CONSUMER BEHAVIOUR & TODAYS TRENDS REGARDING CHOCOLATE INDUSTRIES

A PROJECT REPORT SUBMITTED TO SIKKIM MANIPAL UNIVERSITY SIKKIM

IN PARTIAL FULFILLMENT OF THE REQIREMENT FOR THE AWARD OF DEGREE OF MASTEROF BUSINESS ADMINISTRATION

SIKKIM MANIPAL UNIVERSITY, SIKKIM

LAKHWINDER GIRI
ROLL NO

ACKNOWLEDGEMENT
Last but not least I am also thankful to all those people with whom I interacted during my project, all the respondents I am very grateful to MR AJAY SINGH, (sales manager) CADBURY COMPANY Ltd BADDI under whose guidance I did my project as a part of my MBA program. I am also like to express my gratitude toward Mr. VIRENDER CHAUDHARY(asst. sales manager of (CADBURY COMPANY Ltd BADDI) for his help and guidance which I need during the project. I am indebted to faculty of my college Dr Inderjeet, (HOD) of my college .I would also like to thank all the faculty members of the branch who helped me by providing assistance in making me to understand the basics of marketing trends in chocolate industries. from whom I collected the data for my study, without them it would not have been possible for me to complete my training successfully. Mere acknowledgement may not redeem the debt I owe to my parents and friends for their direct/indirect support during the entire course of this project.

LAKHVINDE R GIRI

INDEX
S.No. PARTICULARS

1. (a) (b) (c) (d)

2.

(a) (b) (c) (d) 3. 4. 5. (a) (b) (c) 6.

7.

INTRODUCTION History of Cocoa Industry. Chocolate market in India SWOT Analysis of Chocolate Industry. Market Share of Companies. MAJOR MARKET PLAYERS IN INDIA. Cadbury India Ltd. Nestle India Ltd. Amul India Ltd. Expenditure on Advertisements. REVIEW OF LITERATURE RESEARCH METHODOLOGY. MARKET SURVEY. Questionnaire analysis for consumers. Questionnaire analysis for Retailers. DATA ANALYSIS. LIMITATIONS FINDINGS AND SUGGESTIONS CONCLUSION BIBLIOGRAPHY ANNEXURES

8. 9. 10.

INTRODUCTION

CHOCOLATES

Chocolate and Cocoa : A Rich History

Chocolate comprises a number of raw and processed foods that originate from the seed of the tropical cacao tree. It is a common ingredient in many kinds of confections such as chocolate bars, candy, ice cream, cookies, cakes, pies, chocolate mousse, and other desserts. It is one of the most popular (or at least recognizable) flavours in the world. Chocolate was created by the Mesoamerican civilization, from cacao beans, and cultivated by pre-Columbian civilizations such as the Maya and Aztec, who used it as a basic component in a variety of sauces and beverages. The cocoa beans were ground and mixed with water to produce a variety of beverages, both sweet and bitter, which were reserved for only the highest noblemen and clerics of the Mesoamerican world. Chocolate is made from the fermented, roasted, and ground beans taken from the pod of the tropical cacao tree, Theobroma cacao, which was native to Central America and Mexico, but is now cultivated throughout the tropics. The beans have an intensely flavoured bitter taste. The resulting products are known as "chocolate" or, in some parts of the world, cocoa. Today, chocolate commonly refers to bars made from the combination of cocoa solids, fat, sugar and other ingredients. Chocolate is often produced as small molded forms in the shape of squares, animals, people, or inanimate objects to celebrate festivals worldwide. For example, there are moulds of rabbits or eggs for Easter, coins for Hanukkah, Saint Nicholas (Santa Claus) for Christmas, and hearts for Valentine's Day. Chocolate can also be made into drinks (called cocoa and hot chocolate), as originated by the Aztecs and the Mayas. In England, Samuel Pepys records in his diaries at least two entries relating to "jocolatte" as early as the 1660s. Later, in 1689 Hans Sloane developed a milk chocolate drink in Jamaica which was initially used by apothecaries, but later sold by the Cadbury brothers.

Chocolate dates back to ancient America when the Mayans, and later the Aztecs, ground the beans of the Theobroma cacao tree into a bitter beverage, which they prized for its mystical and medicinal attributes. Chocolates name comes from the Aztec word, xocalatl, which means bitter water. Corts, the conqueror of the Aztecs, brought the beans to Europe in the 1500s, where they were used to treat anemia, fever, gout, hemorrhoids, poor digestion, depression, and heart 6

ailments. Today, chocolate is usually a highly processed blend of chocolate liquor, cocoa butter (all fat), cocoa powder, sugar, emulsifiers, and milkfar different from its origins. White chocolate contains no real chocolate at allits just cocoa fat, sugar, and flavorings. Pleasure of consuming Part of the pleasure of eating chocolate is due to the fact that its melting point is slightly below human body temperature: it melts in the mouth. Chocolate intake has been linked with release of serotonin in the brain, which produces feelings of pleasure.A study reported on the BBC indicated that melting chocolate in one's mouth produced an increase in brain activity and heart rate that was more intense than that associated with passionate kissing, and also lasted four times as long after the activity had ended Research has shown that heroin addicts tend to have an increased liking for chocolate; this may be because it triggers dopamine release in the brain's reinforcement system. an effect, albeit a legal one, similar to that of opiates. Potential health benefits and risks Recent studies have suggested that cocoa or dark chocolate may possess certain beneficial effects on human health. Dark chocolate, with its high cocoa content, is a rich source of the falconoid epicatechin and Gallic acid, which are thought to possess cardio protective properties. Cocoa possesses a significant antioxidant action, protecting against LDL oxidation, perhaps more than other polyphone antioxidant-rich foods and beverages. Processing cocoa with alkali destroys most of the falconoid. Some studies have also observed a modest reduction in blood pressure and flow-mediated dilation after consuming approximately 100g of dark chocolate daily. There has even been a fad diet, named "Chocolate diet", that emphasizes eating chocolate and cocoa powder in capsules. However, consuming milk chocolate or white chocolate, or drinking milk with dark chocolate, appears largely to negate the health benefit. Chocolate is also a calorie-rich food with a high fat content, so daily intake of chocolate also requires reducing caloric intake of other foods.

Chocolate market in India

The size of the chocolate market in India is about 4,000 tonnes and is valued at Rupees 6500 million (US$ 130 million). Cadbury India has the biggest market share at 70 per cent while Nestle is the second largest at 20 per cent. Cadburys reaches 0.6 million retail outlets. Confectionary Unit 200607 163110 16.8 27000 8.5 Growth 200710 10 9 12 08 176170 18.5 30000 9.4 Growth 8 6 10 10

Sugar Confectionary / gums Tones (Volume) Sugar Confectionary / gums Rs (Value) Chocolates (Volume) Chocolates (Value) Billion Tones Rs Billion Chocolates is impulse category

The impulse category is finally driven by visibility and purchasing power of consumers. Traditionally, this is how products are positioned within the impulse category. First come soft drinks, which is a major market. They are followed by biscuits, sugar confectionery, ice creams and salted snacks. In the past, chocolate companies used to consider only the different brands in the chocolate market as their competitors. That was a mistake. In real life, chocolate products are fighting for a share of the consumers' pockets. They are facing competition not only from chocolates but also other impulse products such as soft drinks, biscuits, salted snacks and ice-cream. To maintain the share of the chocolate market in the impulse market, the chocolate industry has to make sure that it grows in line with the impulse market or grows faster than that. Since the share of chocolates in the impulse category is just six per cent, the opportunities are plenty here. Despite the fact that Indians have strong affinity for sweets, the size of domestic confectionery market is small on account of traditional consumer tastes and habits. The Chocolate market in India is a niche market penetrated largely in urban areas and per capita consumption is low as compared to those in developed countries of the West. As an addiction

Chocolate contains a variety of substances, some of which are addictive . These include:

Sugar: Chocolate bars (as opposed to cocoa) contain large amounts of sugar. Theo bromine: This is the primary alkaloid found in cocoa and chocolate, and is one of the causes for chocolate's mood-elevating effects. This mild stimulant belongs to the methylxanthine family, which also includes the similar compound caffeine, with which Theo bromine is frequently confused.

Anandamide: An endogenous cannabinoid. Tryptophan: An essential amino acid that is a precursor to serotonin, an important neurotransmitter involved in regulating moods. Phenethylamine: An endogenous amphetamine. Often described as a 'love chemical'. However, it is quickly metabolized by the enzyme MAO-B, preventing significant concentrations from reaching the brain. It can cause endorphin releases in the brain.

Caffeine: This stimulant is present mainly in coffee and tea. Exists in chocolate in very small amounts

SWOT ANALYSIS of Chocolate Industry

Strengths
Customers of chocolates are not price sensitive

The consumer is not price sensitive. But the category is price sensitive. Downgrading does happen in other FMCG products. Chocolate demand is however more a function of affordability. Demand growth depends on shifts in income pyramid. When the economy grows at a lower pace, the upward shift in income pyramid is slower. This affects the rate at which new consumers are added. But existing consumers, who can afford the product do not downgrade. When we introduce lower priced products in smaller sizes, we add to the consumer base. Our existing consumers do not start buying the smaller chocolates.

Weakness
Building a direct network of retailers i.e weakness of storage and logistics Chocolate needs to be distributed directly, unlike other FMCG products like soaps and detergents, which can be sold through a wholesale network. 90% of our products are sold directly to retailers. Building such a direct network in for distribution is a daunting task. Chocolates are not viewed as a snack food

Behaviorally, chocolates are still consumed as a chocolate and not as a filler. Perk still competes with a Dairy Milk and not with biscuits/ other snack foods. India is still far away from using chocolates as a snack food. The chocolate consumers need to have an offer that adds value before accepting chocolates as a snack. Because at the end of the day, how many Indians can afford a snack food priced at Rs16-17 for 50gms? Low levels of consumption Compared to Western countries, chocolate consumption in India is considered to be on the low side. Whilst per capita chocolate consumption is a buoyant 8 kilograms in the UK, it stands at a rather modest 165 grams in urban India.

Opportunity
Huge untapped urban population (middle class population) Chocolate consumption in urban India itself is low. There is a large untapped demand in urban market alone. Only 60mn people out of the urban middle class population of about 280mn consume chocolates. 10

Threats
Threat from free availability of imported brands

The premium brands, which come through official channels, do not pose a threat to the chocolate market, as these cater to a small niche market. However there is a lot of dumping from neighboring countries like Dubai, Nepal, etc of inferior brand of imported chocolates. These are not only of low quality, but are brought very near to their expiry dates. Most of the cheap chocolate brands that are available do not meet Indian Food Regulations. A legislation is required for these brands to conform to Indian disclosure norms on price, manufacture date, ingredients, etc which has already been issued.

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MARKET SHARE OF VARIOUS PLAYERS IN CHOCOLATE INDUSTRY

2%

7%

Cadbury
22% 69%

Nestle Amul Others

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MAJOR MARKET PLAYERS IN INDIA

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Cadbury India Ltd

Background
Cadbury Schweppes is the No.1 confectionery and third largest soft drinks company in the world. The origin of the group goes back to over two centuries. Some of the popular international brands of the company are Cadbury Dairy Milk, Dr Pepper, Flake, Trebor Basset, Snapple and Motts. The company also has Halls, Clorets, Trident, Dentyne and Bubbas bubble gum range in its portfolio with acquisition of Adams in December 2002. Since 1969, Cadbury Schweppes has focused on confectionery and non-alcoholic beverages. In 2007-8, 60 per cent of the Groups net sales came from confectionery and 40 per cent from beverages. The company employees around 55,000 people in over 200 countries around the world.

Cadbury in India
Cadbury India is a wholly owned subsidiary of Cadbury Schweppes which has operated in the country for more than 55 years. It was originally incorporated as a wholly owned subsidiary of Cadbury Schweppes Overseas Ltd in 1948. The company today employs nearly 2,000 people across India. Cadbury India is the No. 1 confectionery company with a 70 per cent market share in India. It is a dominating player in the Indian chocolate market with strong brands like Dairy Milk, Temptations, Bounville, Five Star, Perk, Gems, etc. Dairy milk is the largest chocolate brand in India. Cadbury is mainly into three segments Chocolates - Cadbury India is the market leader in the chocolate confectionery market in India with over 70 per cent market share. The leading brands in this category are Cadburys Dairy Milk, Fruit & Nut, Crackle, Temptations, 5 Star, Perk & Celebrations Gift boxes. For more than

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five decades now, Cadbury has enjoyed leadership position in the Indian chocolate market to the extent that 'Cadbury has become a generic name for chocolate products. Cadbury has leading brands in all the segments viz bars (Dairy Milk, Crackle, Temptations), count lines (5 star, Milk Treat), panned confectionery (Gems) and wafer chocolates (Perk), Eclairs (Cadburys' Eclairs), toffees (English Toffee). Sugar Confectionery Cadbury Dairy Milk Eclairs is one of the leading brands in this category. It is amongst the largest clair brands in the market in terms of value share. Cadbury also owns Halls (which was acquired as a part of the global acquisition of the Adams business from Pfizer in 2003). Halls is amongst the largest brands in its segment of Mint/ Breath freshness brands in India. Food Drinks Cadburys Bournvita is a leading brand in the brown drinks segment of milk/ malted food products. Cadburys other products include Drinking Chocolate and Cocoa powder. Overall share in the malted food drinks market is estimated to be around 19 per cent. The company has recently made a foray into snacking category with Cadbury Bytes, its sweet snacking brand. The company has been performing well in India. The net sales of the company have increased from around US$ 131.6 million in 2004 to US$ 166.3 million in 2007-8.

Factors for Success

Extensive distribution network

Cadburys brands are available in over a million outlets across the country. The distribution network directly covers almost the entire urban population. The company has invested significantly in building such an extensive network. The company uses Information Technology to improve its logistics and distribution competitiveness. Cadbury has improved the distribution quality of its products with the installation of refrigerators at several outlets. This helps in maintaining product quality in summer, when sales usually dip due to the fact that the heat affects product quality and thereby consumption. 15

Creation of strong brands

Cadbury owes its success to strong brand equity and resultant consumer preference that it enjoys in India. The company has built strong brand equity through consistently high product quality, relevant, insightful and entertaining communication. Cadbury has developed new channels for marketing its brands such as Gifting and Snacking. The company places great emphasis in ensuring display dominance at the point of purchase Customization of products for India

Cadbury India has spent time in understanding the Indian consumers. Leveraging its 55 years of experience in India, the company has customized its products to the Indian markets. It also offers products at affordable price points so as to increase its market penetration. Leveraging the India Advantages

Though, India contributes to less than 5 per cent of the global revenues today, India is critical to the global strategy of the company Managerial Talent

Cadbury has begun recruiting management graduates in India to serve its global operations. Huge market potential

India offers huge market potential and is a priority market for Cadbury. The company also leverages India as a manufacturing base for producing products for the overseas market. Cadbury India has 4 company owned factories and as many third party manufacturing contractors. It also has a wide Sales & Distribution infrastructure consisting of 33 depots managed by 4 regional sales branches across India.

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Future Plans
Cadbury India expects strong growth in India in future. The company plans to increase the franchise of its existing brands and continue to explore new product opportunities including adjacent market opportunities. Cadbury India is also looking for more opportunities in the SAARC region.

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Nestle India limited

Nestle India Ltd, 51% subsidiary of Nestle SA , is among the leading branded food player in the country. It has a broad based presence in the foods sector with leading market shares in instant coffee, infant foods, milk products and noodles. It has also strengthened its presence in chocolates, confectioneries and other semi processed food products during the last few years. The company has launched Dairy Products like UHT Milk, Butter and Curd and also ventured into the mineral water segment in 2001. Nestles leading brands include Cerelac, Nestum, Nescafe, Polo, Maggie, Everyday, Sauces, Kitkat, Munch, Milkmaid and Pure Life. Nestle has a presence in the following categories - Baby Food, Milk products, Beverages (Coffee, malted beverage), Chocolates & confectionery and other processed food products. Category wise turnover breakup and growth

% Milk Products Beverages Culinary Products Chocolate & Confectionery Total

Contribution 2007 Rs mn 8159 5627 2764 2646 19197

2008 Rs mn 7375 4903 2310 2179 16768 % yoy 10.6% 14.8% 19.7% 21.5% 14.5%

to turnover 43 29 14 14

Chocolates & Confectionery

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Nestle forayed into chocolates & confectionery in 1990 and has cornered a fourth share of the chocolate market in the country. The category contributes 14% to Nestle s turnover. It has expanded its products range to all segments of the market The Kitkat brand is the largest selling chocolate brand in the world. Other brands include Milky Bar, Marbles, Crunch, Nestle Rich Dark, Bar-One, Munch etc. The sugar confectionery portfolio consists of Polo, Soothers, Frootos and Milkybar Eclairs. All sugar confectionery products are sold under the umbrella brand Allen's. Nestle has also markets some of its imported brands like Quality Street, Lions and After Eight. New launches such as Nestle Choco Stick and Milky Bar Choo at attractive price points to woo new consumers. Chocolate confectionery sales registered a strong 21.5% yoy growth in 2001 aided by good volume growth in Munch, Kitkat and Classic sales. Nestle relaunched BarOne during the year

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Amul India limited

Amul, formed in 1946, is a dairy cooperative movement in India. It is a brand name managed by an apex cooperative organization, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41 million milk producers in Gujarat, India. It is based in Anand town of Gujarat and has been a sterling example of a co-operative organization's success in the long term. The Amul Pattern has established itself as a uniquely appropriate model for rural development. Amul has spurred the White Revolution of India, which has made India the largest producer of milk and milk products in the world. It is also the world's biggest vegetarian cheese brand. Products: Amul's product range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi, Nutramul brand and others. In January 2006, Amul plans to launch India's first sports drink Stamina, which will be competing with Coca Cola's Powerade and PepsiCo's Gatorade. Amul is the largest food brand in India with an annual turnover of US $868 million (2005-06). Currently Amul has 2.41 million producer members with milk collection average of 5.08 million litres /day. Besides India, Amul has entered overseas markets such as Mauritius, UAE, USA, Bangladesh, Australia, China, Singapore, Hong Kong and a few South African countries. Its bid to enter Japanese market in 1994 had not succeeded, but now it has fresh plans of flooding the Japanese markets. Other potential markets being considered include Sri Lanka.

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Chocolates ad spends in TV saw 31% growth in 2008

(24 January, 2008) Key Findings:

Chocolates advertising spends in TV grew 31 per cent in 2008 compared to 2007 Cadbury's India, the highest spender in chocolates in 2008 Cadbury Dairy Milk chocolate leads chocolates advertising in 2008 Focus on entertainment + kids channels Just 11 per cent of advertising spends used to boost up sales

This week, AdEx India looks at the 'Chocolates' category. Let's look at the advertising spends in chocolates category across the years 2007-08. Growth of 31 per cent in chocolates advertising spends in 2008 compared to 2007.

2003, the only year to observe a dip in chocolates advertising on TV.

Let's find out who contributes the maximum advertising in the year 2008 on television? Top five spenders constitute 98 per cent of the advertising revenue

Cadbury's India, the highest spender in 2008

Let's look at top 10 Chocolates brands advertised on television in 2008

Top 10 chocolates brands constitute 81 per cent advertising spends Cadbury Dairy Milk chocolate at first position with 15 per cent share Nestle Munch at second position

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REVIEW OF LITERATURE

22

Research conducted by Nicholas Piramal Ltd

Interesting things begin to happen at this time, in "chocolate" history! Chocolate begins to have strange effects in the love life of people who consume it! Francisco Rauch publishes a treatise, in which he declares that chocolate is "widely accountable for the committal of various excesses especially in the case of monks!" "What was this strange effect?" scholars asked. Dr. Duncan of the faculty of Montpelier writes that chocolate, coffee and tea were first used as medicines, but since these were made delicious by sugar, they became a poison! Scholars and scientists began to observe the aphrodisiac properties of chocolate! In 1712, The Spectator newspaper in London proclaimed " I shall advise my fair readers to be in a particular manner careful how they meddle with romances and chocolate!"!" The big names in chocolate began to spring up all over the world. Ghiradelli in California, Cailler in Switzerland, Van Houten in Belgium, Peters in Holland. Bourneville was famous for its cocoa, and Cadbury for its Milk chocolate, and Lindt for a special technology that made chocolate smooth and melt in the mouth! Chocolate began to be added to pastry and Sprungli the place of pilgrimage for dessert addicts gave away 2 million bars of chocolate on it's 150 anniversary. The owners of Mars are still one of the richest families in the world! Is chocolate healthy? This controversial question arouses much debate amongst doctors. Here is the nutritional value of a 100 gm bar of chocolate - 100 gms Calories Milk chocolate 588 Dark chocolate 544 Cocoa Powder 452 Protein 8.7 5.6 20.4 Carbohydrate 54.5 52.5 35.0 Fat 37.6 35.2 2.56

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According to Professor David Warburton ,head of psychopharmacology at the University of Reading For chocoholics the world over, here's another reason to unwrap yet another bar of the good stuff. Fat content and calories notwithstanding, it appears that enjoying moderate amounts of rich chocolate do not turn you into the proverbial slow slob. Rather, recent studies clearly show that the consumption of chocolate helps make a person more clear-headed and tranquil. Three standard-size milk chocolate pieces improve clarity of thought by around 30 per cent. According to Professor David Warburton, head of psychopharmacology at the University of Reading, on a standard troubled/tranquility scale, the consumption of moderate amounts of chocolate shows an increase in tranquility of up to 52 per cent. Dr Faiz Kermani Compared to Western countries, chocolate consumption in India is considered to be on the low side. Whilst per capita chocolate consumption is a buoyant 8 kilograms in the UK, it stands at a rather modest 165 grams in urban India. The recent international release of the film 'Charlie and the Chocolate Factory' should help manufacturers raise the profile of chocolate, but most companies remain puzzled as to what they must do to bring their products to the attention of the average Indian consumer. A new dawn for chocolate research Chocolate-based research cannot be ignored but until now it has been viewed as an academic curiosity. Furthermore, most of the chocolate research has been sponsored by food companies and observers have suggested that transforming chocolate into a health-related product is not a new concept, but has resulted in little progress over the years. During 1995, Japan held an International Symposium on Chocolate and Cocoa Nutrition, which led to a series of popular television broadcasts called "the surprising effects of cocoa". This stimulated considerable medical research into the potential health benefits of chocolate - as well as huge sales of cocoa products. Yet, the willingness of certain food companies to openly raise the idea that chocolate could have healthcare benefits could change how this research is viewed. The main driver of recent events

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appears to be Mars Inc., which held a conference in Switzerland where researchers discussed how pharmaceutical products could be derived from cocoa sources. It is not clear what is stimulating its confidence in publicizing this work, but Mars Inc. is publicly upbeat about its latest developments and believes it possesses intellectual property of interest to pharmaceutical companies. It claims to be discussing licensing deals and joint venture agreements based on developing products from cocoa-derived flavanoids. As the second-largest chocolate manufacturer in the USA and one of the world's largest food-processing companies, and with a reported value of over US$30 billion, its move towards the pharmaceutical sector cannot be ignored. For the pharmaceutical sector, which is seeking new sources of innovative products, this could be one of the most unusual avenues to be explored in a long time. Karvy research desk The Chocolate market in India is a niche market penetrated largely in urban areas and per capita consumption is low as compared to those in developed countries of the West. But future prospects of the chocolate category looks good as the company plans to move into the arena of snack foods, as it has done in the Western markets

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RESEARCH METHODOLOGY

26

RESEARCH METHODOLOGY
Marketing research is the systematic design, collection, analysis an reporting of data and findings relevant to a specific marketing situation facing the company.

Marketing research process

Define the problem and research objective Develop the research plan Collect the information Analyze the information Present the findings in Report Make decisions

Step 1: Define the problem and the research objectives

The 1st step in research is formulating a research problem. It is most important stage as poorly defined problems will not yield useful results. Also the marketing management must be careful not to define the problem too broadly or too narrowly. In order to identify the research problem, three categories of symptomatic situations, namely, overt difficulties, latent difficulties and unnoticed opportunities should be studied. Overt difficulties are those which are quite apparent and which manifest themselves. Latent difficulties are those which are not so apparent and which, if not checked, would soon become evident. Unnoticed opportunities indicate the potential for growth in a certain area of marketing. Such opportunities are not clearly seen and dome effort is required to explore them.

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Our research problem: Is there a scope for new brand of chocolates to enter into the chocolate market in India? Research objectives: Are there any unnoticed opportunities existing in chocolate market in India i.e. is there any demand/need of consumers which is not being fulfilled by existing brands. To see whether the new brand will be able to sustain its position against the market leader & other competitors. To know the buying pattern, consumer preference and the distribution channel used for the Chocolates. Will the consumers accept the new brand.

Step 2: Develop the research plan

Designing a research plan calls for decisions on data sources, choice of research design, research approaches, research instruments, sampling plan and contact methods.

Research Plan

Data Sources

Research Design

Research Approaches

Research Instrument

Sampling Plan

Contact Methods

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Data Sources

The researcher can gather both secondary and primary data. Secondary data are data that were collected earlier whereas primary data are data freshly gathered for a specific purpose or for a specific research project.

Data Sources

Secondary Data

Primary Data

In this market research i have used both secondary as well as primary data but my main focus is on primary data (Through Questionnaires) Choice of Research Design

Research design is the plan, structure and strategy of investigation conceived so as to obtain answers to research questions and to control variance. A research design specifies the methods and procedures for constructing a particular study. Broadly speaking the research design can be grouped into three categories- exploratory research, descriptive research and causal research. An exploratory research focuses on generation of new ideas and is generally based on secondary data and is a preliminary investigation. A descriptive study is undertaken when the researcher wants to know the characteristics of certain group and is well structured. A causal research is undertaken when the researcher is interested in knowing the cause and effect relationship between two or more variables.

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Research design

Exploratory design

Descriptive design

Causal design

Cross sectional

Surveys

In this research i have undertaken descriptive studies in which a cross sectional study was conducted through means of a survey. Research Approaches

Primary data can be collected in five ways: through observations, focus groups, surveys, behavioral data and experiments.

Research Approaches

Observations

Focus groups

Surveys

Behavioral data

Experiments

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In this research i have used surveys as our research approaches since it is best suited for descriptive research and helps immensely in understanding the peoples knowledge, preferences and satisfaction. Research Instruments

Marketing researches have a choice of three main research instruments: questionnaires, psychological tools and mechanical devices.

Research Instruments

Questionnaires

Psychological tools

Mechanical devices

I will discuss in detail the format of the structured non-disguised questionnaire later in this report. Sampling Plan

After deciding on the research approach and instruments, the marketing researcher must design a sampling plan. This calls for three decisions regarding sampling unit, sample size and sampling procedure.

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Sampling unit Sampling Plan

Sample size
50 consumers + 22 retailers

Sampling procedure i.e. sample design Non- probability sampling

Quota Sample

Sampling Unit: Who is to be surveyed? In our research we have taken the whole target market as our sampling unit out of which samples would be selected and surveyed. The target market of chocolates is right from children to old people. Sample Size: How many people are to be surveyed? Our sample size is 100 respondents (consumers) with approximately equal number of males and females. Also we surveyed 22 retailers Sampling Procedure: How should the respondents be chosen? We have decided to base our sample respondents on basis of quota sample in which a total of 100 respondents are to be covered with the following inter related controls: Age Group 5-10 & 11-15 16-20 21-35 35- 50 50 & above Total Male 12.5 12.5 12.5 6.25 6.25 50 Female 12.5 12.5 12.5 6.25 6.25 50 Total 25 25 25 12.5 12.5 100

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The above figures are in percentages and are an approximate estimation done before the survey was conducted so as to understand the average distribution of respondents across the various age groups. Contact methods

Once the sampling plan has been determined, the marketing researcher must decide how the subject should be contacted: mail, telephone, personal or online interview.

Contact methods

Mail Survey

Mail Survey

Telephone interview

Telephone interview

Personal interview

Online interview

Intercept interview

In this survey i have made use of two forms of contact methods: Personal interview and telephonic survey.

Step 3: Collect the information

Our research group collected the information over a period of 15 days and from various locations such as malls, residential complexes, colleges and schools and also retailers.

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Step 4: Analyze the information

After the process of gathering information was completed we tabulated the data and developed frequency distributions and extracted the findings from the survey.

Step 5: Present the findings

Finally we prepared a project report on our survey and along with the findings we also presented our recommendations.

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MARKET SURVEY

35

ANALYSIS OF THE QUESTIONNAIRE

This questionnaire is a structured non-disguised questionnaire containing both open ended and close ended questions. Let us now understand the significance of the various questions asked in the questionnaire and what information i hoped to collect through each of the question. QUESTIONNAIRE FOR CONSUMERS Name: _______________________________________Gender: _____________ This question would help to achieve the conditions of sample of surveying 50% males and 50% females. Age group: 5-10 yrs 11-15 yrs 16-20 yrs 21- 30 yrs 31-40 yrs 40 yrs & above

This question would help me to understand the buying preferences and the demands of consumers as per the age structure. Place of residence: ____________________________________________________ Occupation: __________________________________________________________ Location of work/college/school: __________________________________________ Q.1 Monthly spending on clothes, eating out, hanging with friends etc Less than 10,000 15,000- 20,000 10,000-15,000 More than 20,000

These questions were included so as to understand the correlation between the occupation, lifestyle, social class and the influence of social environment i.e friends and family.

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Q.2 In one word describe a foodstuff that says Sharing your joy with people you love _____________________________________________________________________ (Word association question) Through this question i wanted to know whether the consumers perceived chocolates as a symbol of love, togetherness and happiness. Q.3 What do you normally prefer to eat as a sweet item _____________________________________________________________________ (Completely unstructured question) Through this question i wanted to estimate the proportion of population who preferred chocolates as their main sweet item. Q.4 Do you like chocolates? (Likert scale question) Very much Average Not much Not at al l

This question helps to understand the level of like and dislike for chocolates amongst the target population. Q.5 How many times you buy chocolates? (Multiple choice question) Once every day 2- 3 times a week Once a week On special occasions only Others, please specify

This will help to understand the buying pattern and schedule.

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Q.6 What do chocolates signify to you? ___________________________________________________________________(Unstructured question) This question was designed to have an insight into the customers mind to understand the emotions which he associates with chocolates. Q.7 Where do you normally buy chocolates from? (Dichotomous Question) Your local kirana shops Supermarkets like Big Bazaar

This question would help to understand which of the distribution channel is more effective and preferred by the consumers. Q.8 Rate your preferences in choice of chocolates on a scale of 1-5 (5 being highest rank) (Importance scale) Taste Sweetness Price Calories Brand of the chocolate Packaging Ingredients/ flavours

This question was designed so that one can understand the customers scale of importance to the different attributes of chocolates. Q.9 Which brand of chocolates you prefer? (Multiple choice question) Nestle Cadburys Amul Foreign brands like Hersheys etc

38

Any other, please specify _______________________________________________

The simple purpose of this question was to find out the customers preferred brand of chocolates.

Q.10 Why do you prefer that particular brand? (Completely unstructured questions) _____________________________________________________________________________ ___________________________________________________________________ Q.11 Is there anything that you feel is lacking in your preferred brand of chocolates? If yes, please describe ________________________________________________________________ ________________________________________________________________________ These questions would help me to find out the reasons behind the customers preference of a particular brand of chocolates and also to find out if the customers felt something lacking in the existing varieties of chocolates. Q.12 Do you think that the present choices available in chocolates are costly? If yes, what will be your ideal price range?

Q.13 Would you prefer to switch to chocolates of another brand if it is cheaper than your preferred brand without any change in quality & taste? (Intention to buy scale) _____________________________________________________________________________ ___________________________________________________________________ These questions were formed so as to take the customers opinion regarding the prices of the existing brands of chocolates and also their ideal price range. As well as to find out the customers intention to buy in case of a new brand of chocolate if it is priced cheaper. Q.14 If you were given a chance to prepare a new variety of chocolates what would you make? i.e Any new flavours or ingredients that you wish for in chocolates.

39

_____________________________________________________________________________ ___________________________________________________________________ This is the most important question for the survey which helps us to fulfill the research objective of uncovering hidden opportunities i.e. to find out the demands of customers in terms of ingredients and flavours of chocolates which are not available in the existing brands. QUESTIONNAIRE FOR RETAILERS Name of the shop: ________________________________________________________ Location: _______________________________________________________________ These 2 questions will help me to form a relationship between the chocolate sales of the retail unit and its location i.e. geographical segmentation. Q.1 Which brands of chocolates does the shop sell? _____________________________________________________________________________ ___________________________________________________________________ Q.2 Highest sales of which brand of chocolates ( i.e. how many in 1 day) ________________________________________________________________________ These questions are formed to find out the different brands of chocolates stocked by the retailer and also to find which brand has the highest sales. Q.3 What are customers preferences in the choice of chocolates? Taste Sweetness Price Calories Brand of the chocolate 40

Packaging Ingredients/ flavours

This will help to get the retailers point of view to the importance given to the various attributes of chocolates by consumers.

41

Q.4 Sales of chocolates are highest during which period? ________________________________________________________________________ This question helps to understand the buying pattern of consumers. Q.5 Has the demand for chocolates risen in the past few years? This question helps us in answering the question as to whether the market for chocolates has increased or

42

DATA ANALYSIS
Sample Size: 122 respondents 100 consumers 82% 22 retailers 18%
SAMPLE SIZE

Retailers 18% Consumers Retailers Consumers 82%

Males 46%

Females 54% Total consumers =100

CO NSUM ERS

Fem ales 54%

M ales 46%

M ales Fem ales

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Age Group 5-10 11-15 16-20 21-30 35- 50 50 & above `

Respondents (%) 26 28 24 11 11

AGE GROUP

11% 11%

26%

5-10 & 11-15 16-20 21-30 35- 50

24%

28%

50 & above

Interpretation: This pie chart shows the % of the respondents who belong to the different age groups.285 belong to the age of 16-20 years, 26% belong to the category of 5-10 yrs and so on.

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Age group:
5-10 & 11-15 years : 26 respondents Males: 16 respondents Females: 10 respondents

AGE GROUP: 5-10 & 11-15

Females 38% Males 62%

Males Females

Age group: 16-20 years : 28 respondents Males: 15 respondents Females: 13 respondents

AGE GROUP : 16 - 20

Females, 13, 46%

Males, 15, 54%

Males Females

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Age group: 21-30 years: 24 respondents Males: 12 respondents Females: 12 respondents

AGE GROUP: 21-30

Females, 12, 50%

Males , 12, 50%

Males Females

Age group: 35- 50 years: 11 respondents Males: 2 respondents Females: 9 respondents

AGE GROUP: 35- 50

Males, 2, 18% Males Females Females, 9, 82%

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Age group: 50 years & above: 11 respondents Males: 2 respondents Females: 9 respondents

AGE GROUP: 50 & above

Males, 2, 18% Males Females Females, 9, 82%

OCCUPATION Student: Service & Business: Housewife: Retired:

No. of respondents 53% 25% 14% 8%

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OCCUPATION

Student 14% 8% Service & Business 53% 25% Retired Housewife

Correlation between age group and monthly spending

Age group: 5-10 & 11-15 AGE GROUP: 5-15 & MONTHLY SPENDING

5, 19% 9, 35% 0-50 50-100 100-500 6, 23% 500 and above

6, 23%

Age Group: 16-20

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AGE GROUP: 16-20 & MONTHLY SPENDING

4, 14% 7, 25% 100-500 500-1000 1000-5000 12, 43% 5, 18% 5000 & above

Age Group: 21-35

AGE GROUP: 21-35 & MONTHLY SPENDING

3, 13%

1, 4%

100-500 500-1000 11, 45% 9, 38% 1000-5000 5000 & above

Age Group: 35 & above

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AGE GROUP: 35 & above & MONTHLY SPENDING

2, 9% 6, 27% 100-500 7, 32% 500-1000 1000-5000 5000 & above 7, 32%

Question 3 Normally prefer as a sweet item Options Chocolates: Ice creams Traditional Sweets: Cake No. of respondents 53% 11% 28% 6%

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PREFERENCE AS A SWEET ITEM

6% 29% 54% 11%

Chocolates Ice creams Traditional Sweets Cake

Interpretation: This pie chart shows the preference of different people in relation to a sweet item. 54% consider chocolates as a sweet item.29% consider traditional sweets as the preference.11% consider ice creams and the remaining 6% consider cake as a preference of sweet item.

Question 4 Do you like chocolates? Options Very much: Average : Not much: Not at all: No. of respondents (%) 59% 28% 11% 2%

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LIKE AND DISLIKE OF CHOCOLATES

11%

2%

Very much Okay Okay 28% 59% Not much Not at all

Interpretation: This pie chart shows the likes and dislikes of chocolates 59% say they like chocolates very much. 28% of the respondents say they find it average, 11% dont like it much and the rest dont like it at all.

Question 5 How many times do you buy chocolates? Options Once every day: 2-3 times a week: Once a week: No. of Respondents 33% 30% 12% 52

Special occasions:

25%

BUYING PATTERN

Special occasions 25% Once a week 12%

Once every day 33%

Once every day 2-3 times a week Once a week Special occasions

2-3 times a week 30%

Interpretation: This pie chart shows the buying pattern of the cosumers.33% of the respondents buy it once every day.30% buy 2-3 times a week, 25% buy it on special occasions and the rest 12% buy it once a week. Question 6 Where do you normally buy chocolates from?

Options Kirana shop: Supermarkets: Both:

No. of respondents (%) 79% 9% 12%

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PREFFERED DISTRIBUTION CHANNEL

12% 9% Kirana shop Supermarkets Both 79%

Interpretation: This pie chart shows the preferred distribution channel 79% from the Kirana Shops 95 from the supermarkets and the rest of the 12% buy from both the stores.

Question 5 Which are the top attributes a consumer looks for while making his decision?

28% respondents said taste was the most important factor of selection 27% respondents said brand was the most important factor of selection 25% respondents said ingredients/ flavours was the most important factor of selection 20% respondents said packaging was the most important factor of selection

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PREFERENCES

Packaging 20%

Taste 28%

Taste Brand Ingredients

Ingredients 25%

Brand 27%

Packaging

On an average the scale of preference was as follows: 1st priority: Taste 2nd priority: Brand 3rd priority: Packaging 4th priority: Flavours 5th priority: Sweetness/less sweet 6th priority: Calories 7th priority: Price

Question 6 Which brand of chocolates you prefer? Options Cadburys: Nestle & Cadbury: Cadbury & Foreign Brands: No. of respondents (%) 57% 18% 10%

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Only Foreign Brands: Amul: Nestle: Nestle & Foreign Brands:

9% 2% 2% 2%

MARKET LEADER
2% 2% 2% 9% 10% 57% Cadbury & Foreign Brands Only Foreign Brands Amul Nestle Nestle & Foreign Brands Cadburys Nestle & Cadbury

18%

Interpretation: This pie chart shows the Market leaders in the category of chocolates according to the preferences of the Customers. 57% are in the favor of Cadbury, 18% of Nestle and Cadbury. 10% of Cadbury and the foreign brands 2% for Amul 2% for nestle alone and the remaining 2% for Nestle and Foreign Brands. Question 8 Why do you prefer your choice of brand?

Majority of the respondents said that they liked a particular brand of their choice especially Cadbury because of taste, quality and most importantly brand name and packaging. Question 9 Is there anything lacking according to you in your preferred brand? (amongst the existing varieties)

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Options No: Yes:

No. of respondents 84% 16%

SATISFACTION GRAPH

Yes 16%

No Yes

No 84%

Interpretation: This pie chart shows the satisfaction graph 84% of the respondents are satisfied with the existing brands and the remaining 16% are not satisfied with the existing brands. (The target customers) The respondents, who replied yes, have stated the following attributes as lacking in the existing varieties of chocolates:

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Lack of chocolates in attractive shapes High price Not enough crunchier Not good as compared to foreign brand

Question 10 Are the present choices available in chocolates, costly? If yes, what will be your ideal price range? Options Yes: No: No. of respondents 45% 55%

PRICES: HIGH OR LOW

Yes 45%

No 55%

No Yes

Interpretation: This pie chart shows whether the price of the chocolates are considered high or low.45% say they find it high and the rest dont find it high.

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Ideal price range: Quantity 40 gm 23 gm 15 gm Question 11 Would you prefer to switch to another brand? Options Yes: No: Indifferent: No .of respondents 53% 43% 4% Existing prices Rs 18-20 Rs10 Rs 5-7 Ideal price range Rs 12-15 Rs 6-8 Rs 3-5

PR E S SITIVITYO C N M R IC EN F O SU E S

Ind iffere t n 4% Ye s 5 3%

N o 4% 3

N o Ye s In diffe n re t

Interpretation: This pie chart shows the price sensitivity of consumers. This pie chart shows whether any change in the price of the product will lead to change of brand by the consumers.53% said they are price sensitive.43% would not change the brand with the change in the price and the remaining 4% remain indifferent towards the price sensitivity. New flavors/ ingredients

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98% of respondents said that they wanted a healthier, less sweet and lesser calories chocolates which even diabetic people can eat. Only 2% said that they wanted chocolates to be more sweeter. 54% of the respondents said that they wanted new flavours such as: Vanilla- 10% Butterscotch- 9% Black forest- 2% Strawberry- 10% Coffee-5% Mint-4% Elaichi-1% Swiss flavor- 1% Cake flavours-1% Kesar-2% Caramel 5% Bitter cocoa-2% Ice cream chunks in between of chocolate balls 28% of respondents said that they want an abundant of nuts and dry fruits like cashews, almonds, pistachios, anjeer, walnuts and so on. 27% of the respondents said that they want fresh fruits/ fruit flavored chocolates like: Litchi- 1% Orange-2% Mango-6% Fresh pineapple-3%

DATA ANALYSIS OF RETAILERS

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Question 1 Which brand of chocolates does shop sell? No. of respondents 22% 19% 3% 3% Retailers stock Cadburys Nestle Amul1 Imported brands.

Brand of chocolates the shop sells

6%

6% Cadburys Nestle 48% Amul1

40% brands.

Imported

Interpretation: This pie chart shows the brand of the chocolates that the shop sells 48% sell Cadbury in their shops, 40% sell Nestle ,6% sells Amul and the remaining 6% sell imported Brands.

Question 2

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Which brand has the highest sales?

HIGHEST SALES

Nestle, 3, 14% Cadbury's Nestle Cadbury's, 19, 86%

Interpretation: This pie chart shows the highest sale in the brand of chocolates Cadbury wins the race with 86% of the sales and Nestle holds the second place. Question 3 When is the sale of chocolates the highest?

All Time, 3, 14%

Festivals All Time

Festiv als, 19, 86%

Interpretation: This pie chart shows the sale of chocolates is highest in which season 14% say all the time and remaining 86% say during the special occasions. Sales are normally higher during

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Festivals Special occasions like Valentines Day, friendship day, Christmas etc.

Question 4: Has the demand for chocolates risen in the past few years? Options (Sales) 0-10% 10-20% 20-40% Above 40% No; of respondents 05 10 03 04

No. of respondents

18% 14%

23%

45%

0-10% 20-40%

10-20% Above 40%

Interpretation: This pie chart shows the percentage of increase in the sales of the chocolates in the chocolate industry.45% of the retailers say there is an increase of 10-20% whereas 23% of the retailers say the increase falls between 0-10percent. 18% say the increase is above 40% and the rest 14% say from 20-40%.

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LIMITATIONS

64

LIMITATIONS OF THE RESEARCH

Large size of target population

The target population of chocolates is each and every person with teeth right from children to old people. Our sample size of 100 thus cannot be said to be the correct representation of the target market. Fragmentation

Chocolates are not sold in exclusive shops but in simple retail shops which number 1 million in India. Thus it is very difficult to estimate the sales and buying pattern of consumers in general. Time limitation:

Due to the time constraint the research would not be able to cover the entire City Chandigarh. Exclusive study could not be carried out.

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FINDINGS AND SUGGESTIONS

66

FINDINGS
In the age group of 16-20 and 21-30, the average monthly spend is not influenced by the place of residence/ social class but rather on, where a person studies/works i.e. by the social circle of his friends and colleagues. The consumers by and large are satisfied with the present choices available in chocolates i.e. there are no complaints of consumers as regards to existing varieties of chocolates However there are many new wants and demands of consumers in terms of new flavours and ingredients of chocolates which the present brands of chocolates have not introduced into the Indian markets. There is a substantially low margin of difference in terms of people who are sensitive to price of chocolates and hence it cannot be proved conclusively that introducing a chocolate at a lesser price than the prevailing price will lead to capturing of market share. Consumers attach more value to the brand of the chocolates as well as the packaging i.e. the quality of the chocolates. 79% of chocolate sales happen through Kirana shops i.e. mom and pop shops which says that chocolate is a commodity which has to be available to the consumer when and where he wants it. The sales of chocolates largely depend on its availability to the consumer at his convenience.

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RECOMMENDATIONS
There is a lot of demand for chocolates the consumers and yet a lot of it remains untapped by the existing brands. So introducing a new brand/ player in the chocolate market is certainly a feasible idea to a fair extent. However since the present varieties of chocolates in terms of flavours & ingredients are suiting the consumer needs, the new brand must seek to cater to the untapped demands of consumers by introducing new flavours/ ingredients. Also, from the above analysis we can see that there is no sufficient proof to show that customers are price sensitive. Thus introducing a cheaper variety of chocolates may not necessarily help in capturing substantial market share. However for the price sensitive consumers, a lower end version of chocolates can be introduced. Brand is a very important criterion of purchasing for the consumers. Hence instead of trying to compete with huge brands like Cadburys and nestle, the new brand should try to position itself in a new demand market. Also it should try to develop and introduce healthier, less calorific chocolates that are projected not just a sweet item/dessert but as a complete wholesome snack.

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CONCLUSION
The chocolate industry has been changing tremendously whereby the consumption pattern of chocolates has been increasing. The Chocolate market in India is a niche market penetrated largely in urban areas and per capita consumption is low as compared to those in developed countries of the West. But future prospects of the chocolate category looks good as the company plans to move into the arena of snack foods, as it has done in the Western markets. The research problem was to find out that is there a scope for new brand of chocolates to enter into the chocolate market in India? And the Research objectives are: Are there any unnoticed opportunities existing in chocolate market in India i.e. is there any demand/need of consumers which is not being fulfilled by existing brands. To see whether the new brand will be able to sustain its position against the market leader & other competitors To know the buying pattern, consumer preference and the distribution channel used for the Chocolates. Will the consumers accept the new brand? According to the data analysis the consumers by and large are satisfied with the present choices available in chocolates i.e. there are no complaints of consumers as regards to existing varieties of chocolates. There is a substantially low margin of difference in terms of people who are sensitive to price of chocolates and hence it cannot be proved conclusively that introducing a chocolate at a lesser price than the prevailing price will lead to capturing of market share. However there are many new wants and demands of consumers in terms of new flavors and ingredients of chocolates which the present brands of chocolates have not introduced into the Indian markets. So in the end I would like to conclude that a new brand with different new flavors can be accepted by the consumers. The retailers also have helped to know the sales pattern of the consumers and which company has the largest sales.

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BIBLIOGRAPHY
WEB SITES
www.indiainfoline.com www.ibef.org. http://www.karvy.com/compresearch/company/Cadbury/Cadbury_Mohit_shiva_new.htm

BOOKS
Kotler Philip marketing management 11Edition Malhotra N.K Marketing Reserch.

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ANNEXURES

71

QUESTIONNAIRE FOR CONSUMERS

Name: ____________________________________________Gender: _____________ Age group: 5-10 yrs 11-15 yrs 16-20 yrs 21- 30 yrs 31-40 yrs 40 yrs & above Family Size: 3 members 4 members More than 4 members

Place of residence: ____________________________________________________ Social Class: _________________________________________________________ Occupation: __________________________________________________________ Location of work/college/school:__________________________________________ Q.1 Monthly spending on clothes, eating out, hanging with friends etc (In Rupees) Less than 10,000 15,000- 20,000 10,000-15,000 More than 20,000

Q.2 In one word describe a foodstuff that says Sharing your joy with people you love _____________________________________________________________________

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Q.3 What do you normally prefer to eat as a sweet item ___________________________ Q.4 Do you like chocolates? Q.5 How many times you buy chocolates? Once every day 2- 3 times a week Once a week On special occasions only Others, please Specify Very much Average. Not much Not at all

Q.6 what do chocolates signify to you? _______________________________________________________________________ Q.7 Where do you normally buy chocolates from? Your local kirana shops Supermarkets like Big Bazaar

Q.8 Rate your preferences in choice of chocolates on a scale of 1-5 (5 being highest rank) Taste Sweetness Price Calories Brand of the chocolate Packaging 73

Ingredients/ flavors

Q.9 Which brand of chocolates you prefer? Nestle Cadburys Amul Foreign brands like Hersheys Any other, please specify _______________________________________________

Q.10 Why do you prefer that particular brand? _____________________________________________________________________________ ___________________________________________________________________ Q.11 Is there anything that you feel is lacking in your preferred brand of chocolates? If yes, plz describe ________________________________________________________________ ________________________________________________________________________ Q.12 Do you think that the present choices available in chocolates are costly? If yes, what will be your ideal price range?

Q.13 Would you prefer to switch to chocolates of another brand if it is cheaper than your preferred brand without any change in quality & taste? _____________________________________________________________________________ ___________________________________________________________________ Q.14 If you were given a chance to prepare a new variety of chocolates what would you make? i.e any new flavours or ingredients that you wish for in chocolates.

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QUESTIONNAIRE FOR RETAILERS

Name of the shop: ________________________________________________________ Location: _______________________________________________________________ Q.1 Which brands of chocolates does the shop sell? _____________________________________________________________________________ ___________________________________________________________________ Q.2 Highest sales of which brand of chocolates ( i.e. how many in 1 day)

Q.3 What are customers preferences in the choice of chocolates? Taste Sweetness Price Calories Brand of the chocolate Packaging Ingredients/ flavours

Q.4 Sales of chocolates are highest during which period? ________________________________________________________________________ Q.5 Are there any customer complaints about the existing brands of chocolates? ________________________________________________________________________

75

Q.6 Has the demand for chocolates risen in the past few years? _____________________________________________________________________

76