the respondents and their source of awareness.
Thus the null hypothesis is accepted at 5% level of significance.
Age
Total
15-20 yrs
20-25 yrs
25-30 yrs
more than 30 yrs
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
16.914a
15.638
2.398
9
9
Asymp. Sig.
(2-sided)
.050
.075
.121
df
120
RESULT
70
Total
53
28
17
22
120
Table No: 5 reveals that there is no significant relationship between age and period of
usage. The calculated chi-square value is 16.914 at 9 degree of freedom which is lower than the
table value of 16.919.
Thus the null hypothesis is accepted at 5% level of significance
Age
15-20 yrs
20-25 yrs
25-30 yrs
more than 30 yrs
Total
Total
53
28
17
22
120
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
.785a
.749
.003
3
3
Asymp. Sig.
(2-sided)
.853
.862
.959
df
120
RESULT:
71
Table No.6 reveals the calculated value of chi-square as 0.785 at 3 degree of freedom
which is lower than the table value of 7.815 at 5% level of significance. Thus there has been no
significant relationship between age of the respondents and recommendation of amway products.
Thus the null hypothesis is accepted at 5% level of significance.
Educational
qualification
Total
higher secondary
UG
PG
Professional
distributors
2
16
11
3
32
sources of awareness
friends
relatives
advertisement
11
3
1
33
12
6
8
5
2
5
1
1
57
21
10
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
7.258a
7.458
.873
9
9
Asymp. Sig.
(2-sided)
.610
.590
.350
df
120
RESULT
72
Total
17
67
26
10
120
Table No.7 reveals the computed value of chi-square value as 7.258 at 9 degree of
freedom which is lower than the table value of 16.919 at 5% level of significance. Thus there is
no association between the educational qualification and source of awareness about the products.
Thus the null hypothesis is accepted at 5% level of significance.
Educational
qualification
Total
higher secondary
UG
PG
Professional
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
16.212a
16.019
7.519
9
9
Asymp. Sig.
(2-sided)
.063
.066
.006
df
120
RESULT
73
Total
17
67
26
10
120
The above Table No.8 shows the computed value of chi-square value as 16.212 at 9
degree of freedom which is greater than the table value of 16.919 at 5% level of significance.
Thus there is a significant relationship between educational qualification and time period for the
usage of products
Thus the null hypothesis is rejected at 5% level of significance.
Educational
qualification
higher secondary
UG
PG
Professional
Total
Total
17
67
26
10
120
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
RESULT
Value
1.597a
1.558
.006
3
3
Asymp. Sig.
(2-sided)
.660
.669
.937
df
120
74
The above Table No.9 reveals the calculated value of chi-square as 1.597 at 3 degree of
freedom which is lower than the table value of 7.815 at 5% level of significance. Thus there is no
significant relationship between th at 5% level of significance e educational qualification and
recommendation of Amway products to others
Thus the null hypothesis is accepted at 5% level of significance.
Occupation
Total
Student
business
employed
homemaker
distributors
15
2
11
4
32
sources of awareness
friends
relatives
34
14
2
3
11
2
10
2
57
21
advertisement
4
1
4
1
10
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
RESULT
Value
10.296a
10.169
.460
9
9
Asymp. Sig.
(2-sided)
.327
.337
.497
df
120
75
Total
67
8
28
17
120
The above Table No.10 infers that the computed value of chi-square value as 10.296 at 9
degree of freedom which is lower than the table value of 16.919 at 5% level of significance. Thus
there is no association between occupation and source of awareness.
Thus the null hypothesis is accepted at 5% level of significance.
Occupation
Total
Student
business
employed
homemaker
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
16.373a
16.517
.000
9
9
Asymp. Sig.
(2-sided)
.059
.057
.997
df
120
RESULT:
76
Total
67
8
28
17
120
The above Table No.11 inferred the computed value of chi-square as 16.373 at 9 degree
of freedom which is greater than the table value of 16.919 at 5% level of significance. Thus there
is association between occupation and time period for the usage of products.
Thus the null hypothesis is rejected at 5% level of significance.
Occupation
Student
business
employed
homemaker
Total
Total
67
8
28
17
120
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
4.260a
5.793
.927
3
3
Asymp. Sig.
(2-sided)
.235
.122
.336
df
120
RESULT
77
The above Table No.12 explains the computed value of chi-square as 4.260 at 3 degree of
freedom which is lower than the table value of 7.815 at 5% level of significance. Thus there is no
significant relationship between the occupation of the respondents and their recommendation of
Amway products to others.
Thus the null hypothesis is accepted at 5% level of significance.
income
level per
month
Total
distributors
7
5
7
13
32
sources of awareness
friends
relatives
20
6
13
6
15
5
9
4
57
21
advertisement
1
2
5
2
10
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
RESULT
Value
11.712a
11.142
.417
9
9
Asymp. Sig.
(2-sided)
.230
.266
.519
df
120
78
Total
34
26
32
28
120
The above Table No.13 reveals that the calculated value of chi-square as 11.712 at 9
degree of freedom which is lower than the table value of 16.919 at 5% level of significance. Thus
there has been no significant relationship between the respondents and their source of awareness.
Thus the null hypothesis is accepted at 5% level of significance.
income
level per
month
Total
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
19.428a
20.539
5.654
9
9
Asymp. Sig.
(2-sided)
.022
.015
.017
df
120
RESULT
79
Total
34
26
32
28
120
The above Table No.14 reveals the computed value of chi-square value as 19.428 at 9
degree of freedom which is greater than the table value of 16.919 at 5% level of significance.
Thus there has been significant relationship between monthly income and time period for the
usage of products.
Thus the null hypothesis is rejected at 5% level of significance.
income
level per
month
Total
Total
34
26
32
28
120
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
RESULT
Value
.056a
.055
.003
3
3
Asymp. Sig.
(2-sided)
.997
.997
.953
df
120
80
Table No.15 inferred that the calculated value of chi-square as 0.056 at 1 degree of
freedom which is lower than the table value of 7.815 at 5% level of significance. Thus there has
been no association between monthly income and recommendation of Amway products to others.
Thus the null hypothesis is accepted at 5% level of significance.
Residential
area
Total
Rural
urban
distributors
7
25
32
sources of awareness
friends
relatives
12
4
45
17
57
21
advertisement
1
9
10
Chi-Square Tests
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
.747a
.854
.526
3
3
Asymp. Sig.
(2-sided)
.862
.837
.468
df
120
RESULT
81
Total
24
96
120
Table No.16 shows the calculated value of chi-square as 0.747 at 3 degree of freedom
which is lower than the table value of 7.815 at 5% level of significance. Thus there is no
association between residential area and source of awareness.
Thus the null hypothesis is accepted at 5% level of significance.
Residential
area
Total
Rural
urban
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases
Value
1.707a
2.469
1.463
3
3
Asymp. Sig.
(2-sided)
.635
.481
.226
df
120
RESULT
82
Total
24
96
120
Table No.17 explained that the computed value of chi-square value has been 1.707 at 3
degree of freedom which is lower than the table value of 7.815 at 5% level of significance. Thus
there is no association between the residential area of the respondents and the period of usage.
Thus the null hypothesis is accepted at 5% level of significance.
Residential
area
Rural
urban
Total
Total
24
96
120
Chi-Square Tests
Pearson Chi-Square
Continuity Correction a
Likelihood Ratio
Fisher's Exact Test
Linear-by-Linear
Association
N of Valid Cases
RESULT
Value
.994b
.519
.943
.986
df
1
1
1
1
Asymp. Sig.
(2-sided)
.319
.471
.332
Exact Sig.
(2-sided)
Exact Sig.
(1-sided)
.405
.231
.321
120
83
Table No.18 explained that the computed value of chi-square as 0.994 at 1 degree of
freedom which is lower than the table value of 3.814 at 5% level of significance. Thus there has
been no relationship between residential area and their recommendation of Amway products to
others.
Thus the null hypothesis is accepted at 5% level of significance.
84
CHAPTER-V
FINDINGS, SUGGESTIONS AND
CONCLUSION
CHAPTER-V
SUMMARY OF FINDINGS, SUGGESTIONS AND CONCLUSION
The following are important findings of the study
A Study on customer satisfaction towards Amway products with a particular preference to
Coimbatore city
SUMMARY OF FINDINGS
Percentage analysis
Chi- square test
PERCENTAGE ANALYSIS
Most (44.17%) of the respondents fall in the age group of 15-20 years.
Majority (70.83%) of the respondents are female.
Majority (55.83%) of the respondents are under graduates.
Majority (55.83%) of the respondents are students.
Majority (65.83%) of the respondents are unmarried.
85
Most (36.7%) of the respondents strongly agree that children level of preference for
Amway products is very low.
Majority (71.28%) of the respondents says that they will not become an Amway
distributor.
Majority (57.5%) of the respondents says that they will switch over to other product.
Majority (66.67%) of the respondents says the reason for switch over to other product is
Amway products are costly.
Majority (50%) of the respondents is satisfied with the brand and 17.5% of the
respondents are highly dissatisfied with high price of Amway products.
87
CHI-SQUARE ANALYSIS
There has been no significant relationship between the
88
SUGGESTIONS
The following suggestions are offered to remove the customer dissatisfaction in some
aspects of the Amway products using customer expectations certain changes has to be made in
the following aspects which are presented as suggestions.
The products should be cheap.
The home delivery system takes at least two days to deliver the products so the delivery
should be instant
Majority of the respondents suggested that the price of Amway products is considered to
be higher. Hence steps could be taken by the companies to reduce the prices so that many
would get benefited.
There must be multiple options for purchasing the products for consumers like online,
retail shops and instant purchasing.
In every city, the Amway office should be situated in such a location so that it is in reach
of all consumers.
Sample packs should be used because customer must have to introduce the product to
themselves. Once customer gets an idea about the product he comes to know the
advantages of products.
Majority of the respondents are female, it should concentrate more on male products.
Steps should be taken to grab the attention of children preference towards Amway
products.
To promote the Amway products many respondents suggested to give advertisements for
all the products of Amway.
89
CONCLUSION
Amway is one of the largest direct selling company in the world. T h e p r o d u c t s
o f Amway are world class product quality. They are made up of natural a thing thats why they
are good for health and environment. Amway covers a wide range of products from beauty care.
Health care, to clothing, and daily use products etc. the products are costly as compared to
other branded products available in market but if we compare the quantity while using the
products require less amount and thus can be used for longer time.
The development in the field of science and technology accompanied by updated media
in very quick in creating awareness about the changes in all fields including personal and health
care products amongst the consumers. As a result the consumers do not mind giving up their old
products and taking up a new product. Today there is no consumer who is a slave for any
product. The number of brands available is also increasing, in its place of old products consumer
prefers to use new branded products like Amway.
Company should have a careful watch over the dynamic customer behaviour and come
out with a new products are update its existing to be more successful.
The study on customer satisfaction towards Amway products has revealed that
most of the respondents switch over their preference to other brands due to higher price and lack
of awareness about Amway products. Hence to maintain the brand image of Amway Company
the prices of the products should be reasonable and moreover it must be affordable to buy its
products by all consumers.
If Amway products are sold at the rock bottom prices then choosing of Amway products really
make sense
90
BIBLIOGRAPHY
91
BIBLIOGRAPHY
JOURNAL
WEBSITES
www.google.com
www.amwayindia.com
www.reviews42.com
www.scribd.com
www.asianjournal.com
92
93
SNO
11
12
13
14
15
16
17
18
19
PARTICULARS
STRONG
LY
AGREE
AGR
EE
NEUTR
AL
DISAGR
EE
20. ARE YOU AWARE ABOUT ALL ASPECTS RELATING TO AMWAY PRODUCTS
A) YES
B) NO
C) NOT SURE
21. SOURCES OF AWARENESS
A) DISTRIBUTORS
B) FRIENDS
C) RELATIVES
D) ADVERTISEMENT
94
STRONGL
Y
DISAGRE
E
CRITERIA
RANK
PRICE
PACKING
INGREDIENTS
ECO-FRIENDLY
DISTRIBUTOR SERVICES
BRAND IMAGE
24. RANK THE AMWAY PRODUCTS ACCORDING TO YOUR CHOICE AND PREFERENCE
PRODUCTS
RANK
PERSONAL CARE
ORAL CARE
BEAUTY CARE
HEALTH CARE
HOME CARE
95
HIGHLY
SATISFIED
SATISFIED
NEUTRAL
BRAND
PRICE
QUALITY
EASYAVAILABLI
TY
OFFERS
THANK YOU
96
DISSATISFIED
HIGHLY
DISSATISFIED