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DECLARATION

I hereby declared that this project is developed entirely on the basis of our personal efforts made under the sincere guidance of our teacher. No portion of the work presented in this project has been submitted in support of any application for any other degree or qualification of this or any other University or institute of learning.

Customer Preference Towards Sunsilk Shampoo

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PREFACE
It is matter of great pleasure for us to complete the task for the preparation of this Project. we want to mention here that despite an assiduous proof reading some misprint and inaccurate wording might have crept in for which we are responsible and well be thankful to readers who point them out. Any suggestions for improvement will also be greatly appreciated.

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1.0 INTRODUCTION 1.1 Background 1.2 Research Problem 1.3 Research Objectives 1.4 Research Questions 1.5 How You Will Benefit From This Report 2.0 LITERATURE REVIEW 3.0 METHODOLOGY 3.1 Conceptualizing frame work 3.2 Operationalization of variables 4.0 PRESENTATION OF FINDINGS 4.1 No. of times that the respondents use Sunsilk shampoo per week 4.2 What respondents think about the price levels of Sunsilk Shampoo? 4.3 Indicated levels of agreement for selected statements 4.4 Do you like the color of currently using Sunsilk shampoo? 4.5 What do you expect by using a shampoo? 4.6 How satisfied are you with Sunsilk to meet your needs? 4.7 What influence you to buy Sunsilk? 4.8 Which size customers mostly like in purchase? 4.9 Do you think there should be a separate product line for Men and Women?

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5.0 FINDINGS AND DISCUSSION 5.1 What is the average level of preference towards Sunsilk shampoo? 5.2 What is the relationship between the affected reasons and the level of preference? 5.3 What are the potential benefits that customers expect from Sunsilk shampoo? 6.0 CONCLUSIONS AND RECOMMENDATIONS 7.0 BIBLIOGRAPHY

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1.0 1.1

INTRODUCTION Background This report takes an overview of the research that conducted in order to identify the preference level of customers towards Sunsilk shampoo as a brand. When it comes to brands of shampoo in Pakistan, Sunsilk has been considered as Pakistans No.1 shampoo brand for its capabilities to provide longer, smoother and straight silky hair. This brand is also the strongest brand in Asia and it is said to be available over 80 countries all over the world. The brands most recent marketing campaign is the co- creation collaboration in which 7 hair experts around the world would answer to every hair issues and come up with the best solutions for the problem. The new range of products is as follows: Sunsilk dream soft and smooth Sunsilk hair fall solution Sunsilk damaged hair re construction Sunsilk Stunning Black Shine

Sunsilk believes that the secrets to beautiful hair should not be locked behind the salon door. So they have worked with seven internationally renowned hair experts to create salon quality products for every one.

1.2

Research Problem To study customer preference level towards sunsilk shampoo.

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1.3

Research Objectives To determine the average level of preference towards Sunsilk shampoo. To identify the effective reasons for the determined level of preference. To identify the most significant variable affect for the level of preference. To identify the relationship between the affected reasons and the level of preference. To recognize the potential benefits that customers expect from Sunsilk shampoo.

1.4

Research Questions What is the average level of preference towards Sunsilk shampoo? What is the most significant variable affect for the level of preference? What are the potential benefits that customers expect from Sunsilk shampoo?

1.5

How You Will Benefit From This Report Since this report provides detailed consumer insights into Sunsilk shampoo it is an invaluable resource to executives, organizations looking to make marketing decisions. This report is an important tool to companies in the natural & organic personal care products market. It provides detailed insights into consumer preference and expectations towards these products. The report gives a thorough understanding of consumer preference, enabling companies & retailers to develop marketing programs, distribution strategies and position products.

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Marketing managers & executives to identify consumers needs, wants, preferences and expectations. Such information can enable successful marketing programs and promotional activities to be developed that meet consumer hot spots. 2.0 LITERATURE REVIEW The literature review section reveals that the used variables are abstracts from the prevailing theories and the previous related researches. Those abstracts are clearly shown here and it supposes that this research is not biased. Theory of Consumer Decision Making Process This theory says that how the customers decide to purchase products. According to this theory consumers can be divided in to three categories based on their ways of decision making. They are Extensive problem solving, Limited problem solving, and Routinized response behaviour. At the level of Extensive problem solving, consumers need a great deal of information to establish a set of criteria to be considered when preferring for a specific brand. At the level of Limited problem solving, consumers have already established the basic criteria for evaluating various brands but they search for more additional brand information to discriminate among various brands of a product category. Routinized response behaviour talks that consumers have experience with the product category and a well established set of criteria with which to evaluate the brands they are considering. They simply review what they already know. Apart from that, this theory also describes four models of consumers with different views .First one is economic view .Under this view consumer is considered to be a rational person in terms of being aware of all available product alternatives and ranking those alternatives according to the benefits and advantages and identifying the best alternative.

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Next, cognitive view .it says that a consumer is a problem solver. Consumers search for goods that fulfill their needs and enrich their lives. Preference Formation Model (PFM) Preference is formed when the customer is bonded to your company through the establishment of a mutual benefit. Successful companies therefore go beyond delivery of a commodity or service; they pursue the development of a relationship with their customers. This bonded relationship will be more likely to survive competitive attacks than the mere purveying of goods or services or an over reliance on aggressive pricing models. One of the components of the Preference Formation Process is the development of a Preference Formation Profile. This profile breaks out the required attributes of each stage of preference formation. The profile further differentiates the required attributes of preference into emotive or functional attributes and defines each as attractor, satisfier or expectant. The PFM results in a likelihood of preference formation index (PFI) which represents the strength of preference for a given product/service. We have found that the preference formation index (a standardized score ranging from one to one hundred) can range dramatically given the market and population under consideration. When the index is weak (seventy-five or below) it means that while the elements of preference are in play there is a reasonable amount of indifference toward the preference target. R.L. Oliver (1994) observed that customer satisfaction results from a process of internal evaluation that actively compares expectations before purchase of a product or service with perceived performance during and at the conclusion of a purchase experience. The deployment of the theory of reasoned action as a model for preference formation explains why such evaluation takes place. Satisfaction is a product of the alignment between prescribed functional and emotive performance

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elements and the ability of the company to meet the performance expectations. Sustained preference is a product of meeting these requirements over time. What we have referred to as functional and emotive performance elements Oliver defines as evaluative elements (expectants, satisfiers and attractors) that, in turn, comprise a single product or service evaluative experience. Sustained preference can be thought of as a series of experience interactions that are continuously being modified as the components of preference are modified over time. Gregory S. Carpenter and Kent Nakamoto (1989) explain in their research that consumer preference towards a product may differ because of the product attributes. They say that the learning process of the customers form a preference towards particular brand. First customers have a trial purchase and if the customers are satisfied with the product attribute customers repurchase the product and doing so the preference is formed. As a result, consumer preferences are likely to evolve through time, updated through heuristic judgment processes. Leon Schiffman and Leslie Kanuk.(2009) expresses in his book consumer

behavior the application of the Theory of Reasoned Action Model. The model is designed to provide a better understanding of how consumer preference is formed and, correspondingly, to provide the means to accurately predict consumer preference behavior. The important contribution of the reasoned action model is the realization that consumers utilize the model in all purchase experiences to a lesser or greater extent. Of equal importance is the realization that the components used to make a preference decision are also the ones employed by a consumer to evaluate the performance success of the product or service purchased and the company responsible for them. Therefore, as the components of preference change, the elements influencing satisfaction change accordingly. The relationship is dynamic and fluid therefore static or predetermined satisfaction analytic packages often miss the most important elements of preference and can create a false sense of security

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on the part of companies who think that since their customer satisfaction scores are high they must in turn have relatively loyal customers.

3.0

METHODOLOGY

Type of the research conducted is a descriptive research, in which the major objective is to identify and describe the level of customer preference towards Sunsilk shampoo. The respondents who were taken into account in terms of gathering information were randomly selected. The respondents were selected using a non probability sampling technique, which is known as convenience sampling technique. The respondents were selected based on the researchers convenience. The population which was selected were students from Institute of Business Management Sciences of MBA 2nd semester in University of Agriculture Faisalabad. The population was about 400 students including Male and Female, The selected sample size was 40 respondents. Well prepared questionnaire was used in terms of gathering information. The questionnaires were distributed among the Sunsilk shampoo preferred customers.

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3.1 Conceptualizing frame work

Independent variables price Attribute Need Knowledge Promotion

Dependent variable

Customer preference towards shampoo

3.2 Operationalization of variables

Concept

Variables Price

Indicators High price value for money affordable price fragrance package colour Smoothening of hair To prevent hair fall To avoid dandruff To reconstruct damaged hair

Measurement Nominal scale

Attribute Customer preference towards Sunsilk shampoo

Likert scale

Need

Nominal scale

Experience Knowledge information promotion advertising

Nominal scale nominal scale

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4.0

PRESENTATION OF FINDINGS

4.1 No. of times that the respondents use Sunsilk shampoo per week

Usage in a Week
18 16 14 12 10 8 6 4 2 0 16 14

6 4

Usage in a Week

once a week

two times a week

three times a week

more than three times

Most of the customers that are 16 customers use shampoo three times a week. It shows that customer consumption is at a higher level. As the customers are satisfied with their needs they prefer to use Sunsilk more. There are also a considerable number of customers using Sunsilk more than three times a week.

4.2 What respondents think about the price levels of Sunsilk Shampoo?

Views about Price


8% 7%

high price Value for money Affordable


85%

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Most of the customers that are 85% think that the price of Sunsilk is actually affordable.. They think so because Sunsilk satisfy their need at a reasonable cost. Therefore customers never hesitate to buy Sunsilk shampoo again and again. It increases the level of preference and it causes an increase in sales too

4.3 Indicated levels of agreement for the following statements:

I like the Fragrance


20 18 16 14 12 10 8 6 4 2 0 20 17

2 1 0

I like the Fragrance

Strongly Agree Neither Disagree Agree Strongly agree disagree nor Disagree

. A large number of customers prefer the fragrance of Sunsilk shampoo, 37 customers that is 93% of customers prefer Sunsilk fragrance while 3 customers (7%) do not rely on fragrance.

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bottle of Sunsilk shampoo is very convenient to use


25 20 15 10 5 0 24 8 5 3 0 bottle of Sunsilk shampoo is very convenient to use

8 customers (20%) strongly agreed and 24 customers (60%) agreed with the given statement and it shows that they prefer the current package of Sunsilk shampoo, but some Considerable numbers of customers do not care about the package. That is 8 customers (20%).

I check the ingredients of Sunsilk shampoo when buying


16 14 12 10 8 6 4 2 0 15 11 7 4 3 Strongly Agree Neither Disagree Agree Strongly agree Disagree nor Disagree I check the ingredients of Sunsilk shampoo when buying

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Customers are intelligent and now they put a considerable amount of effort in identifying healthy products. It is shown in the above chart.11 customers that is28% strongly care on ingredients while 15 customers (38%) also check the ingredients of Shampoo. Remaining 14 which is (34%) dont check the ingredients while purchasing.

Average preference level of Fragrance, package and ingredients

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

93% 80% 65%

Fregrance
Packaging Ingredients

Fragrance

Packaging

Ingredients Packaging Fregrance


Ingredients

The overall conclusion regarding these three variables Fragrance, package and ingredients shows the customers are affected by these three variables to prefer for Sunsilk shampoo. It shows that 86%(Fragrance), 70%(Packaging), and 74%(Ingredients) of the sample customers prefer for those variables and it led for a higher preference level.

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4.4 Do you like the color of currently using Sunsilk shampoo?

Color Liking
7%

Yes
No

93%

This statistics show that the customers prefer the color of currently using Sunsilk shampoo brand. That is 37 customers (93%). But (7%) of customers need to have another color instead of current color these customers had mentioned that they prefer to have shampoo in Green and White colors.

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4.5 What do you expect by using a shampoo?

18 16 14 12 10 8 6 4 2 0 6

16

8 6 4

Smoothening of Hair Black Shiny Hair To Prevent Hair Fall To Avoid Dandruff To Construct Damage Hair

The above figure shows the types of needs the each customer expects from a shampoo. Most of the customers that is 16 customers (40%) expect to have Black Shiny hair and secondly 6 customers(15%) use for Smoothening hair. Sunsilk satisfies both these needs through their products Sunsilk Dream Soft & Smooth and Sunsilk Black Shiny Hair. So it reflects that customers prefer to buy Sunsilk because Sunsilk satisfy their needs.

4.6 How satisfied are you with Sunsilk to meet your needs?
Customers are satisfied with Sunsilk to meet their needs. (20%) say that they are very satisfied and majority (68%) say that they are satisfied. This says that as the customers are well satisfied and therefore they prefer to buy Sunsilk very much.

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In the same manner there are 2 customers (5%) that have still no satisfaction of Sunsilk. But it is inconsiderable in comparing to the number of customers that are satisfied with Sunsilk. There are

also 3 customers who are neither satisfied nor unsatisfied. It might be due to the affecting variable for them to buy. Because some customers show in the research that they dont pay attention to the need satisfaction.

Very Satisfied
0 5% 7% 20%

Very Satisfied
Satisfied Neither Satisfied nor Unsatisfied Unsatisfied Very Unsatisfied

68%

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4.7 What influence you to buy Sunsilk?

25 21 20

15

Advertising Friends and Neighbours


9 6

10

Promotion Campaigns Self experience


4

Advertising

Friends and Neighbours

Promotion Campaigns

Self experience

This figure shows that 21 customers prefer to buy Sunsilk because of their self experience which is 53%, and 4 customers uses Sunsilk because of the recommendations given by the friends and neighbours which is 10%. Advertisements also have an effect on consumer preference as 9 customers like the advertisement of Sunsilk which is 23% of total,6 (14%) customers like promotion campaigns of Sunsilk.

4.8 Which size customers mostly like in purchase?


Most of customers (20) like to purchase 200ml bottle which are 50% of total,9 customers (23%)like to purchase 100ml bottle and 7 customers (17%) like to purchase 400ml size of Sunsilk bottle, 1 customer also voted for satche, 3 customers have not answer the question.

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Sizes
25 20 15 10 5

20

Sizes

9
1

Satche

100ml

200ml

400ml

4.9 Do you think there should be a separate product line for Men and Women?

Openion about Separate Product line


12%

Yes No

88%

88% customers think that there should be a separate product line for Men and Women, 12% dont think that there is a need of separate product line.

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Figure 4.1 to 4.9 presented the analyzed data and information gathered from the questionnaire. The next part will show how the information supports to get answers for the following research questions and the findings of this research. What is the average level of preference towards Sunsilk shampoo? What are the effective reasons for the determined level of preference? What is the most significant variable affect for the level of preference? What is the relationship between the affected reasons and the level of preference? What are the potential benefits that customers expect from Sunsilk shampoo?

5.0

FINDINGS AND DISCUSSION

5.1 What is the average level of preference towards Sunsilk shampoo?


100% 92% 90% 80% 80% 70% 60% 50% 40% 30% 20% 10% 0% 38% 65% 53% Price Fragrance Packaging Need satisfaction Color Ingredients Past Experience

93% 88%

93%

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5.2 What is the relationship between the affected reasons and the level of preference?

Price
When it comes to price customers preference level is high because of the affordable price levels of Sunsilk. 93% gave an opinion that the price of the Sunsilk is affordable and benefits are in proportion with cost. 60% of customers dont consider the price while purchasing Sunsilk.

Fragrance
A large number of customers prefer the fragrance of Sunsilk shampoo. 93% customers prefer Sunsilk fragrance while 7% customers do not rely on fragrance. This shows that fragrance has a significant effect on the preference level of customers towards Sunsilk.

Package
20% customers strongly agreed and 60%customers agreed that it is convenient to use the bottle of Sunsilk shampoo. It shows that they prefer the current package of Sunsilk shampoo, but some considerable number of customers does not care about the package, that is 20%customers. customers dont give high priority to the package in buying Sunsilk but they like packaging.

Need satisfaction
20% say that they are very satisfied and majority 68% says that they are satisfied. This says that as the customers are well satisfied and therefore they prefer to buy Sunsilk very much. 8% of customers are neither satisfied nor unsatisfied and only 4% customers are unsatisfied on the basis of need satisfaction.60% of customers purchase Sunsilk due to need satisfaction.

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Color
93% customers prefer the color of currently using Sunsilk shampoo brand. But 7% of customers need to have another color instead of current color. Most of those customers had mentioned that they prefer to have shampoo in white and Green colors. Overall 53% of customers consider the color of shampoo when buying Sunsilk.

Ingredients
Customers are intelligent and now they put a considerable amount of effort in identifying healthy products. 28% customers strongly care on ingredients while 38% customers also check the ingredients of Shampoo.34% of customers dont check the ingredients. Overall 38% of customers take into consideration the ingredients while purchasing a shampoo.

Past experience
53% of customers prefer Sunsilk because of their past experience .They believe Sunsilk provides enough satisfaction so they prefer to buy Sunsilk. Overall 23% of customers take into consideration the past experience while purchasing a shampoo.

Promotion
Only 20% of customers influenced by promotions while making decision to purchase a shampoo. Overall only 23% customers prefer Sunsilk due to advertisement.

5.3 What are the potential benefits that customers expect from Sunsilk shampoo?

Most of the customers had mentioned that they are really satisfied with Sunsilk. Customers are satisfied with the new co creation and they believe that Sunsilk satisfy their all hair problems. But majority wanted

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