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INSTITUTE CERTIFICATE
COMPANY CERTIFICATE
ACKNOWLEDGEMENT
I would like to express my Acknowledgement to those people, without whose contribution, Support and guidance this Report would not have seen the light of the day. Notable among them are Miss. Jyoti Bajpai who was my Project Guide and who helped me in a lot.
I am also thankful and would like to express my Gratitude to the Honorable Head of Department Dr. K.G.Chaubey and the entire Institute for giving me a Platform to have this wonderful opportunity and being able to get a glimpse of the Corporate World
STUDENT DECLARATION
I, Dileep Singh student of M.B.A at Naraina Vidya Peeth Management Institute , Kanpur of hereby declare that the Project work entitled To Study the Customer Perception Regarding Parag Product in Allahabad is compiled and submitted under the guidance of Miss. Jyoti Bajpai. This is my original work. Whatever information furnished in this project report is true to the best of my knowledge.
PREFACE
In todays scenario, it is not possible that we get knowledge about the market without practical training. By the practical training a management student can understand the management working in the area of there specialization. Actually practical knowledge increases the knowledge of students in real field of market & also integrates the theoretical concepts with the practical working of the organization. Accepting the above factors the management programs of our institute (SRMSCET BAREILLY) has made practical training must for their management students. As a part of the partial fulfillment of the requirement of the course of masters of business administration (MBA), summer training was undertaken with ALLAHABAD PRODUCERS COOP MILK UNION LTD. at ALLAHABAD city. The purpose of the training was to study about the Consumer Perception about Parag Products at ALLAHABAD city only. The tools & techniques used in the study are standard & modified according to the report requirements. I used the primary and secondary data for collection of information. I had enjoyed my summer training from the very first day. I tried to come across all the initial steps related with my project in ALLAHABAD PRODUCERS COOP MILK UNION LTD.
I ND E X
S.No Topics
Page No From To
1. Introduction About the topic Objective of the Study Method Employed Significance of the Study 2. Industry Profile 3. Company Profile 4. Product Profile 5. Research Methodology 6. Data Analysis 7. Findings 8. Conclusion 9. Suggestion 10. Limitation of the study 11. SWOT Analysis 12. Appendices Questionnaires 13. Bibliography
1 2 3 4 - 5 6 7 - 20 21 - 35 36 - 42 43 - 55 56 - 68 69 - 70 71 - 72 73 - 74 75 - 76 77 - 79 80 - 82
INTRODUCTION
INTRODUCTION
Marketing is a total system of business, an ongoing process of: 1. Discovering and translating consumer needs and desires into the products services (planning and producing the planned products). 2. Creating demand for this product and services (through promotion and pricing) 3. Serving the consumer demand through planned and physical distribution) with the help of marketing channels and then I turn. 4. Expanding the market even in the place of keen competition.
The modern marketer is called upon to set the marketing objectives, develop the marketing plan, organize the ,marketing function, implement the marketing plan or programme ( marketing mix) and control the marketing programme to ensure the accomplishment of the set marketing objectives. The marketing programme covers producer planning or merchandising, price, promotion and distribution. In short, modern marketing begins with the customer, not with production cost, sales, technological landmarks and it ends with the customer satisfaction and social wellbeing. Under the market- driven economy buyer or customer is the boss. Marketing has been viewed as an ongoing or dynamic process involving a set of interacting activities dealing with a market offering by producers to consumers on the basis of reliable marketing anticipation. Marketing is a matching process by which a process by which a producer provides a marketing mix that meets consumer demands of a target markets within the
limits of society. The process is based on corporate goals and corporate capabilities. Marketing process brings together producers and consumers the two main participants in exchange. Each producer or seller has certain goals and capabilities in making and marketing his products. He uses marketing research as a tool to anticipate market demand. Then he provides a marketing mix in order to capitalize marketing opportunity. An exchange or a transaction takes when market offering is acceptable to the customer who is prepared to give something value I return against the product so bought.
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Removing of the middlemen between the producer and consumers by the procurement of the milk directly by the producers directly through village cooperative society.
To increase the production of milk from milking animals by providing input to the producers.
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INDUSTRIAL PROFILE
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DAIRY INDUSTRY
PROFILE
Today, India is 'The Oyster' of the global dairy industry. It offers opportunities galore to entrepreneurs worldwide, who wish to capitalize on one of the world's largest and fastest growing markets for milk and milk products. A bagful of 'pearls' awaits the international dairy processor in India. The Indian dairy industry is rapidly growing, trying to keep pace with the galloping progress around the world. As he expands his overseas operations to India many profitable options await him. He may transfer technology, sign joint ventures or use India as a sourcing center for regional exports. The liberalization of the Indian economy beckons to MNC's and foreign investors alike. Indias dairy sector is expected to triple its production in the next 10 years in vi ew of expanding potential for export to Europe and the West. Moreover with WTO regulations expected to come into force in coming years all the developed countries which are among big exporters today would have to withdraw the support and subsidy to their domestic milk products sector. Also India today is the lowest cost producer of per liter of milk in the world, at 28 cents, compared with the U.S' 62 cents, and Japans $2.8 dollars. Also to take advantage of this lowest cost of milk production and increasing production in the country multinational companies are planning to expand their activities here. Some of these milk producers have already obtained quality standard certificates from the authorities. This will help them in marketing their products in foreign countries in processed form.
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The urban market for milk products is expected to grow at an accelerated pace of around 36% per annum to around Rs.48, 500 crores by year 2009. This growth is going to come from the greater emphasis on the processed foods sector and also by increase in the conversion of milk into milk products. By 2009, the value of Indian dairy produce is expected to be Rs 12, 00,000 million. Presently the market is valued at around Rs 9, 00,000mn.
BACKGROUND
Indian dairy sector contributes the large share in agricultural gross domestic products. Presently there are around 75,000 village dairy cooperatives across the country. The cooperative societies are federated into 180 district milk producers unions, which is turn has 22-state cooperative dairy federation. Milk production gives employment to more than 82mn dairy farmers. In terms of total production, India is the leading producer of milk in the world followed by USA. The milk production in 2008-2009 is estimated at 104mn MT as compared to 99.5mn MT in the previous year. While world milk production declined by 3 per cent in the last three years, according to FAO estimates, Indian production has increased by 5 per cent. The milk production in India accounts for more than 19% of the total world output and 59% of total Asia's production. The top five milkproducing nations in the world are India, USA, Russia, Germany and France.
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Although milk production has grown at a fast pace during the last three decades (courtesy: Operation Flood), milk yield per animal is very low. The main reasons for the low yield are
Lack of use of scientific practices in mulching. Inadequate availability of fodder in all seasons. Unavailability of veterinary health services.
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Food service institutional market: It is growing at double the rate of consumer market.
Defense market: An important growing market for quality products at reasonable prices.
Ingredients market: A boom is forecast in the market of dairy products used as raw material in pharmaceutical and allied industries.
Major Players
The packaged milk segment is dominated by the dairy cooperatives. Gujarat Co-operative Milk Marketing Federation (GCMMF) is the largest player. All other local dairy cooperatives have their local brands (For e.g. Gokul, Warana in Maharashtra, Saras in Rajasthan, Verka in Punjab, Vijaya in Andhra Pradesh, Aavin in Tamil Nadu, etc). Other private players include J K Dairy, Heritage Foods, Indiana Dairy, etc. Amrut Industries, once a leading player in the sector has turned bankrupt and is facing liquidation.
Export Potential
India has the potential to become one of the leading players in milk and milk product exports. Lavational advantage: India is located amidst major milk deficit countries in Asia and Africa. Major Importers of milk and milk products are Bangladesh, China, Hong Kong, Singapore, Thailand, Malaysia, Philippines, Japan, UAE, Oman and other gulf countries, all located close to India.
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Low Cost of Production: Milk production is scale insensitive and labor intensive. Due to low labor cost, cost of production of milk is significantly lower in India.
Quality: Significant investment has to be made in milk procurement, equipments, chilling and refrigeration facilities. Also, training has to be imparted to improve the quality to bring it up to international standards.
Productivity: To have an exportable surplus in the long-term and also to maintain cost competitiveness, it is imperative to improve productivity of Indian cattle. There is a vast market for the export of traditional milk products such as ghee, paneer, shrikhand, rasgolas and other ethnic sweets to the large number of Indians scattered all over the world.
Future Prospects-India is the world's highest milk producer and all set to become the world's largest food factory. In celebration, Indian Dairy sector is now ready to invite NRIs and Foreign investors to find this country a place for the mammoth investment projects. Be it investors, researchers, entrepreneurs, or the merely curious Indian Dairy sector has something for everyone.
Milk production is relatively efficient way of converting vegetable material into animal food. Dairy cows buffalos goats and sheep can eat fodder and crop by products, which are not eaten by humans. Yet the loss of nutrients energy and equipment required in milk handling inevitably make milk comparatively expensive food. Also if dairying is to play its part in rural development policies, the price to milk producers has to be remunerative.
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In a situation of increased international prices, low availabilities of food aid and foreign exchange constraints, large-scale subsidization of milk conception will be difficult in the majority of developing countries.
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ABOUT NDDB-
The National Dairy Development Board was created to promote, finance and support producer-owned and controlled organizations. NDDB's programmers and activities seek to strengthen farmer cooperatives and support national policies that are favorable to the growth of such institutions. Fundamental to NDDB's efforts are cooperative principles and cooperative strategies.
An institution of national importance Due to very wide dispersal of producing and consuming units of milk, the unorganized sector continues to dominate the milk marketing in India. However, the market structure for milk is constantly changing. The organized sector now handles above 20% of the milk output in the country. The cooperative sector accounts for nearly 50% of this. There are over 1.10 lakh milk producers cooperatives federated into district milk unions and state dairy federations, which have organic links with the Mother Dairy at the nation level.
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It is hearting to note that the milk producers in the Anand modal of milk production get net of intermediation, about 60% of the final price. In other basic foods, the returns are as low as 30% of the final price. NDDB supports the development of dairy Cooperatives by providing them financial assistance and technical expertise. Over the years, brands in milk products created by cooperatives have become synonymous with quality and value. Brands like Amul (GCMMF), Vijaya (A.P.), Verka (Punjab), Saras (Rajasthan), Nandini (Karnataka), Milma (Kerala) and Gokul (Kolhapur) are among those that have earned customer confidence. The Dairy Cooperative Network I) include 170 milk unions ii) operates in over 338 districts iii) covers nearly 1, 08574 village level societies IV) is owned by nearly 12 million farmer members.
Milk production
Indias milk production increased from 88.1 million MT in 2003-04 to 105 million MT in 2008-09. Indias 3.8 percent annual growth of milk production surpasses the 2 percent growth in population; the net increase in availability is around 2 percent per year.
Marketing
In 2008-09, average daily cooperative milk marketing stood at 183.75lakh liters; annual growth has averaged about 4.8 percent compounded over the last five years. Dairy cooperatives now market milk in about 200 cities including metros and some 550 smaller towns.
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During the last decade, the daily milk supply per 1,400 urban consumers has increased from 21.5 to 68.0 liters
Innovation
Bulk vending saving money. Milk travels as far as 2,200 kilometers to deficit areas, carried by innovative rail and road milk tankers. Ninety five percent of dairy equipment is produced in India, saving valuable foreign exchange.
CONSTITUTION
The National Dairy Development Board has been constituted as a body corporate and declared an institution of national importance by an Act of India's Parliament. The National Dairy Development Board -- initially registered as a society under the Societies Act 1860 -- was merged with the erstwhile Indian Dairy Corporation, a company formed and registered under the Companies Act 1956, by an Act of India's Parliament - the NDDB Act 1987 (37 of 1987), with effect from 12 October, 1987. The new body corporate was declared an institution of national importance by the Act.
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agriculture, especially for the weaker sections of the society in the rural areas. Adequate provision has been made for technical and attendant services such as artificial insemination, animal health, fodder seeds and nutritive cattle food.
OBJECTIVES
Evaluation of standard of quality of milk and milk product to be marketed by Federation. To provide encouragement incentive on production, Procurement, Processing and marketing activities of milk product for the economic development of farmer community. To encourage market and R & D programmes. To help member milk unions in technology administrative, financial assistance To encourage activities related to development and extension of dairy industry to the economic development of milk producers and dairy industry. To establish collection and refrigeration centers, liquid milk units and processing facilities for distribution and sale of items purchased from various sources.
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DAIRY CO-OPERATIVES Dairy Cooperatives account for the major share of processed liquid milk marketed in the country. Milk is processed and marketed by 170 Milk Producers' Cooperative Unions, which federate into 15 State Cooperative Milk Marketing Federations. The Dairy Board's programmes and activities seek to strengthen the functioning of Dairy Cooperatives, as producer-owned and controlled organizations. NDDB supports the Development of dairy cooperatives by providing them financial assistance and technical Expertise, ensuring a better future for India's farmers. Over the years, brands created by cooperatives have become synonymous with quality and value. Brands like Amul (GCMMF), Vijaya (AP), Verka (Punjab), Saras (Rajasthan). Nandini (Karnataka), Milma (Kerala) and Gokul (Kolhapur) are among those that have earned customer confidence. Some of the major Dairy Cooperative Federations include: Andhra Pradesh Dairy Development Cooperative Federation Ltd (APDDCF) Bihar State Cooperative Milk Producers' Federation Ltd (COMPFED) Gujarat Cooperative Milk Marketing Federation Ltd (GCMMF) Haryana Dairy Development Cooperative Federation Ltd. (HDDCF) Himachal Pradesh State Cooperative Milk Producers' Federation Ltd (HPSCMPF)
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Karnataka Cooperative Milk Producers' Federation Ltd (KMF) Kerala State Cooperative Milk Marketing Federation Ltd (KCMMF) Madhya Pradesh State Cooperative Dairy Federation Ltd (MPCDF) Maharashtra Rajya Sahakari Maryadit Dugdh Mahasangh (Mahasangh) Orissa State Cooperative Milk Producers' Federation Ltd (OMFED) Pradeshik Cooperative Dairy Federation Ltd (UP) (PCDF) Punjab State Cooperative Milk Producers' Federation Ltd (MILKFED) Rajasthan Cooperative Dairy Federation Ltd (RCDF) Tamilnadu Cooperative Milk Producers' Federation Ltd (TCMPF)
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PROFILE
History of co-operative dairy industry in U.P. dates back to 1971 when katra cooperative milk society was set up in Allahabad; Allahabad milk union was established in 1985. In 1962, the PRADESHIK CO-OPERARTIVE DAIRY FEDERATION was established, keeping in mind the aim to consumers and also to help the backward classes and villagers economically. Pradeshik co-operative dairy federation is a pioneer milk production. With the main objective of removing the middleman from transaction between producers and consumers, its other objective care to nearest milk production and by products of the milk. Keeping these objectives and aim in mind pradeshik co-operative dairy federation was set up as the state level as apex body for launching operation flood. The government body for all dairies of the state.
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Pradeshik Cooperative Dairy Federation Ltd (Parag) 29 Park Road Head Office (522) 2236465 2236035
Industry : City : State : Pin : Company Type : Total Turnover : No. of Employees : Sector :
Food Processing/ Beverages Allahabad Uttar Pradesh 226001 Industry Best 1000-2500 Crs 2501 -5000 Public Sector
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Agra Dugdh Utpadak Sahakari Sangh Ltd, Agra. Aligarh Dugdh Utpadak Sahakari Sangh Ltd, Aligarh. Allahabad Dugdh Utpadak Sahakari Sangh Ltd, Allahabad. Azamgarh Dugdh Utpadak Sahakari Sangh Ltd, Azamgarh. Badaun Dugdh Utpadak Sahakari Sangh Ltd, Badaun. Ballia Dugdh Utpadak Sahakari Sangh Ltd, Ballia. Banda Dugdh Utpadak Sahakari Sangh, Banda. Barabanki Dugdh Utpadak Sahakari Sangh Ltd, Barabanki. Bareilly Dugdh Utpadak Sahakari Sangh Ltd, Bareilly. Bijnore Dugdh Utpadak Sahakari Sangh Ltd, Bijnore. Bulandshahr Dugdh Utpadak Sahakari Sangh Ltd, Av Milk Proc: 70,668 lpd. Bulandshahr. Etah Dugdh Utpadak Sahakari Sangh Ltd, Etah. Soc: 124, Av Milk Proc: 7,100 lpd. Mems: 7,870. Etawah Dugdh Utpadak Sahakari Sangh Ltd, Etawah. Farrukhabad Dugdh Utpadak Sahakari Sangh Ltd, Fatehgarh. Fatehpur Dugdh Utpadak Sahakari Sangh Ltd, Fatehpur. Ferozabad Dugdh Utpadak Sahakari Sangh Ltd, Shikohabad. Gangol Sahkari Dugdh Utpadak Sangh Ltd, Meerut. Ghaziabad Dugdh Utpadak Sahakari Sangh Ltd, Hapur. Ghazipur Dugdh Utpadak Sahakari Sangh Ltd, Ghazipur. Gonda Dugdh Utpadak Sahakari Sangh Ltd, Gonda. Gorakhpur Dugdh Utpadak Sahakari Sangh Ltd, Gorakhpur. Av Milk Proc: 4,100 lpd. Av Milk Proc: 4,331 lpd. Av Milk Proc: 48,066 lpd. Av Milk Proc: 6,440 lpd. Av Milk Proc: 7,290 lpd. Av Milk Proc: 24,000 lpd. Av Milk Proc: 9,935 lpd. Av Milk Proc: 28,271 lpd. Av Milk Proc: 31,150 lpd. Av Milk Proc: 4,790 lpd. A Milk Proc: 32,054 lpd. Av Milk Proc: 30,000 lpd.
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Hamirpur Dugdh Utpadak Sahakari Sangh, Hamirpur. Hardoi Dugdh Utpadak Sahakari Sangh Ltd, Hardoi. Jalaun Dugdh Utpadak Sahakari Sangh Ltd, Orai. Jaunpur Dugdh Utpadak Sahakari Sangh Ltd, Jaunpur. Kanpur Dugdh Utpadak Sahakari Sangh Ltd, Kanpur. Allahabad Producers' Coop Milk Union Ltd, Allahabad. Mainpuri Dugdh Utpadak Sahakari Sangh Ltd, Mainpuri. Mathura Dugdh Utpadak Sahakari Sangh Ltd, Mathura. Mirzapur Dugdh Utpadak Sahakari Sangh Ltd, Mirzapur. Moradabad Dugdh Utpadak Sahakari Sangh Ltd, Moradabad. Muzaffarnagar Dugdh Utpadak Sahakari Sangh Ltd, Muzaffarnagar. Pratapgarh Dugdh Utpadak Sahakari Sangh Ltd, Pratapgarh. Rae Bareli Dugdh Utpadak Sahakari Sangh Ltd, Rae Bareli. Saharanpur Dugdh Utpadak Sahakari Sangh Ltd, Saharanpur. Shahjahanpur Dugdh Utpadak Sahakari Sangh Ltd, Shahjahanpur. Sitapur Dugdh Utpadak Sahakari Sangh Ltd, Sitapur. Sultanpur Dugdh Utpadak Sahakari Sangh Ltd, Sultanpur. Unnao Dugdh Utpadak Sahakari Sangh Ltd, Unnao Varanasi Dugdh Utpadak Sahakari Sangh Ltd, Varanasi. Av Milk Proc: 9,381 lpd. Av Milk Proc: 5,930 lpd. Av Milk Proc: 12,370 lpd. Av Milk Proc: 3,255 lpd. Av Milk Proc: 4,700 lpd. Av Milk Proc: 12,456 lpd. Av Milk Proc: 9,000 lpd. Av Milk Proc: 16,657 lpd. Av Milk Proc: 52,000 lpd. Av Av Milk Proc: 17,000 lpd. Av Milk Proc: 11,381 lpd. Av Milk Proc: 2,700 lpd. Av Milk Proc: 83,700 lpd. Milk Proc: 6,000 lpd. Av Milk Proc: 13,000 lpd. Av Milk Proc: 14,500 lpd.
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COMPANY PROFILE
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Established
Registration
Place of establishment
: Initially at Charbagh,
Shifted to Ganeshganj.
Road, Allahabad
Founder
Board of Directors
Mr. N.C.Chaturvedi
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Location
: Initially Charbagh, at
Area of Distribution
Despite several setbacks and hurdles the co-operative has steadily progressed. Operation Flood-II, which was implemented in U.P in the year 1983-84, provided the much needed to the co-operative. For the past few years Allahabad Pradeshik Co-operative Dairy Federation has maintained its lead in area such as distribution, handling and revenue.
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CORPORATE OVERVIEW
MISSON: PCDFS mission is to become the strongest marketing organization by 2005.PCDFS come into existence in 23rd march 1938, with the simple intension of ensuring a fair return to the producers. Which was implemented in UP is the year 19831984 provided the much needed impetus to co-operation. The mission was to develop a product mix that would not only promote sustained growth but also help member union to develop adequate.
VISION: PARAG will continue to grow as an FMCG major, delighting national and
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BOARD OF DIRECTOR
MANAGING DIRECTOR
PRODUCTION MANAGER
PERSONNEL MANAGER
MARKETING MANAGER
FINANCE MANAGER
SUPRINTENDENT OFFICER
SUPRINTENDENT OFFICER
SUPRINTENDENT OFFICER
SUPRINTENDENT OFFICER
SALES SUPERVISOR
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Recommending specification for increasing productivity of milk producer and related milk societies and member of milk union and members of milk union.
To provide encouragement incentives on production procure, processing and marketing activities of milk products for the economic development of farmer community.
To improved live stock health and disease control facilities by providing veterinary services, artificial insemination and animals health service to help cooperative milk unions to achieve this objective.
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To encourage market and research and development programmes. To help members milk unions in technology, administrative and financial assistance.
To arrange collection, storage and transportation of milk and product. To encourage activities related to development and extension of dairy industry to improve the economic development of milk producers and dairy industry.
To establish collection and refrigeration centers, liquid milk units and processing from various sources.
Amul products still have to face very tough competition in Allahabad with Parag due to the efficient distribution network of the marketing divisions of the PCDF.
DETAILS OF FUNCTIONAL DEPARTMENT OF THE ORGANIZATION REGIONAL MARKETING OFFICES: The marketing of PARAG products is monitored and affected through their six regional marketing offices located at Allahabad, Rampur, and Delhi, Merrut and varanashi & Kolkata. A regional manager (Marketing) who has a certain area office and also one warehouse located in the above towns. Products are transferred from General Manager (Marketing) at the head office to the stockiest to through the Customer & Forwarding agent and around their respective regions.
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Regional Manager is assisted in his marketing function by team of sales Force who basic task is the calls on the retailer, book order, increase the no. of retailers and study competitive environment. The entire marketing operation monitored at the head office level under the supervision of the General Manager (Marketing) through regular reporting feedback received from the head office marketing staff that makes regular intervals at the head office.
The organization is equipped with sophisticated plants & machinery to manufacture Ghee, Table butter, Milk butter, Milk powder and other dairy products on a big scale.
PCDF has also distinction of having the most sophisticated & fully computerized first vertical dairy n India. This is a state of the art project with its various sections located in the basement and three floors of the building.
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MARKETING:
The federation is marketing milk & milk products, under a common brand name PARAG. The clientele includes several prestigious institutions in UP & Delhi besides the Indian army. The sales network is spread throughout northern India. Although PCDF believe that a satisfied customer is their best advertisement.
OTHER PROGRAMMES:
Due to its reputation, efficiency, wide network and quality manpower, PCDF is currently implementing following developmental and promotional programmes supported by central/state govt.
Integrated mini dairy project (IMDP) Women dairy project (WDP) Rural family welfare projects (RFWP) Diversified agriculture support project(DASP)
These programmes have won many laurels for PCDF adding further to its reputation. PCDFs real sense of pride lies in the facts that its farmer member are heading surely and steadily towards a prosperous future and the knowledge that its consumers reaffirm their faith in PARAG, year after year. It is in this context, that PCDFs success is to be measured.
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FIRST CATEGORY: Drinking water Restroom Uniform Canteen Health and safety measures within the establishment
Other facilities include death relief fund festival bonus, overtime payment welfare funds, group insurance policy, etc. 41
PRODUCTS OF COMPANY
PARAG deals in various Products in the market such as milk of different variety and different Composition in the same they deal in Curd, Cheese, Ghee, Butter etc.
Liquid milk Milk Cake Paneer White Butter Table Butter Parag Ghee Parag skimmed milk powder Parag peda Parag Dahi Parag flavored milk Parag Mattha Parag kheer Parag khoya Parag besan laddoo
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In the following table the details of the products are given with their Weight and Rate.
Rate List
S. No. Name of PARAG Products Pack Size Agent Rate (Rs. /-) Consumer Rate (Rs. /-)
PARAG GOLD
5 Liter
137.50
140.00
PARAG GOLD
1 Liter
29.00
30.00
PARAG GOLD
500 Ml
14.50
15.00
PARAG TAZA
1 Liter
23.20
24.00
PARAG TAZA
500 ml
11.60
12.00
PARAG TAZA
200 ml
4.30
4.50
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PARAG LITE
500 ml
7.50
8.00
PARAG LITE
200 ml
3.30
3.50
120.95
127.00
10
51.43
54.00
11
240.00
252.00
12
PARAG BUTTER
20 gm
4.50
4.90
13
PARAG BUTTER
50 gm
12.00
13.00
14
PARAG BUTTER
100 gm
23.25
25.00
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PARAG BUTTER
500 gm
115.50
120.00
16
PARAG PERA
250 gm
37.00
40.00
17
100 ml
5.50
6.50
18
200 ml
11.00
12.00
19
10.00
11.00
20
10.00
21
200 ml
12.00
13.00
22
6.50
7.00
45
23
100 ml
11.00
12.00
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PARAG CHANCH
500 ml
5.40
6.00
25
200 ml
3.80
4.00
26
4000.00
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PARAG RUSGULLA
1 kg
120.00
130.00
28
500 gm
65.00
70.00
29
200 gm
26.00
28.00
30
250 gm
37.00
40.00
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PUBLIC RELATIONS
MARKET PENETRATION
Might consider whether its major brand can achieve deeper market penetration marketing more sales to present customer without changing products in any way. So to increase the sales, the company might cut prices, increase advertising, get its products into more stores, or obtain better store displays and point of purchase merchandising from its retailers. Basically the management should like to increase usage by current customers of other brands to theirs.
Milk Product Marketing The project marketing division is handling the marketing of butter ghee and dairy whitener. A part of this, there is creation indigenous products being marketed directly by: 1. 2. 3. Milk butter in 20 mg. Pack Table butter in 20 mg. Pack Pannier 100 gm. Polypack, 500 gm. Polypack.
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The given points show PARAG industry bring normal milk, how by testing them and take other steps and at last packing of the milk take place.
Firstly they collect milk from the villages nearby. Loading of the milk in the tanker of the factory. Then we pasteurize the milk with the help boiler house and Refrigeration house. In the lab we test that whether milk has been Pasteurize or if it not then sends back for Pasteurization or not if it not then sends back for Pasteurization again.
After testing pasteurization of the milk then test Bacterias are present in the milk or not.
If Bacteria are not present in the milk has been send for packing and from there packets of the milk come out.
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STRENGTH: The major strength of the traditional dairy products sector is the mass appeal enjoyed by the wide variety of products. The market for these products far exceeds that for western dairy products like milk powder, table butter and cheese. Their operating margins are also much higher than the western dairy products. The increasing demand for these products presents a great opportunity for the organized dairies in the country to modernize and scale up the production. WEAKNESS: The major weakness of this sector is the practice of inadequate hygiene in the preparation and handling of these products and their relatively short shelf life. The preparation and marketing of these products is generally done by hallways, and that limits development in the sector. OPPORTUNITY: The expanding business prospects provided by these products and their accompanying value-addition, call for a through study of this sector. If would facilitate and increase in the production and marketing of hygienically prepared and properly packed products to meet the demand of a growing population as has been demonstrated at the NDBSs Sugam Dairy.
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THREATS Milk vendors, the un-organized sector: Today milk vendors are occupying the pride of place in the industry. Organized dissemination of information about the harm that they are doing to producers and consumers should see a steady decline in their importance.
STRATEGIES IN DIFFERENT STAGES OF PLC OF PRODUCTS INTRODUCTION STAGES: 1. 2. Rapid Skimming : Most of market unaware of product. When award consumer are ready to pay high price. There is the threat of competition coming quickly. Slow Skimming : Most of the markets are aware of the product. Market is limited. When there is threat of competition.
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Enter new market segment. Improve distribution coverage. Reduce price to attract price sensitive buyers.
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CUSTOMER SATISFACTION
Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is seen as a key performance indicator within business and is part of the four perspectives of a Balanced Scorecard.
In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy.
Organizations are increasingly interested in retaining existing customers while targeting non-customers; measuring customer satisfaction provides an indication of how successful the organization is at providing products and/or services to the marketplace.
Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and product/service to product/service. The state of satisfaction depends on a number of both psychological and physical variables which correlate with satisfaction behaviors such as return and recommend rate. The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the
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Organizations products. Because satisfaction is basically a psychological state, care should be taken in the effort of quantitative measurement, although a large quantity of Research in this area has recently been developed. Work done by Berry, between 2005 and 2006 defined ten 'Quality Values' which influence satisfaction behavior, further expanded by Berry in 2007 and known as the ten domains of satisfaction. These ten domains of satisfaction include: Quality, Value, Timeliness, Efficiency, Ease of Access, Environment, Inter-departmental Teamwork, Front line Service Behaviors, Commitment to the Customer and Innovation.
These factors are emphasized for continuous improvement and organizational change measurement and are most often utilized to develop the architecture for satisfaction measurement as an integrated model. Work done by Parasuraman, Zeithaml and Berry between 2007 and 2008 provides the basis for the measurement of customer satisfaction with a service by using the gap between the customer's expectation of performance and their perceived experience of performance. This provides the measurer with a satisfaction "gap" which is objective and quantitative in nature.
The loyalty business model is a business model used in strategic management in which company resources are employed so as to increase the loyalty of customers and other stakeholders in the expectation that corporate objectives will be met or surpassed. A typical example of this type of model is: quality of product or service leads to customer satisfaction, which leads to customer loyalty, which leads to profitability.
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A model by Kay Storbacka, Tore Strandvik, and Christian Gronroos (2001), the service quality model, is more detailed than the basic loyalty business model but arrives at the same conclusion. In it, customer satisfaction is first based on a recent experience of the product or service. This assessment depends on prior expectations of overall quality compared to the actual performance received. If the recent experience exceeds prior expectations, customer satisfaction is likely to be high. Customer satisfaction can also be high even with mediocre performance quality if the customer's expectations are low, or if the performance provides value (that is, it is priced low to reflect the mediocre quality). Likewise, a customer can be dissatisfied with the service encounter and still perceive the overall quality to be good. This occurs when a quality service is priced very high and the transaction provides little value.
This model then looks at the strength of the business relationship; it proposes that this strength is determined by the level of satisfaction with recent experience, overall perceptions of quality, customer commitment to the relationship, and bonds between the parties. Customers are said to have a "zone of tolerance" corresponding to a range of service quality between "barely adequate and "exceptional." A single disappointing experience may not significantly reduce the strength of the business relationship if the customer's overall perception of quality remains high, if switching costs are high, if there are few satisfactory alternatives, if they are committed to the relationship, and if there are bonds keeping them in the relationship.
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The existence of these bonds acts as an exit barrier. There are several types of bonds, including: legal bonds (contracts), technological bonds (shared technology), economic bonds (dependence), knowledge bonds, social bonds, cultural or ethnic bonds, ideological bonds, psychological bonds, geographical bonds, time bonds, and planning bonds. This model then examines the link between relationship strength and customer loyalty. Customer loyalty is determined by three factors: relationship strength, perceived alternatives and critical episodes. The relationship can terminate if:
2) The customer no longer has a need for the company's products or services.
The final link in the model is the effect of customer loyalty on profitability. The fundamental assumption of all the loyalty models is that keeping existing customers is less expensive than acquiring new ones.
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According to Buchanan and Gilles (2002), the increased profitability associated with customer retention efforts occurs because: Account maintenance costs decline as a percentage of total costs (or as a percentage of revenue). Long term customers tend to be less inclined to switch and also tend to be fewer prices sensitive. This can result in stable unit sales volume and increases in dollarsales volume. Long term customers may initiate free word of mouth promotions and referrals. Long term customers are more likely to purchase ancillary products and high-margin supplemental products. Long term customers tend to be satisfied with their relationship with the company and are less likely to switch to competitors, making market entry or competitors' market share gains difficult. Regular customers tend to be less expensive to service because they are familiar with the processes involved, require less "education," and are consistent in their order placement. Increased customer retention and loyalty makes the employees' jobs easier and more satisfying. In turn, happy employees feed back into higher customer satisfaction in a virtuous circle.
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LOYALTY MARKETING
Loyalty marketing is an approach to marketing, based on strategic management, in which a company focuses on growing and retaining existing customers through incentives. The discipline of customer loyalty marketing has been around for many years, but expansions from it merely being a model for conducting business to becoming a vehicle for marketing and advertising have made it omnipresent in consumer marketing
Organizations since the mid- to late-1999s. Some of the newer loyalty marketing industry insiders, such as Chris X. Moloney and Fred Reichheld, have claimed a strong link between customer loyalty marketing and customer referral. In recent years, a new marketing discipline called "customer advocacy marketing" has been combined with or replaced "customer loyalty marketing." To the general public, many airline miles programs, hotel frequent guest programs and credit card incentive programs are the most visible customer loyalty marketing programs.
CUSTOMER FOCUS
Many companies today have a customer focus (or customer orientation). This implies that the company focuses its activities and products on consumer demands. Generally there are three ways of doing this: the customer-driven approach, the sense of identifying market changes and the product innovation approach.
In the consumer-driven approach, consumer wants are the drivers of all strategic marketing decisions. No strategy is pursued until it passes the test of consumer research.
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Every aspect of a market offering, including the nature of the product itself, is driven by the needs of potential consumers. The starting point is always the consumer. The rationale for this approach is that there is no point spending R&D funds developing products that people will not buy. History attests to many products that were commercial failures in spite of being technological breakthroughs.
A formal approach to this customer-focused marketing is known as SIVA (Solution, Information, Value, and Access). This system is basically the four Ps renamed and reworded to provide a customer focus.
The SIVA Model provides a demand/customer centric version alternative to the wellknown 4Ps supply side model (product, price, place, promotion) of marketing management.
Place ->Access
The four elements of the SIVA model are: Solution: How appropriate is the solution to the customers problem/need.
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Information: Does the customer know about the solution, and if so how, who from, do they know enough to let them make a buying decision
Value: Does the customer know the value of the transaction, what it will cost, what are the benefits, what might they have to sacrifice, what will be their reward?
Access: Where can the customer find the solution? How easily/locally/remotely can they buy it and take delivery.
This model was proposed by Chekitan Dev and Don Schultz in the Marketing Management Journal of the American Marketing Association, and presented by them in Market Leader - the journal of the Marketing Society in the UK.
The model focuses heavily on the customer and how they view the transaction.
PRODUCT FOCUS
In a product innovation approach, the company pursues product innovation, and then tries to develop a market for the product. Product innovation drives the process and marketing research is conducted primarily to ensure that a profitable market segment(s) exists for the innovation. The rationale is that customers may not know what options will be available to them in the future so we should not expect them to tell us what they will buy in the future. However, marketers can aggressively over-pursue product innovation and try to overcapitalize on a niche. When pursuing a product innovation approach, marketers must ensure that they have a varied and multi-tiered approach to product innovation.
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RESEARCH METHODOLOGY
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INTRODUCTION:My research project work is the study A STUDY THE CUSTOMER PERCEPTION REGARDING PARAG PRODUCTS IN ,ALLAHABAD .This chapter include signification of research, research design, sample size, sampling method, method of data collection etc.
MEANING OF RESEARCH:Research in common pariance refers to a search for knowledge. One can also define research as a scientific systematic research for pertinent information on a specific topic. In fact, research is an art of scientific investigation. The Advanced Learners Dictionary of current English lays down the meaning of research as a careful investigation or inquiry especially through search for new facts in any branch of Knowledge.
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RESEARCH METHODOLOGY Marketing Research is a key to evolution of successful marketing & programmes. It is an important tool to study buyer behaviors, changes in consumer life style & consumption patterns brand loyalty and forecast market changes. Research is also used to study competition & analysis the competitors products positioning, MR is also useful to help create & enhance equity.
SIGNIFICATION OF RESEARCH 1. Research inculcates scientific and inductive thinking and it promotes the development of logical habits of thinking and organization. 2. The role of research is several fields of applied economics, whether related to business or to the economy as a whole, as the greatly increased in modern times. The increasingly complex nature of business and government has focused attention of the use of research in solving operational problems. 3. Research provides the basis for nearly all government polices in our economic system. 4. Research has its special significance in solving various operational and planning problems of business and industry. Operations research and market research, along with motivational research are considered crucial and their results assist, in more than one way, in taking business decisions. 5. Research is equally important for social scientists is studying social relationships and in seeking answers to various social problems. It provides the intellectual
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satisfaction of knowing a few things just for the sake of knowledge and also has practical utility for the social scientist to know for the sake of being able to do something better or in a more efficient manner.
Exploratory research studies are also term as formulating research studies. The main purpose of such studies is that of formulating a problem for more precise investigation or of developing the working hypothesis from an operational point of view the major emphasis in such studies is on the discovery of idea and insights. As such there research design appropriates for such studies must be flexible enough to provide opportunity for considering different aspect of a problem under study.
Present research is exploratory in nature it is aim together relevant information customer perception towards PARAG PRODUCTS in Allahabad, and about their loyalty towards the PARAG.
For this research project two types of data has been use
a. Primary data
b. Secondary data
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PRIMARY DATA
Primary data are those, which are collected for the first time and are those original in character. Primary data are in the shape of raw material to which statistical method are applied for the purpose of analysis & interpretation primary are been collected in market by following method:
Questionnaire(100) respondents
I have been collecting primary data by the method of survey of persons. Because of systematic gathering of data from respondents through questionnaire, which is objective oriented, unambiguous interesting, simple, accurate and systematic motivating to respondent and complete in information concern?
SECONDARY DATA
Secondary data are those which have already been collected by some other person and which have been passed through the statistical machine at least once.
I collect the Secondary data with the help of company records and company website etc.
EXTERNAL DATA:
This type of Secondary data can be obtained from the outside sources e.g. magazine, journal, newspaper, article and the World Wide Web.
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METHOD OF DATA COLLECTION: As the research is about consumer behavior so Questionnaire is the best method to collect information about the consumer perception.
AREA OF THE STUDY: This study covers Allahapur, Katra, Phaphamau, Shobitya, Rambagh, Salori, Govindpur, Civil Lines only. SAMPLE SIZE: The sample size covered for the purpose of this study is 100. SAMPLING METHOD: Stratified sampling. Because, I have done my research in specific area.
The sampling procedure may be summarized as follow The universe to be sample is divided (or stratified) into group. Those are mutually exclusive and include all items in the universe. A simple random sample is than chosen independently from each group of Stratum. The process of stratified random sampling differs from simple random sampling in that, with the later, sample item are chosen from each stratum chance.
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DATA ANALYSIS
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TABULATIONS OF DATA
1.
Product name
Number of Consumers
Percentage
FLAVORED MILK SWEET CURD MATTHA MILK CAKE ICE CREAM PANEER
52 32 50 14 06 08
52 32 50 14 06 08
X axis 60 40 20 0 52%
CONSUMER PREFERENCE
50% 32% 14% 6% FLAVORED MILK SWEET CURD 8% MATTHA MILK CAKE Y axis ICE CREAM PANEER
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InterpretationThe above table shows that 52% consumers are consuming Flavoured milk, 50% Consumers are consuming Mattha, 32% Sweet Curd, 14% consumers are consuming Milk cake, 6% Ice cream and 8% Paneer.
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2.
Product Name
Daily FLAVORED MILK 60
No. of consumers
Weekly 34 Monthly 08
20 0 22
38 67 68
42 33 10
consumption of products
X axis 80 70 60% 60 50 40 30 20% 20 10 0 FLAVORED MILK MATTHA PANEER SWEET CURD 8% 0% 10% Y axis 34% 38% 42% 33% 22% Daily Weekly Monthly 67% 68%
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Interpretation-The above table shows that 60%, 20%, 8% Flavored milk, 20%, 38%, 42%Mettha, 0%, 67%, 33%Paneer, 22%, 68%, 10% Sweet curd consumer use Daily, weekly, monthly respectively.
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3.
Do you think that parag products are worth the money paid by you?
Think
Yes No.
No. of consumers
84 16
Percentage
84 16
X axis 100 80 60 40 20 0
YES
NO
Y axis
InterpretationThe above table shows the 84% consumers think that parag products are worth the money Paid by them, 16% consumers think that parag products are not worth the money paid by them.
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Cause of buying
Price Brand Name Taste Purity Quality
No. of Consumers
54 16 64 54 68
Percentage
54 16 64 54 68
BASIS OF BUYING
X axis 70 60 50 40 30 20 10 0 PRICE BRAND NAME TASTE PURITY QUALITY Y axis 16% 54% 64% 54% PRICE BRAND NAME TASTE PURITY QUALITY 68%
FIG. 4 The response of respondents towards buying preference due to Price, Brand name,
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InterpretationFrom the above table it is clear that the mostly 68% consumer buy Parag products due to Its better quality, 64% due to taste 54% due to price & purity and 16% due to brand name of it.
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5.
If other brands are available at the same quality, would you like to switch over to
other brand?
TABLE NO. 5 The response of respondents towards switching over to other brands if
Think
Yes No.
No. of consumers
32 64
Percentage
32 68
NO Y axis
FIG. 5 The response of respondents towards switching over to other brands if available at
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InterpretationAbove table shows that 32% consumers would switch over when other brands are available in same quality 68% have no effect.
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6.
Do you come across problems regarding the non availability of Parag products?
Table No. 6- The response of respondents towards facing problem in availability of parag product.
Think
Yes No.
Consumers
88 12
Percentage
88 12
FIG. 6- The response of respondents towards facing problem in availability of parag product. InterpretationAbove table shows that 88% consumers want more number of booths set up in their location & 12% have no effect.
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7.
Think
Yes No.
Consumers
60 40
Percentage
60 40
X axis 60 50
InterpretationAbove table shows that mostly 60% consumers are satisfied with price of parag products 40% are dissatisfied.
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8.
Think
Yes No.
Consumers
92 08
Percentage
92 08
X axis 100 80 60 40 20 0
InterpretationAbove table shows that most of 92% consumers are satisfied with quality of Parag Products and only 8% are dissatisfied.
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9. Which brand of milk or milk product you usually prefer to use? Table No. 9 Company Parag Amul Deva Fresh No. of consumer in% 54 19 4 23
23%
4% 54% 19%
Analysis: 1. 2. 3. 4. It is clear from the chart that 54% people give preference to parag. 30% people of the sample buy Amul milk. 12% people are taking deva milk. 4% people are using Fresh milk.
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PURCHASING TIME
24%
1. 2. 3.
46% consumer is buying milk in the morning. 24% Consumers are buying milk in evening. 30% Consumer are buying milk in both times.
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3. How much quantity of milk you purchase per day? QUANTITY NORMALLY DEMANDED OF MILK
QUANTITY DEMANDED
6%
1. 2. 3.
63% Consumer are buying one liter milk. 31% Consumers are buying 0.5 liter milk. 6% Consumer are buying 0.25 Liter milk.
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60% consumer are satisfied with the price of Parag products, 40% consumer are dissatisfied.
92% consumers are satisfied with the quality of Parag products & 8% consumers are dissatisfied.
88% consumer wants more number of Parag booths to be set in their locality & 12% have no effect.
32% consumers have positive response to switch over, if other brands are available at the same quality & 68% consumer have no response.
We contacted with 100 consumers, 54 consumers are using Parag Milk but 46 consumers use other brands.
During the survey we found 63% Consumer are buying one liter milk, 31% Consumers are buying 0.5 liter milk, and 6% Consumer are buying 0.25 Liter
milk.
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FINDINGS
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FINDINGS
By the help of analysis & interpretation of the data we come to some findings, these findings are as follows. PARAG has good market position in the regional market. It holds 52% of market
Share. This shows the loyalty of customers towards the PARAG. Most of the customers are satisfied with the quality & availability of PARAG products. Increasing price of PARAG milk & other products are the big challenge for the PARAG, because these products are available in the market at the comparatively lower price. Customers want to make the availability of the PARAG products nearer to their home. Establishment of PARAG milk ATM gives the PARAG a competitive advantage and enhance the availability among the customers. 40% of customers are not satisfied with the price of the PARAG products. They suggest the reduction in the price of PARAG products. Some customers want to improve the packaging of the PARAG products. Most of the customers are aware about the new PARAG products from the retailer shops. That is retailers are the main source of making the customer aware about the PARAG products.
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1. More milk ATM should be established to enhance the availability of Parag milk. 2. Make the customers aware about the Parag products through different mode of
advertisement.
3. There should be no leakage in the liquid milk & if the exists than these packets
should be replaced.
4. Packing of the liquid milk should be reusable that helps to reduce the price of the
products.
5. On line information about the Parag products & trading should be facilitate by the
company.
6. There should be regular visit for getting the customer feedback about the Parag
products. This helps to know the changing demand of the customers.
7. For fulfilling the increasing demand of milk the company should try to increase the
production.
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CONCLUSION
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CONCLUSION
Company is the most recognized trade marks in the world and the Indias largest Acquisition, manufacturer and distributor s to dairy product. Parag management official, Executives and Distributors should have strong commitment to the companys values and culture. It is the entire team work together as Parag family and share responsibility independent as family member. As consider to my topic Sales Promotion Strategy and my survey I realized that company will go to growth and healthy image in the consumer mind by its brand name Parag especially for dairy product. Parag has a great name and fame in the market and also make loyal consumer.
It is also concluded that the raw material which has been ordered by the company is best quality and time arrival of the raw material and distribution is also proper. The material which is entered in the company is registered and proper record of the inventory is maintained in the company. The company is also having proper communication which helps in reduction of wasted times.
At last it is concluded that the company as a whole is a well branded company. The goodwill of the company is very high. I feel and ensure that the mission of Parag Company will be achieved successfully.
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LIMITATIONS
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LIMITATIONS
The reliability and scope of survey greatly relies on the cooperation of the respondents.
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ANNEXURE
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QUESTIONNAIRE-
This questionnaire has been designed for a survey on A STUDY OF CONSUMER PERCEPTION ABOUT PARAG PRODUCTS IN LMU,ALLAHABAD.Your inputs will
be crucial in making final study.Please take a couple of minute in compeleting this brief questionnaire.This is confidencial & jest for purpose of study.So please provide true inputes.
E. Occupation:
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1.
Flavored milk
Sweet curd
Mattha
Ice cream
Paneer
2.
Flavored milk
(daily/weekly/monthly)
Sweet curd
(daily/weekly/monthly)
Mattha
(daily/weekly/monthly)
Paneer
(daily/weekly/monthly)
3.
Do you think that parag products are worth the money paid by you?
yes No.
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4.
Do you come across problems regarding the non availability of Parag products?
yes No
5.
6.
If other brands are available at the same quality, would you like to switch over to
other brand?
yes No
7.
yes No
99
8.
Yes NO
100
BIBLIOGRAPHY
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BIBLIOGRAPHY
2. OTHER SOURCES :-
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