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1. Individual items are of small value Factors that enable small, unorganized
(small SKU's) although all FMCG players with local presence to flourish
products put together account for a include the following
significant part of the consumer's
budget. ‰þasic technology for most products is
fairly simple and easily available.
2. The consumer spends little time on the
purchase decision. He seldom ever ‰The small-scale sector in India enjoys exemption/
looks at the technical specifications. lower rates of excise duty, sales tax etc. This makes
them more price competitive vis-a-vis the
3. Limited inventory of these products organized sector.
(many of which are perishable) are kept by ‰ A highly scattered market and poor transport
consumer and prefers to purchase them infrastructure limits the ability of MNCs and
frequently, as and when required. national players to reach out to remote rural areas
and small towns.
4. þrand switching is often induced by
‰Low brand awareness enables local players to
heavy advertisement, recommendation of
market their spurious look-alike brands.
the retailer or word of mouth.

.0 
 #1 23

a)India is home to six million retail outlets, including 2 million in
3,160 towns and four million in 627,000 villages.
b) Since retailers are reluctant to allocate slow moving items
important factors for the FMCG ͚s to success are the ability to build,
develop, and maintain a robust distribution network.
),*p*5,##'0*%&,p*%')
‰ Less developed infrastructure.
‰ In rural markets, brands are non-existent. They identify FMCG by three
things -primarily by color, visuals of animals and birds and by numbers.
‰ Low education level.
To do proper marketing of their products FMCG companies needs to
educate the consumers. So if you have to create
brandcommunication, marketing efforts must be supported by education.
‰ Longer credit period requirement.
‰ Rural retailers are far less specialized than their urban counterparts and
carry a wider range of products. Since frequent delivery is not possible in
their part of the world, they tend to carry only a single brand in each
product category & usually, the brands that are first on the rural shelves
become synonymous with product category and are difficult to dislodge
%)
/ 
Marico is a leading Indian Group in Consumer Products and Services in the
Global þeauty and Wellness space. Marico markets well-known brands
such as Parachute, Saffola, Sweekar, Hair & Care, Nihar, Shanti
amla, Mediker, Revive,Manjal, Kaya, Sundari, Aromatic, Camelia, Fiancee
and HairCode.
a)Distribution channel
b)Sales hierarchy
# / 6
Marico has been the undisputed market leader in the hair oil, anti-lice
segment. The brand equity of this FMCG Company is one of the best in the
market. þut, over sometime, the company has been facing lots of threat
from other hair-oil companies like þajaj almond
drops.Dabur,shalimer&vasmol in the light hair oil segment.In this
context, the project was undertaken for, competition mapping&to
determine the existing market size of Hair-oils .
*p*%0*'0)),)(
a) RESEARCH APPROACH:-
1. Primary data collected by the survey method.
2. Secondary data collected by surfing the Internet, Organization records, etc.
b)RESEARCH INSTRUMENTS:-
1. Detailed Questionnaire Method
2. Informal face to face interview method
c)SAMPLING PLAN:-
Sampling Unit :-Retailers.stockists,consumers
Sample size :-190 outlets,100 consumers
Sampling Procedure :-Questionnaire, personal interaction & Secondary data.
Research Area: - Markets studied
Golaghat
Dergoan
Amguri
Nazira
þokakhat
Dimow
Titabar
 Research objectives:-

‰ Competition mapping of the hair-oils category with special reference to

a)hair&care,þAD,Clinic all clear
b)Parachute jasmine,þajaj jasmine,Vasmol jasmine.
c)Parachute,shalimer,paragon&fortune coconut oils
‰ To understand customers response to the small packs-20ml,50 ml,75
ml,100ml.
‰ To know the availability of coconut oils in the rural markets
Companies under study:-
‰ þajaj Almond Drops
‰ Vasmol jasmine
‰ Paragon
‰ Shalimer
‰ Fortune coconut oil.
 $##p7#,(pp
‰ Availability of marico product is 92%.
Availability of Marico products in
)  # 
 the markets
Keep marico product 174 Outlets keep Marico products

Donot keep marico 16 Outlets do not keep marico products

8%
products
Total outlets 190 92%

‰ Reasons for not keeping Marico products-

   2/ #   

 /   $ 
8
No sales person(PSR or 7  9

sales person from / 
stockist)visit /   
Inadequate credit facility 4 2/ /  
  1
/ /
Delivery issue 5
97 :
Total outlets 16
 ./    

*' #))$)&',*'p&%0p*$) TOTAL   / 
‰ aaa  
STOCKIST WHOLESELLER OUTSIDE THE
Underutting of rate
TERRITORY
Less offering in scheme
GOLAGHAT 25 29 54
No credit facility
No sales persons visit
NAZIRA 15 20 2 37
No cash discount
AMGURI 5 3 7 15
13%
TITAþAR 15 11 3 29
6%
þOKAKHAT 8 6 14

DIMOW 7 4 2 13 50%
19%
DERGAON 6 2 4 12

PURCHASED MARICO PRODUCT FROM OUTSIDE 16 174

THE TERRITORY
12%

From the above table it is observed that in the Amguri market

most retailers purchases from outside the territory,followed by Undercutting of rate is the major
Titabar&Dergoan.
reason for the retailers for
purchasing out the territory
.$    9   
/  

When I asked that is profit margin is important for them to motivate that
customer to buy that brand, then 81% said that profit margin is an important
factor&the rest of 19% said no.

Factor that motivate a the retailer

No
19%

Yes
81%
 -.1       
3)b)When I asked the 62% retailers
3.a)When I asked retailers about brand what coconutoil brand the most
awareness of coconut oils among the consumers customers specifying for when they
then 62% said that yes, customers coming to my come to your shop,then 67% said
shop specifying the name of the particular that customers come to my
coconut oil. specifying the name of
parachute,17% said shalimer.

þrand awareness of coconut oils

YES NO

þrand awareness

paragon
38% 4% others
12%

shalimer
62% 17%
Parachute
67%
 -.9
    /  / 
þRANDS PARACHUTE SHALIMER PARAGON FORTUNE CLINIC PLUS TOTAL
COCONUT OIL
OUTLET

VISITED
MARKET A þ C Total A þ C A þ C A þ C A þ C

GOLAGHAT 4 20 30 54 2 5 2 3 2 55

NAZIRA 2 12 23 37 1 1 3 3 2 40

AMGURI 2 3 20 25 2 2 2 2 1 15

TITAþAR 3 5 1 9 1 3 1 3 1 1 30

þOKAKHAT 2 4 8 13 2 3 2 15

DIMOW 1 5 7 13 1 2 1 15

DERGAON 2 6 4 12 2 1 2 2 2 15

A=A class outlets= 4500< MONTHLY SALES

þ=C category outlets= 2000< MONTHLY SALES< 4500

C= C category outlets=MONTHLY SALES< 2000

From the above availability table it can be said that the availability of parachute in the
different outlets is much better than its competitors brands.
 4)Promotions of various perfumed hair oil companies in the rural market

.  9 
66  
.;//     
 / /  :
 '.9
 /  <807%8% .  2
#p 0# ==,)#)p %,#%,,%,*
w %*
MARKETS A þ
 C A
þ C A
þ C

AL AT         
  
NAZIRA        8 

TITAþAR   5  5    8
DER A
N   8   9  
þ KAK AT   7  5 7  

AM URI   9     
DIM W   6   8   7



5

 AL AT

5 NAZIRA
TITAþAR A=(A category outlets)= 5 <
 M NT LY SALES
DER A N
5
þ KAK AT þ= (þ category outlets) = <
 M NT LY SALES< 5 
AM URI
A þ C A þ C A þ C
DIM W C=(C category outlets)= M NT LY
CARE SALES< 

AIR AND þAJAJ ALM ND DR PS CLINIC ALL CLEAR

Availability of &C is found highest in olaghat in the outlets including A category,þ category,C category followed by
Nazira. The availability of hair&care is found lowest in Dimow,followed by Dergoan. n the other hand the availability of
bajaj almond drops is found highest in the outlets at the different markets as compared to hair &care.
>.% /9  66  /8% 07% / 8   8 

#p 66  07%  % 

  <. <.  <. $##p
 / .p
& 9 
sku If Ifcontain Ifcontains 66    /
contains, th    07%
en ͞Y͟ s,then ͞Y͟ ,then ͞Y͟
 %  :
If don͛t If don͛t If don͛t
contain, th contain, th contain, .%   
en ͞N͟ en ͞N͟ then ͞N͟ 66  
Consumer 20 ml N 10  /8 % 
offer   
50 ml Y ,Godrej 24 N 20
07%:
soap
75 ml Y ,Chinthol 38 N 35 . 
soap  66  
100 ml N 42 Y,20% extra 35  /8 % 
150 ml 75 N 55   
07%:
200 ml N 100 Y,20% extra 60
p  /
Trade offer 20 ml N

 
50 ml N N  / 

75 ml N   
 / 
100 ml N N   
150 ml N   
    
200 ml N N    .
Retail 10% 9% 10%
Margin
Cash 1.5-2% 1.5% 2%
discount

'
2 1
  p

&


7)þrand awareness
.When I asked retailers about brand awareness of
perfumed hair oils among the consumers then 56%
said that yes,customers coming to my shop
specifying the name of the particular perfumed
hair oil brand.the brand awareness among the
consumers is low from the retailers prospective.

)From the 44% retailers to where most
brand aware customers specially come,63%
said that customers coming to their shop
asking bajaj almond drops .So we can say
bajaj almond is the most preffered brand.

þrand awareness
brand awareness
clinic all clear
6%

YES hair&care
44% 31%
bajaj amond
NO
drops
56%
63%
 Monthly sales of Hair&care,bajaj almond Drops&clinic all clear
  < . % 
<# %'*)()&',*'p. 
*'p

# GOLAGHAT þOKAKHAT DIMOW TITAþAR DERGOAN AMGURI NAZIRA Above 4500
H&C 800 200 200 120 400 450
A
þAD 1600 500 400 1400 500 1000 900
CLINIC ALL þetween
CLEAR 300 100 120 90 200 180 2000&4500
þ
TOTAL 2700 800 400 1720 710 1600 1530
þelow 2000
<#   . 
*'p C
# GOLAGHAT þOKAKHAT DIMOW TITAþAR DERGOAN AMGURI NAZIRA

H&C 200 100 100 80 90 100 150

p 

9 
þAD 480 300 200 400 250 400 420
07%?0
CLINIC ALL
CLEAR 100 80 50 40 70 50 90 ?
66  
TOTAL 780 480 350 520 410 550 660  /
p2 ? 22/
<#%%'*)()&',*'p.
*'p

# GOLAGHAT þOKAKHAT DIMOW TITAþAR DERGOAN AMGURI NAZIRA

H&C 100 80 60 40 40 80 100

þAD 340 220 120 220 150 300 260

CLINIC ALL
CLEAR 60 40 35 35 40 50

TOTAL 460 360 215 295 190 420 410

 ?
  


     
   
  




 
    
 
 


 
  
      
           

  
  
 

  
     

p 2 ),0'

*'
%,%&,')#)$
*'p0*
Very high Golaghat
sale Total monthly sale is calculated in terms of the brand sold in the
High sale Nazira respective outlet .
Moderate sale Titabar
Total outlet covered in the Golaghat market =55
Low sale Dergoan
Among the outlets surveyed I have found that 54 outlets keep
both þAD,H&C and33 outlets kept Clinic all clear.
# 5**p,* 5**p,*)$ 5**p,* p,*#'*p)$5,,'(
#'0*%,pp %'*)( )$%%'*)(
*',)&',*'p )&',*'p )&',*'p <9

  .@<9.

H&C 800 200 100 4*800+20*200+30*100=10200

þAD 1600 480 340 4*1600+20*480+30*340=26200

CLINIC ALL CLEAR 300 100 60

3*300+20*100+10*60=3500
TOTAL SALE=39900

MARKET SAHRE OF þAD=(Sale of þAD/total sale)*100=(26200/39900)*100=66%    /
  
MARKET SHARE OF CLINIC ALL CLEAR=(3500/39900)*100=9%    /
  
MARKET SHARE OF H&C=(10200/39900)*100=25.56%
    /%
  
#A
*'

*'p0*)$07%?<p 07% ' .@4!!
?<BB!! 4C!.@4!!
?BD

*'p0*)$?<4C! 4C!.@4!!
?"D

*'p0*)$%,#%,,%,*?<4B!! 4C!.@4!!
?>D

*)#
*'<'   9  2?B!.

*'p0*)$07%?<p 07% ' .@4!!
?<>4! -4!.@4!!
?!D

*'p0*)$?<!! -4!.@4!!
?>D

*'p0*)$%,#%,,%,*?<-!! -4!.@4!!
?CD


*'p0*)$07%?<p 07% ' .@4!!
?<4-! 4'>!.@4!!
?44D

*'p0*)$?<p   .@4!!
?<4!!! 4'>!.@4!!
?CBD

*'p0*)$%,#%,,%,*?<'! 4'>!.@4!!
?BD

From the above calculation it is found that þajaj almond Drops is the market
leader.
   E   /    <07%.866    /./  1  
  
I have made a cross tabulation of quantity perfumed hair oil purchased&their monthly sales in the
outlet.After that I have made chi-square test assuming the null hypothesis:-there is no significant
between quantity purchased by the retail outlet & monthly sales of the respective outlets

9)Analysis regarding quantity of perfumed hair oil (H&C),þajaj Almond Drops)purchased with Monthly sales of the outlet:
I have made a cross tabulation of quantity perfumed hair oil purchased&their monthly sales in the outlet.After that I have
made chi-square test assuming the null hypothesis:-there is no significant between quantity purchased by the retail outlet &
monthly sales of the respective outlets.
For hair&care(H&C)
Quantity purchased for H&C * Monthly sales

V


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 (-   ! " 
.  ( (.    (

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"$!
( %" ( (0%%$21($(3" ( (((% (5  ( (   ( 
(

(  ( ( 
(!!!(3"  ( ((!4   

Interpretation
From the above the chi square test it is found that the value of Pearson Chi-square is 0.000,which is less than 0,01,thus
rejecting the hypothesis we can conclude with 99 percentconfidence level that there is a significant relation between the monthly
sales in the outlet &the quantity purchased for H&C.
The contingency coefficient which is found to be .574 is more than 0.500 and less than1. This indicates that the relationship
between the variables selected very strong. And significance level of 0.01 indicates that the relationship holds true.
 % 
 
V 
V
V

V

   (
   (
 (-#
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 (- #
 !% (

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(!%  
# (
(!%   +
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+
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( "4( (" 4  4 !"
"4 (" #!  ! 4$ "&( (#! #" #" 4 !%
"&( (#! " # " #%( (4 "& "4 ! 4$
#% 4 " 4 " % 4"( (4$ # %
4"(( (4$ 4 $ &  " ! "$ "
 " !4 "! "$!

From the above cross tabulation it is seen that 2

((  (
(   (
retailers having their monthly sales below 2000 mostly ((( (
 
( (
( (
purchase 13 to 18 pcs.The retailers having income level  ( ( 666( (
 (6( ( (
 ( ( ( ( ( 7(?
 
(
more than 4500 usually purchase31 to 36 pcs. The
 ( ((
( ( 66( (
retailers having monthly sales in between2000&4500 
  ( ( ( ( ((
most purchase 19 to 24 pcs of þajaj Almond Drops.Thus  ( ( (
 
 (( (
it can be concluded that a retaler having high monthly  ( ( (
 (
(
sales going to purchase more pcs.

/ 
9 

(((

(  ((
(   ( (
 
( ( ( ((( 666 66(
 (

( ( ( (
((    (
( ( 
(
·
'  1 9
There is no significant difference in the the mean ratings given by the consumers in
the different skus of H&C.

|
|

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  #

!
 " !
$



      

    
   

#'**'')#

Since the significant value is less than0.001,we can said that there is a significant difference
between the ratings given by the H&C users in the different skus of H&C.

H&C users
50 ML 100ML 200 ML From the above
observation it can be said that 50
17% ml is the most preffered sku of
50% H&C among H&C users.
33%
 % /   6 

p2 </  MRP R.M. RATE TO RETAILER PRIMARY SCHEME SECONDARY SCHEME NET RATE IN
6. CARTON
50 ml 14 9% (14/1.09)=12.84 6 4 12.34

100 ml 29 9% (29/1.09)=26.60 6 4 25.61

200 ml 49 9% (49/1.09)=44.95 6 4 42.9

þajaj jasmine Scheme Net rate

50 ml 18 10% (18/1.10)=16.28 5% [16.28-(16.28*5%)]=15.4

100 ml 34 10% (34/1.10)=30.90 5.20% [30.9-(30.9*5.2%)]=29.2

200 ml 65 10% (65/1.10)=59.09 5.20% [59.09-(59.09*5.2%]=55.9

SKU(Vasmol MRP R.M. RATE TO RETAILER SCHEME Net rate

jasmine)
20 ml 7 10% (7/1.10)=6.36 One piece free with 6.36-0.56=5.80
one dozen
35 ml 10 10% 9.09 Do

50 ml 12 10% 10.9 Do

100 ml 26 10% 26.63 Do

 Comparison of offers
#p 66=  = 5 =

sku If contains, then ͞Y͟ If contains, then If contains, then

If don͛t contain, then
͞N͟ ͞Y͟ ͞Y͟
If don͛t contain, then If don͛t contain, then
͞N͟ ͞N͟
Consumer offer 20 ml N

35 ml N

50 ml N N N

100 ml N Y,20% extra N

200 ml N Y,20% extra

Trade offer 20 ml N

35 ml N One piece free with

every one dozen
50 ml N N One piece free with
every one dozen
100 ml N N One piece free with
every one dozen
200 ml N N

Retail Margin 10% 9% 10%

Cash discount 1.5-2% 1.5% 2%

 Market share of parachute jasmine
 

þrand Averagemonthly Average monthly Average monthly Monthly Sale

sale,A sale þ sale C Availability in the different category
outlets*average sale
Parachute 900 300 200 4*900+20*300+30*200=15600
Jasmine
þajaj 200 150 60 3*200+20*150+20*60=4800
Jasmine
Vasmol 500 170 80 2*500+20*170+20*80=6000
Jasmine
Total Sale=25400

Market share of parachute jasmine=61%

   /
  
Market share of bajaj jasmine=19%%    /
  

    /%

Market share of Vasmol jasmine=20%   

Findings from the other market it is sais that parachute is the clear market
leader.
   
‰ Value for money:-
Marico͛s strategy when it comes to consumer offer should be improved.During my market study I
have found that the competitors offer involving a free FMCG product (soap)along with the hair oil is
more alluring to consumers than offering 10% or 20% extra.
Thus Marico could explore a tie tie up with other FMCG segment &can offer both the product at a
discounted rate.This step will create a better pull for the product in the market.
‰ Increase the market coverage
In the rural market it has been found that the stockist does not have complete coverage of the
area as assigned to him due to lack of manpower&other financial problems.Marico could give
assistance to such stockists by proving a part time sales persons ,so that he can cover every corner
of his territory.This step will boost the sales for the Marico along with stokists.

‰ Incentives for retailers

The awareness among consumers,as he is the sole point point of contact with the end
consumers.In the most cases I have found that the retailers promote or takes initiatives to sell a
product which give him better profit margin as the brand awareness among consumer is very
low.So they should strengthen the secondary schemes or trade offers among the reatailers &also
provide better margins than competitors.
‰ Sales support
The sales support provided by the Marico is very low to boost the sale for the product.
Marico should take extra sale support initiatives to reinforce the sale.
The main competitor of H&C ,bajaj almond drops is adopting aggressive promotions
in the retailers to boost the sale.On the other hand Marico is lagging in such cases.They should also
give point of sale materials to retailers which will help to create consumer demand.
‰ Push strategy
Parachute is clerarly market leader in the in terms sale availability in the coconut oi segment .So
Marico should adopt push strategy place their low selling items in the retail outlets along with their
highest selling item Parachute.
‰ Increase in sku variety
The sku variety perfumed hair oils of Marico is found low as compared to its competitors So they
should increase the sku variety of the product to capture the greater volume of customer.
‰ Packaging
The packaging of the perfumed hair oils is found as compared to its competitors especially bajaj
almond drops. They should modified the packaging of their perfumed hair oils to attract more
customers towards their brand.
‰ Similer packaing adopted by its rival company
Rival FMCG brands using the similer packaging as tool to confuse the consumer in the rural
markets as usually they pay more attention to the external packaging of the product. So there may
be a chance or capturing Marico's market share specially in the coconut oil segment.
‰ Attractive USP
Marico should come with unique selling proposition strategy with each product of the hair oil
category,,like its competitors ..because usp ,in case of hair oils is found very weak as compared to
its competitors.
‰ þy increasing the volume of potential customers
From my market survey it is found that the potential users of coconut oils ae specially females&old
aged peoples.Marico shold target the childs to expand its market volume,because they hardly goes
for using hair oils.they should be targeted with well planned promotional strategy.
‰ Promotion of hair oils in the haats,melas
In the most of the market that I visited,has malas&haats in the evey weekend ,so the company
should adopt aggressive promotional campaign to allure the rural customers towards their brand.