Consumer Beahviour and Perception of Women Towards Lakme Final

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN
TOWARDS LAKME
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PROJECT REPORT
NAME OF THE ORGANISATION
: LAKME UNILEVER PRIVATE LTD.
PLACE
: BADI, SOLAN
FIELD OF STUDY
:Marketing
TOPIC OF RESEARCH
: CONSUMER BEHAVIOUR AND

PERCEPTION OF WOMEN
TOWARDS LAKME
Submitted To
Institute of Engineering and Emerging Technology, Baddi.

In partial fulfillment of the Requirements for the award of Degree of
Masters of Business Administration.
SUBMITTED BY:
SAPNA SOOD
98/08
MBA
ACKNOWLEDGEMENT
I would like to extend my sincere thanks to my advisor, Ms. Neha for providing me with
continuous support and guidance which was vital for the successful completion of the
project. I would like to take this opportunity to express my gratitude to my project guide,

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Ms Neha, for a significant contribution made by her towards my learning, by way of

making herself available, providing leads in course of the project and most importantly
for the tremendous source of encouragement and inspiration she has bestowed on me
throughout the project.
I express my sincere gratitude to Mr. Vishal kalia for their timely guidance and in
providing the required facilities and information for completing the project.
I am also very indebted to my parents and my brother who have been with me at every
moment of my life.for his kind help and support during the tenure of the project.
I also want to take this opportunity to express my sincere gratitude to my friends and all
the people who encouraged me throughout the project.
I am also thankfull to god for always being there.
To whomsoever it may concern

This is to certify that

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Miss SAPNA SOOD, a student of INSTITUTE OF ENGINEERING AND EMERGING

TECHNOLOGIES, BADDI (IMS) has successfully completed her project work of
marketing entitled CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN
TOWARDS LAKME under the guidance of her project supervisor Miss.Neha.
It is her individual research work done on consumer behavior and perception.
I wish her good luck for her career.
Authorized signatory
Name : NEHA
(Project supervisor)
INDEX

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CHAPTER
PAGE NO
1.EXECUTIVESUMMARY...........6-7
2. INTRODUCTION TO CONSUMER BEHAVIOUR.......8-14
a). CONSUMER BEHAVIOUR...8
b). BLACK BOX MODEL......9
c). SELECTIVE PERCEPTION MODEL.....10
d). FACTORS WHICH INFLUENCE CONSUMER BEHAVIOUR.11-14
3. INTRODUCTION TO PERCEPTION...15-19
a). WHAT IS PERCEPTION, DEFINITION, FEATURES15
b). PERCEPTUAL PROCESS16
c). PERCEPTUAL SELECTIVITY...17-18
d). PERCEPTUAL ORGANISATION...19
4. REVIEW OF LITERATURE ..20
5. INTRODUCTION TO COSMETIC INDUSTRY IN INDIA..21-25
6. INTRODUCTION TO HINDUSTAN UNILEVER PRIVATE LIMITED26-28
a). INTRODUCTION OF HUL26
b). HISTORY....27
c). COMPETITORS.....28
7. INTRODUCTION TO LAKME UNILEVER PRIVATE LIMITED.29-35
a). INTRODUCTION, KEY FACTS AND VISION....29
b). PURPOSE AND PRINCIPLES.30
c). CODE OF BUSINESS PRINCIPLES.31-32
d). LAKMES POSITIONING IN TERMS OF PERSONALITY..33-34
e). HOW LAKME IS INFLUENCING ITS CONSUMERS?......................35

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8. PROFILE OF THE ORGANISATION36

9. RESEARCH METHODOLOGY.37-39
a). OBJECTIVES....37
b). SOURCES OF DATA...38
c). RESEACH DESIGN.38
d). SAMPLING DESIGN.....38
e). SAMPLE SIZE....38
f). SAMPLE DESCRIPTION..38
g). LIMITATION OF STUDY..39
10. DATA ANALYSIS40-43
TESTING OF HYPOTHESIS..........40
b). PROCEDURE FOR TESTING HYPOTHESIS....41
c). CHI SQUARE TEST..41-43
11. DATA INTERPRETATION..44-62
12. FINDINGS.....63
13. SUGGESTIONS...64-65
14. CONCLUSION .....66
15 ANNEXURES.67-68
16. BIBLIOGRAPHY69
EXECUTIVE SUMMARY
a).

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Cosmetics and toiletries are not just the domain of women any longer and Indian
men too are increasingly taking to the use of more and more body sprays, perfumes and other
cosmetics and toiletries. With rising demand from men, the Indian market is getting enlarged and
many players are coming out with cosmetic products especially skin care products for men.
Globalization will certainly increase cosmetic products penetration and all professionals shall
equip themselves to exploit opportunities offered by this sector.
The consumers are the largest economic group in any country and the present day
business activities are because of consumers only. Thus, consumers are the pillars of the
economy. The consumers are not only the heart of marketing system, but also the controller of
marketing functions. But it the modern marketing system consumers sovereignty has become a
myth on account of the variety of problems in the process of merchandising. The study of
consumer behavior enables marketers to understand and predict consumer behavior in the market
place; It also promote understanding of the role that consumption plays in the lives of individual.
This gives me an opportunity to work on with this endeavor focusing on the
Consumer behavior and perception of women towards cosmetics with special reference
to the Lakmes cosmetics products. The primary objective of the study is to understand the
consumer behavior and perception of women by studying the awareness of the financial products
within the consumers and the number of consumers who take the products from Lakme.
The introductory chapter gives and insight to the cosmetic industry. It briefly explains about the
history of cosmetic sector. It also contain the organizational profile of Lakme, stating about its
mile stones, vision, products, protection solutions, advertising effectiveness and finally about its
marketing strategies and challenges.
The second chapter gives a glimpses idea about the area of dissertation i.e. theoretical
background of the study. This part clearly explains the theoretical part of consumer behavior in
general. It also includes statement of the problem, need and impotents of the present study and
focal objectives of the dissertation undertaken. The third chapter explains about literature review.

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It briefly describes what all are the information source for the present study and what benefits
has derived from the reference of those literatures.
Next part explains about the research methodology. With the basic understanding of the study
research design was formulated. To collect the data, questionnaires was prepared.
The necessary data were collected through personal interviews and interaction with users of
Lakme products. This chapter specifically explains about the type of research, sample technique,
sample size, actual collection of data and the tools used for the testing of hypothesis.
The last but one chapter contains the analysis and interpretation of data collected. The collected
data was coded through tally bars and presented in percentage wise and depicted in the form of
graphical representation. It also includes the hypothesis test about the overall result of the present
study.
The last chapter is entirely the exploration of the research study giving all respondents opinion in
nutshell as findings i.e. stating that around percentage of customers behave positively towards
the Lakme,s products. The dissertation ends up with the suggestions in order to modify the
current system for a higher growth and progress.

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INTRODUCTION TO CONSUMER BEHAVIOUR

Consumer behaviour is the study of when, why, how, and where people do or do not
buy product. It blends elements from psychology, sociology, social anthropology and economics.
It attempts to understand the buyer decision making process, both individually and in groups. It
studies characteristics of individual consumers such as demographics and behavioural variables
in an attempt to understand people's wants. It also tries to assess influences on the consumer
from groups such as family, friends, reference groups, and society in general.
Customer behaviour study is based on consumer buying behaviour, with the customer
playing the three distinct roles of user, payer and buyer. Relationship marketing is an influential
asset for customer behaviour analysis as it has a keen interest in the re-discovery of the true
meaning of marketing through the re-affirmation of the importance of the customer or buyer. A
greater importance is also placed on consumer retention, customer relationship management,
personalisation, customisation and one-to-one marketing. Social functions can be categorized
into social choice and welfare functions.
Each method for vote counting is assumed as a social function but if Arrows possibility theorem
is used for a social function, social welfare function is achieved. Some specifications of the
social functions are decisiveness, neutrality, anonymity, monotonocity, unanimity, homogeneity
and weak and strong Pareto optimality. No social choice function meets these requirements in an
ordinal scale simultaneously. The most important characteristic of a social function is
identification of the interactive effect of alternatives and creating a logical relation with the
ranks. Marketing provides services in order to satisfy customers. With that in mind, the
productive system is considered from its beginning at the production level, to the end of the
cycle, the consumer.
Belch and Belch define consumer behaviour as 'the process and activities people engage in when
searching for, selecting, purchasing, using, evaluating, and disposing of products and services so
as to satisfy their needs and desires'.'
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BLACK BOX MODEL

Marketing
Stimuli
Product
Price
Place
Environmental Buyer
Stimuli
characteristics
economic
attitudes
technological
political
cultural
Promotion
demographic
motivation
perceptions
personality
lifestyle
Decision
problem
Problem
recognition
Information
search
Alternative
evaluation
Purchase
decision
Buyer
response
Product choice
Brand choice
Dealer choice
Purcahse
timing
Purchase
amount
The black box model shows the interaction of stimuli, consumer characteristics,
decision process and consumer responses. It can be distinguished between interpersonal stimuli
(between people) or intrapersonal stimuli (within people). The black box model is related to the
black box theory of behaviourism, where the focus is not set on the processes inside a consumer,
but the relation between the stimuli and the response of the consumer. The marketing stimuli are
planned and processed by the companies, whereas the environmental stimulus are given by social
factors, based on the economical, political and cultural circumstances of a society. The buyers
black box contains the buyer characteristics and the decision process, which determines the
buyers response.
The black box model considers the buyers response as a result of a conscious, rational decision
process, in which it is assumed that the buyer has recognized the problem. However, in reality
many decisions are not made in awareness of a determined problem by the consumer.
Information search
Once the consumer has recognised a problem, they search for information on
products and services that can solve that problem. Belch and Belch (2007) explain that
consumers undertake both an internal (memory) and an external search.
Sources of information include:

Personal sources
Commercial sources
Public sources
Personal experience
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The relevant internal psychological process that is associated with information search is
perception. Perception is defined as 'the process by which an individual receives, selects,
organises, and interprets information to create a meaningful picture of the world'.
THE SELECTIVE PERCEPTION PROCESS:
1. Stage Description
- Selective exposure consumers select which promotional messages they will expose themselves
to.
- Selective attention consumers select which promotional messages they will pay attention to
- Selective comprehension consumer interpret messages in line with their beliefs, attitudes,
motives
and
experiences
- Selective retention consumers remember messages that are more meaningful or important to
them
The implications of this process help develop an effective promotional strategy, and select which
sources of information are more effective for the brand.CV
2. Information evaluation
At this time the consumer compares the brands and products that are in their evoked
set. How can the marketing organization increase the likelihood that their brand is part of the
consumer's evoked (consideration) set? Consumers evaluate alternatives in terms of the
functional and psychological benefits that they offer. The marketing organization needs to
understand what benefits consumers are seeking and therefore which attributes are most
important in terms of making a decision
3. Purchase decision

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Once the alternatives have been evaluated, the consumer is ready to make a purchase
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decision. Sometimes purchase intention does not result in an actual purchase. The marketing
organization must facilitate the consumer to act on their purchase intention. The organisation can
use variety of techniques to achieve this. The provision of credit or payment terms may
encourage purchase, or a sales promotion such as the opportunity to receive a premium or enter a
competition may provide an incentive to buy now. The relevant internal psychological process
that is associated with purchase decision is integration.Once the integration is achieved, the
organisation can influence the purchase decisions much more easily.
4. Postpurchase evaluation
It is common for customers to experience concerns after making a purchase decision.
This arises from a concept that is known as cognitive dissonance. The customer, having bought
a product, may feel that an alternative would have been preferable. In these circumstances that
customer will not repurchase immediately, but is likely to switch brands next time.
To manage the post-purchase stage, it is the job of the marketing team to persuade the potential
customer that the product will satisfy his or her needs. Then after having made a purchase, the
customer should be encouraged that he or she has made the right decision.it is not effected by
advertisement.
FACTORS WHICH INFLUENCE CONSUMER BEAHVIOUR:
Internal influences
Consumer behaviour is influenced by: demographics, psychographics (lifestyle), personality,
motivation, knowledge, attitudes, beliefs, and feelings. consumer behaviour concern with
consumer need consumer actions in the direction of satisfying needs leads to his behaviour of
every individuals depend on thinking.
External influences

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Consumer behaviour is influenced by: culture,sub-culture, locality, royalty, ethnicity,

influenced strongly by or there are four factors.
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family, social class, reference groups, lifestyle, and market mix factors Consumer purchases are
The following are the certain factors which influence the consumer behavior:
01. Cultural Factor :Cultural factor divided into three sub factors (i) Culture (ii) Sub Culture (iii) Social Class
Culture:The set of basic values perceptions, wants, and behaviours learned by a member
of society from family and other important institutions. Culture is the most basic cause of a
persons wants and behaviour. Every group or society has a culture, and cultural influences on
buying behaviour may vary greatly from country to country.
Sub Culture :A group of people with shared value systems based on common life experiences
and situations. Each culture contains smaller sub cultures a group of people with shared value
system based on common life experiences and situations. Sub culture includes nationalities,
religions, racial group and geographic regions. Many sub culture make up important market
segments and marketers often design products.
Social Class:Almost every society has some form of social structure, social classes are
societys relatively permanent and ordered divisions whose members share similar values,
interests and behaviour.
02. Social Factors :-
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(iii) Roles and status
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A consumers behaviour also is influenced by social factors, such as the (i) Groups (ii) Family
Groups :Two or more people who interact to accomplish individual or mutual goals.
A persons behavious is influenced by many small groups. Groups that have a direct influence
and to which a person belongs are called membership groups. Some are primary groups includes
family, friends, neighbours and coworkers. Some are secondary groups, which are more formal
and have less regular interaction. These includes organizations like religious groups, professional
association and trade unions.
Family:Family members can strongly influence buyer behaviour. The family is the most
important consumer buying organization society and it has been researched extensively.
Marketers are interested in the roles, and influence of the husband, wife and children on the
purchase of different products and services.
Roles and Status :A person belongs to many groups, family, clubs, organizations. The persons position
in each group can be defined in terms of both role and status.
03. Personal Factors :It includes
Age and life cycle stage (ii) Occupation (iii) Economic situation (iv) Life Style (v) Personality
and self concept.
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Age and Life cycle Stage:-
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People changes the goods and services they buy over their lifetimes. Tastes
in food, clothes, furniture, and recreation are often age related. Buying is also shaped by the
stage of the family life cycle.
Occupation :A persons occupation affects the goods and services bought. Blue collar
workers tend to buy more rugged work clothes, whereas white-collar workers buy more business
suits. A Co. can even specialize in making products needed by a given occupational group. Thus,
computer software companies will design different products for brand managers, accountants,
engineers, lawyers, and doctors.
Economic situation :A persons economic situation will affect product choice
Life Style :Life Style is a persons Pattern of living, understanding these forces involves
measuring consumers major AIO dimensions. i.e. activities (Work, hobbies, shopping, support
etc) interest (Food, fashion, family recreation) and opinions (about themselves, Business,
Products)
Personality and Self concept :Each persons distinct personality influence his or her buying behaviour. Personality
refers to the unique psychological characteristics that lead to relatively consistent and lasting
responses to ones own environment.
04. Psychological Factors :-
It includes these Factors.
Motivation (ii) Perception (iii) Learning (iv) Beliefs and attitudes

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Motivation :Motive (drive) a need that is sufficiently pressing to direct the person to seek satisfaction of the
need
Perception :The process by which people select, Organize, and interpret information to form a meaningful
picture of the world.
Learning:Changes in an individuals behaviour arising from experience.
Beliefs and attitudes :Belief is a descriptive thought that a person holds about something Attitude, a Persons
consistently favourable or unfavourable evaluations, feelings, and tendencies towards an object
or idea
INTRODUCTION TO PERCEPTION

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Human beings may differ because of their differences & uniqueness. People often
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see the same situation/ phenomenon differently within the organization & outside the
organization. For example: when there is an accident in the factory, the supervisor may treat it as
the carelessness of worker while the worker may treat it as lack of adequate provision of security
measures. Thus the situation remaining the same, cause has been assigned differently by different
group of people. In order to understand why people see the same situation differently, one has to
understand PERCEPTION & its different aspect.
WHAT IS PERCEPTION ?
Perception is a congnitive process. Cognition is basically bit of information;
cognitive process involves the way in which people process/understand that information.
Perception process involves selecting, organising and interpreting the stimulus. Thus perception
is the process selecting, organizing and interpreting or attaching meaning to the events happening
in the environment. However, what one can perceive can be different from objective reality.
Their need not be but there is often, disagreement. For example: its possible that all the
employee in a firm may view it as a great place to work favorable working conditions,
interesting job assignment, good pay and excellent benefit but as most of us know, its very
unusual to find such agreement.
DEFINITION
PERCEPTION may be defined as a process by which individual organize and
interpret their sensory impression in order to give meaning to their environment.
FEATURES OF PERCEPTION
Perception is the intellectual process through which a person selects the data from the
environment, organizes it, and obtains meaning from it.
Perception is a psychological process also. The manner in which people perceive the
environment affects his behavior.
Perception, being an intellectual and psychological process, becomes a subjective process
and different people may perceive the same environmental event differently.
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PERCEPTUAL PROCESS :
Perception process is explained by input-throughput-output approach. This approach
emphasizes that there is input which is processed and gives output. Perceptual process present
three elements of perception. These are: existence of stimuli (objects, event, &people) perceptual
mechanism (selecting, organising, & interpretation) and perceptual outputs (attitude, opinion, &
values). Perceptual output along with other determinant of human behavior affects and shape
behavior. Let us see how perceptual process works in terms of its three basic elements.
1. PERCEPTUAL INPUT: The stimuli in the environment- objects, events, or people- can
be considered as the perceptual inputs. Thus everything in the setting where the events
occur, or which contributes to the occurrence of the events, can be treated as perceptual
input. When the perceiver interacts with a stimulus, sensation take place which starts
perceptual process. (Sensation is described as the response of a physical sensory organ.
The physical senses are vision, hearing, touch, smell, and taste.)
2. PERCEPION MECHANISM: Perceptual mechanism involves three elementsselection of stimuli, organization of stimuli, and interpretation of stimuli.
3. SELECTION OF STIMULI: After receiving the stimuli from the environment, some
are selected for further processing while others are screened out because it is not possible
for a person to select all stimuli which he see in the environment. There are two types of
factors which affects the selection of stimuli. These are external and related to stimuli and
internal related to the perceiver.
4. ORGANISATION OF STIMULI : After the stimuli are selected these are organized in
some form of in order to make sense out of that. The various forms of organizing stimuli
are figure-ground, perceptual grouping, simplification and closure.

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5. INTERPRETATION OF STIMULI: The perceptual inputs that have been organized

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will have to be interpreted by the perceiver to extract some meaning of what is going on
in the situation. People interpret the meaning of what they have selected and organized in
term of their own assumption of people, things and situations. They interpret the things as
good/bad, beautiful/ugly, and so on. Interpretation of stimuli is affected by situation under
which perception take place and characteristics of perceiver.
6. PERCEPTUAL OUTPUT
: Based on perceptual mechanism which ends with
interpretation of stimuli, perceptual output emerges. The output may be in the form of
attitudes, opinions, beliefs, impression about the stimuli. This output along with other
factors affecting human behavior may result in overt behavior.
PERCEPTUAL SELECTIVITY
Perception is a selective process. While selection, certain aspects of stimuli are screened
out and others are admitted.
For example: when people read a newspaper, they do not read the
entire newspaper but read only those news which interest them. This is known as perceptual
selectivity. This is caused by variety of factors which may be grouped into two categories:
1. Extrenal factor
2. Internal factor
EXTERNAL FACTORS
The external factors are Nature, Location, Size, Intensity, Repetition, Novelty &
Familiarity, Contrast And Motion. Their impacct on the perceptual selectivity is as follow:
1. NATURE : By nature we mean, whether the object is visual or auditory, and whether it
involves pictures, peoples or animals. It is well known that pictures attract attention more
readily than words.
2. LOCTION : The best location of a visual stimulus for attracting attention is in the center
of the page. When this position is not available in the newspaper or a magazine, a

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position in the upper portion of a page is more favourable than on in the lower portion
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and left hand side receive more attention than the right hand side.
3. SIZE : Generally objects of larger or bigger size attract more attention than the smaller
ones. For Example: in an advertisement in newspaper full page spread attract more
attention than a few lines in the classified section.
4. INTENSITY : The intensity principle states that more intentse the external stimulus is,
the more likely is to be perceived. A loud sound, or bright light is noticed more as
compared to soft sound, or dim light. For Example: advertisement on televisions are
slightly louder than the regular programmes to gain customers attention.
5. REPETITION : The repetition principle states that a repeated external environment is
more attention- getting than a single one. Repetition increase peoples alertness to the
stimulus. For example: Advertisers use this principle by repeated advertisement of the
same product to attract peoples attention.
6. NOVELTY & FAMILIAIRTY :Novelty & familiarity principle state that either a novel
or a familiar external situation can serve as attention-getter. New objects or events in a
familiar setting, or familiar objects or events in new setting draw better attention.
7. CONTRAST : Contrast is a kind of uniqueness which can be used for attention getting.
Letters of bold types, persons dressed differently than others, buildings of different colors
in the same locality,etc. get more attention.
8. MOTION : Motion principle states that a moving object draws more attention as
compared to a stationary object. For Example: commercial on televisions (moving ones)
get more attention than print media.
INTERNAL FACTORS While external factors are related to environment stimuli, internal
factors are related to the individuals complex psychological makeup or oneself. People generally
select those stimuli and situation which are compatible to their personality, motivation, and other
personal factors. Such factors are- self-concept, inner- needs, response disposition, individual
attitude, interest, learning, and experience. A brief description of their impact on perception
selectivity is as follow:
1. SELF-CONCEPT : The way a person views the world depends a great deal on the
concept or image he has about himself. Knowing oneself makes it easier to see others
accurately. Peoples own characteristics affect the characteristics which they are likely to

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characteristics.
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see in others. They select only that aspects which they find match with their
2. INNER NEEDS : Peoples perception is determined by their inner needs. The need is
feeling of tension or discomfort when one thinks him missing something or when he feels
he has not quite closed a gap in his knowledge. People with different needs select
different items to remember or respond to. When people are not able to satisfy their
needs they are engaged in wishful thinking, which is a way to satisfy the needs not in
real world but imaginary world , the day dreaming.
3. RESPONSE DISPOSITION : Response disposition refers to a persons tendency to
perceive familiar stimuli rather than unfamiliar ones. Thus, a person perceives the things
with which he is familiar.
For Example: persons having dominant religious value took
lesser time in recognizing such related word as priest whereas they took longer time in
recognizing words related with economic value such as cost or price.
4. INDIVIDIAL ATTITUDE : The person tries to fit his attitude (whether positive or
negative) in the situation and perceive something. For Example: if a person always thinks
negative, he thinks that whatever is happen in his life will be negative, he will perceive
everything in the negative way. On the contrary if he thinks positive, he is an optimistic,
he will perceive everything in a positive way.
5. INTEREST : If a person is interested in something he will perceive that thing in better
way. On the other hand, if the person is not interested in that thing, he will not perceive
that thing in a better way. For Example: children watch television with the good interest
and curiosity, so they perceive quickly whatever is shown in TV.
6. LEARNING & EXPERIENCE : People perceive many things differently according to
their learning and experience of the past. If a person has wrong impression or bad past
experience of something, he see the things negative and he perceive that thing in only
negative way because it is his experience that forces him to perceive in this way.

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as a whole. Following ways:
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PERCEPTUAL ORGANISATION People tend to organize the stimuli rather than perceiving it
Figure and ground relationships: The figure represents what catches your attention as
distinct and unique, while the ground indicates what you perceive as routine.
Grouping helps individuals break up information and register it in their memory. That
way, even use of multiple stimuli can work and create several associations.
Closure is a need of consumers as well. They want to take the message to its logical
conclusion if the stimulus does not give complete information. Teaser ads take advantage
of this.
Does the consumer perceive the stimuli as intended? Perceptual distortion can occur due to a
variety of reasons:
Physical appearance: The kind of people you are using in advertisements will distort
perceptions, which has to be used to your benefit.
Stereotypes that develop can distort perception
First impressions of a product/service get carried on for a long time.
Jumping to conclusions: If you cannot present yourself differently, the prospect can
jump to conclusions before you even make a presentation, e.g. tele calling
Halo effect: One or two dimensions of the stimuli will create broad perceptions on the
product. Brand extension can be an example.

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INTRODUCTION TO COSMETICS INDUSTRY IN INDIA
India, with a population of nearly a billion people, is a country of contrasts. India's

urban population is the main engine that fuels the demand for various cosmetic products. The
morphing of India is subtle and the changes are not visible for the first time visitor. However,
the market liberalization process that began in 1991, along with the crowning of three Indians
as Miss World and Miss Universe during the preceding four years, have made Indian women
conscious of their appearance. Consequently, the cosmetic consumption patterns of Indian
women have changed, and this trend is fuelling growth in the cosmetic sector. The Indian
cosmetics and toiletries market grew by 8.7% in current value terms in 2001, with value sales
amounting to Rs126 billion.
The market for cosmetics and toiletries in India is characterized by high volume sales of lowend toiletry products, while at the same time the legendary emerging middle-class has
generally been fuelling demand for cosmetics and upper-mass toiletries. Products that are too
specialized have yet to be successful on the Indian market. Examples include toners, hand care
and other value-added skin care products, bath & shower products and aftershave balm. Only
the richest consumers can afford these; indeed, the average consumer may be unaware of their
purpose or even existence. This also explains the relatively poor showing of perfumes,
especially the premium variety.
This cosmetics and personal care industry has been growing at an average rate of 20 per cent
for the last few years. The growing Indian cosmetics market offers promising prospects for
international brands. The growth rate in the cosmetics market reflects an increasing demand for
beauty care products in India. Perfumes and fragrances, skin care, and hair care products are
some of the major segments with promising prospects for U.S. companies. Penetration of most
cosmetic and toiletries is very low in India. Current consumption of many products is well
below that of many countries in Asia. The low market penetration of many cosmetics and
personal care products offers room for growth.
Market Overview :
The current size of the Indian cosmetic market is approximately US$ 600 million. Of this, the
fastest growing segment is color cosmetics, accounting for around US$ 60 million of the
market. Industry sources estimate a rapid growth rate of 20 percent per annum across different

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INTRODUCTION OF LAKME UNILEVER PRIVATE LTD

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Lakme is the Indian womans Beauty Sutra inspiring expression of her unique beauty and
sensuality.Lakme brings expert products and services that are borne out of true understanding of
the needs of the Indian woman. They help the Indian woman in expression of her best self
sensual, original, expressive, alive and intuitive. Lakme inspires her to unleash the potency of her
femininity, beauty and sensuality
Key facts
Lakme was the first major beauty brand in India and takes pride in being the expert on Indian
Beauty for over 50 years. It is complete beauty brand spanning colour cosmetics, skin care &
hair styling products and extending to beauty services through the network of Lakme Beauty
Salons. Its bond with beauty and fashion is manifested through the Lakme Fashion Week, which
is now the largest fashion event of its kind in the country. Lakme has a foot print of over 1200
assisted sales outlets, which is the largest span of outlets with Beauty Advisors in the country.
Our vision
Unilever products touch the lives of over 2 billion people every day whether that's through
feeling great because they've got shiny hair and a brilliant smile, keeping their homes fresh and
clean, or by enjoying a great cup of tea, satisfying meal or healthy snack.
A clear direction
The four pillars of our vision set out the long term direction for the company where we want to
go and how we are going to get there:
We work to create a better future every day

We help people feel good, look good and get more out of life with brands and services
that are good for them and good for others.

We will inspire people to take small everyday actions that can add up to a big difference
for the world.

TOWARDS LAKME
We will develop new ways of doing business that will allow us to double the size of our
24
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company while reducing our environmental impact.
Purpose & principles

Our corporate purpose states that to succeed requires "the highest standards of corporate
behaviour towards everyone we work with, the communities we touch, and the environment on
which we have an impact."
Always working with integrity
Conducting our operations with integrity and with respect for the many people, organisations and
environments our business touches has always been at the heart of our corporate responsibility.
Positive impact
We aim to make a positive impact in many ways: through our brands, our commercial operations
and relationships, through voluntary contributions, and through the various other ways in which
we engage with society.
Continuous commitment
We're also committed to continuously improving the way we manage our environmental impacts
and are working towards our longer-term goal of developing a sustainable business.
Setting out our aspirations
Our corporate purpose sets out our aspirations in running our business. It's underpinned by our
code of business Principles which describes the operational standards that everyone at Unilever
follows, wherever they are in the world. The code also supports our approach to governance and
corporate responsibility.
Working with others
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25

TOWARDS LAKME
We want to work with suppliers who have values similar to our own and work to the same
standards we do. Our Business partner code, aligned to our own Code of business principles,
comprises ten principles covering business integrity and responsibilities relating to employees,
consumers and the environment.
A vitality mentality
Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition, hygiene and
personal care with brands that help people feel good, look good and get more out of life. Our
deep roots in local cultures and markets around the world give us our strong relationship with
consumers and are the foundation for our future growth. We will bring our wealth of knowledge
and international expertise to the service of local consumers a truly multi-local multinational.
Our long-term success requires a total commitment to exceptional standards of performance and
productivity, to working together effectively, and to a willingness to embrace new ideas and learn
continuously.
Code of business principles
Standard of Conduct We conduct our operations with honesty, integrity and openness,
and with respect for the human rights and interests of our employees.
Obeying the Law Unilever companies and our employees are required to comply with
the laws and regulations of the countries in which we operate.

Employees Unilever is committed to diversity in a working environment where there is
mutual trust and respect and where everyone feels responsible for the performance and
reputation of our company. We will recruit, employ and promote employees on the sole
basis of the qualifications and abilities needed for the work to be performed.

TOWARDS LAKME
Consumers Products and services will be accurately and properly labelled, advertised
and communicated.
Shareholders Unilever will conduct its operations in accordance with internationally
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26
accepted principles of good corporate governance. We will provide timely, regular and
reliable information on our activities, structure, financial situation and performance to all
shareholders.
Business Partners Unilever is committed to establishing mutually beneficial relations
with our suppliers, customers and business partners.

Community Involvement Unilever strives to be a trusted corporate citizen and, as an
integral part of society, to fulfil our responsibilities to the societies and communities in
which we operate.
Public Activities Unilever companies are encouraged to promote and defend their
legitimate business interests. Unilever will co-operate with governments and other
organisations, both directly and through bodies such as trade associations, in the
development of proposed legislation and other regulations which may affect legitimate
business interests..
The Environment Unilever is committed to making continuous improvements in the
management of our environmental impact and to the longer-term goal of developing a
sustainable business.
Innovation In our scientific innovation to meet consumer needs we will respect the
concerns of our consumers and of society.

Competition Unilever believes in vigorous yet fair competition and supports the
development of appropriate competition laws.

Business Integrity Unilever does not give or receive whether directly or indirectly bribes
or other improper advantages for business or financial gain. No employee may offer give
or receive any gift or payment which is, or may be construed as being, a bribe.
Conflicts of Interests All Unilever employees are expected to avoid personal activities
and financial interests which could conflict with their responsibilities to the company.
Any breaches of the Code must be reported in accordance with the procedures specified
by the Chief Legal Officer.

Business Partner Code We are committed to working with our business partners to
achieve high standards and to provide greater transparency on how we work together.

TOWARDS LAKME
Maintaining high standards together To meet the expectations our consumers have of
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our brands as high quality, reliable products, we form close working relationships many
of them long-term with our business partners. In support of this approach, we have
developed a Business Partner Code that is compatible with our Code of Business
Principles. The Code makes clear the standards to which we expect our business partners
to adhere. It contains 10 principles covering business integrity and responsibilities
relating to employees, consumers and the environment.
Business partner code There shall be compliance with all applicable laws and regulations of the
country where operations are undertaken. There shall be respect for human rights, and no
employee shall suffer harassment, physical or mental punishment, or other form of abuse. Wages
and working hours will, as a minimum, comply with all applicable wage and hour laws, and rules
and regulations, including minimum wage, overtime and maximum hours in the country
concerned .There shall be no use of forced or compulsory labour, and employees shall be free to
leave employment after reasonable notice .
There shall be no use of child labour, and specifically there will be compliance with relevant ILO
standards .There shall be respect for the right of employees to freedom of association* .Safe and
healthy working conditions will be provided for all employees .
Corporate Governance We have always aspired to high standards of corporate

governance. Transparency and accountability are the two basic tenets of Corporate
Governance. We, at Hindustan Unilever, feel proud to belong to a Company whose
visionary founders had laid the foundation stone for good governance long back and
made it an integral principle of the business, demonstrated in the words above.
Our approach to Corporate Governance To succeed, we believe, requires the highest

standards of corporate behaviour towards everyone we work with, the communities we touch,
and the environment on which we have an impact. This is our road to sustainable, profitable
growth and creating long-term value for our shareholders, our people, and our business partners.
LAKMES POSITIONING IN TERMS OF PERSONALITY AND SELF CONCEPT:

TOWARDS LAKME
28
Lakme is a product range that caters to the beautification needs of not only women in their adult
Page
age but in today's context teenagers also. It has a brand personality of someone who takes care of
you and your beauty needs. It tries to position itself amongst its consumers as a product range
that will help them look beautiful as is evident from its catchphrases:
1. On top of the world!
2. Source of radiant beauty1!
Lakme has a range of beauty products to offer to its consumers. Some of the ways in which it
tries to position itself:
1. Lakme Hair Color: magic of colors (collage).
2. Lakme (versatile eye shadow collection): rich, long lasting and healthy make up.
3. Lakme fair perfect: For flawlessly fair skin!
4. Lakme face magic: daily wear souffl.
5. Lakme (skin vitalizer): radiant skin, now and forever.
6. Lakme (moisturizer): radiant skin, now and forever.
7. Lakme nail polish and lipstick: electric brilliance/sensual brilliance
8. Lakme sun expert (sunscreen): sun safe hamesha! (face the sun with a smile)
9. Lakme pure defense: anti-pollution system.
10. Lakme Tropical Island (cosmetics): defining the future of fashion.
11.Lakme hair care (international): natural hair care
12. Lakme hair next: exclusive range of hairstyle products that give you that salon look
instantly.

TOWARDS LAKME
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characteristics that determine its personality:
29
On the basis of above mentioned positioning strategies Lakme can have the following
Someone who takes care of your beauty needs.

A long lasting beautification product range.
Something that is not harsh on your body or harmful for your beauty.
A product that provides you with an option of getting beautiful hair.
A product that helps you get a beautiful skin.
A cosmetic product that you can wear for the entire day and not a special occasion.
Someone who tells you right things about looking good.
It's an Indian cosmetic brand.
It covers all facets of beauty care for women.
The following factors of Lakme's personality help in differentiation of its products from the
competition:
It covers all facets of beauty care.
It helps arm the consumer with products to pamper her from head to toe i.e. a complete
product range.
HOW LAKME IS INFLUENCING ITS CONSUMERS?

THE CONCEPT OF EGO: According to Freudian Psychoanalytic theory Lakme tries
to position itself on the basis of its appeal to the consumers which have an ego. This
means that the consumers of Lakme have an impulsive drive for which they seek

TOWARDS LAKME
30
immediate satisfaction without concern for means of satisfaction. Women all over the
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world are always expected to look good and Indian women are no exception; More so
because of the fact that Indian women in general do not have a fair skin like that of their
western counterparts. Thus it becomes but natural for Indian women to try and look good
and use beauty products that help enhance their looks and style. With globalization and
liberalization of Indian economy and the changing demographics and income levels there
is more and more concern to look good as today's Indian woman is no longer confined to
her home but is a big contributor to the growth of Indian economy.
THE CONCEPT OF PERSONALITY GROUPS: Lakme tries to woo the compliant
consumers according to Karen Horney's classification4 of personality groups i.e. people
who move towards others. Those who have desire to be loved, wanted and appreciated.
As is earlier stated women are supposed to look good not only in western countries but
also in India. Women always appreciate if someone calls them beautiful and it has
become the custom of the society to see women in such a context. So it would be prudent
to say that according to the societal norms a women has to look good at all times and
which has a bearing on the psychology of female consumers towards cosmetic products
which help them achieve that desired look. Needless to say that Lakme plays on the
concept of women wanting themselves to be appreciated for their beauty and being loved
for that.
CONCEPT OF PERCEPTUAL SELECTION: On the basis of perceptual selection
Lakme has tried to position itself among its consumers in the following ways: Lakme has
tried to gain the attention of its consumers by line extension and having more and more
product depth, packaging and attractive print advertisements. If we look at the
line
extensions of Lakme than we would observe that it is in almost all the segments of
cosmetic care ranging from hair care to skin care to beauty salons! Looking at the product
depth it is pretty evident that Lakme has actually tried to fill in all areas that it can,
particularly the nail paint and the lip color segment is a big hit among Indian women as it
offers them a wide variety of products in terms of colors as well as various styles that
they can choose from.
PROFILE OF THE ORGANISATION
31

TOWARDS LAKME
: LAKME UNILEVER PRIVTAE LTD
Address of Head office
: 165166 hindustan lever house
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Name of the company
Backbay reclamation, church gate, Mumbai,

Maharashtra.india 400020
City
: baddi
State
:HIMACHAL PRADESH
Status
: Private
Telephone number
: -+91 2222870622
Email
: info@lakmelever.com
Website
: http://lakmeindia.com
Chief executive officer
: Mr.Anil chopra
Contact person
Mobile no
Companys product range:
Lakme Lipstick.
Lakme Nail Polish.
Lakme Eyeliner.
Lakme Kajal.
Lakme Strawberry Face Wash.
Lakme Radient Rose Powder.
: Richa puranesh- marketing manager
: 912222850552
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Lakme Nail Enamel Remover.
32

TOWARDS LAKME
RESEARCH METHODOLOGY
Research methodology is a careful investigation for inquiring in a systematic method and fin
solution of a problem. It comprises the defining and redefining of problem formulating hypothesis, collec
and evaluating data, making detection and reaching conclusion. This research consists of following element.
OBJECTIVE OF STUDY
SOURCES OF DATA
RESEARCH DESIGN
SAMPLING DESIGN
OBJECTIVES OF THE STUDY

1. To understand the attitudes and perception of respondents towards cosmetics products.
2. To understand the growth of cosmetics sector in todays scenario.
3. To study the respondents awareness towards lakme.
4. To know people perception towards lakme products available in the market.
5. To understand peoples consumer behavior with reference to cosmetics.
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TOWARDS LAKME
SOURCES OF DATA
Primary Source of Data
Primary data are those collected by the investigator himself for the first time and thus they are origina
character, they are collected for a particular purpose. A wellstructured questionnaire was person
administrated to the selected sample to collect the primary data.
Secondary Source of Data
Secondary data are those, which have already been collected by some other persons for their purpose
published. Secondary data are usually in the shape of finished products. External Data, was generated f
magazines, research books and internet (websites).
RESEARCH DESIGN
The study was conducted as an exploratory sampling survey method to collect primary and secondary data.
SAMPLING DESIGN A sample is a representative part of the population. In sampling technique, informatio
collected only from a representative part of the universe and the conclusions are drawn on that basis for
entire universe. A random sampling technique was used to collect data from the respondents. A random samp
a sample selected from a population in such a way that every member of the population has a equal chanc
being selected and the selection of any individual does not influence the selection of any other. The selectio
purely depends on chance. So while conducting the survey, 100 respondents were selected at random.
SAMPLE SIZE Sample size denotes the number of elements selected for the study. For the present study,
respondents were selected at random. All the 100 respondents were the customers of one or another cosm
industry. Out of these 100 respondents 60 were specifically Lakme customers.
SAMPLE DESCRIPTION The respondents of this dissertation was 100 cosmetics users of different cosm
companies in general, out of which 60 respondents were the users of Lakme in particular; as the dissertation

TOWARDS LAKME
34
focused on the consumer behavior and perception of users towards the cosmetic products with special refere
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to Lakme. The respondents were personally contacted for the purpose of the study. A questionnaire was used
survey and was answered by the customers of different life insurance companies. Most of the respondents w
in age group of 18-20; which was having a frequency of 68, 14 respondents were in the age group of 21-24
respondents were in the age group of 24-29 and 8 respondents were more than 30 years. According to ge
wise, all were female respondents. Nearly half of the respondents were students and a big chunk of the rest
employed women.
LIMITATION OF STUDY
1. An underlying assumption for the entire project is that the details and the feedback received from
population is true.
2. It was difficult to find respondents as they were busy in their schedule, and collection of data was
difficult. Therefore, the study had to be carried out based on the availability of respondents.
3. Some of the respondents were not ready to fill the questionnaires and some of them were not ready to c
out openly.
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TOWARDS LAKME
1. Which companys cosmetics are you using?

Table showing that cosmetics of which company are most used.
PARTICULARS
LOREAL
LAKME
GARNIER
LOTUS
FREQUENCY
20
60
15
05
PERCENTAGE
20%
60%
15%
5%
proportion of women using which cosmetic brand
lakme
loreal
garnier
lotus
From the above table it can be inferred that:

Out of the 100% population only 20% ladies are using loreal.
Out of 100%of population only 60% of ladies are using Lakme.
Out of 100% of population only 15% of the ladies are using garnier.

TOWARDS LAKME
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36
Out of 100% of population only 5% of the ladies are using lotus.
2. Which product are you using most often in a month?

Table showing that which product is being used most often in a month.
PARTICULARS
HAIR CARE PRODUCTS
SKIN CARE PRODUCTS
BODY CARE PRODUCTS
MAKE UP
FREQUENCY
12
20
10
58
PERCENTAGE
12%
20%
10%
58%
chart showing that which products are used most.
makeup
skin care
hair care product
body care product
From the following table these points can be inferred:

12% of the women use hair products on monthly basis.
20% of the women use skin care products on the monthly basis.

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37
10 % of the women use body care products.

58% of the women of the women use make up products.
3. Do you think that your product provides you with an option of healthy and long lasting harmless
Table showing the number of people who think that think that their product provides them with an
option of healthy and long lasting harmless Makeup
particulars
Yes
No
May be
Not sure
Frequency
58
20
17
5
PERCENTAGE
58%
20%
17%
5%
graph showing the number of respondents who think that their cosmetics are healthy
4.5
4
3.5
Series 1
3
2.5
2
1.5
1
0.5
0
no
not sure
may be
yes
From the following table we can infer:

58% of the people trust their brand when it comes to healthy makeup.
20% of the people do not trust their brand when it comes to healthy makeup, but because

TOWARDS LAKME
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38
results use it.

17% of the people think that not all of the products of their brand is healthy.
5% of the people are not at all sure of the healthiness of their products.
4. What is the reason that motivates you to use the products of a particular company?
Table showing the reasons that motivates the respondents to buy particular product.
PARTICULARS
ECONOMICAL
TRENDSETTER
MEASURABLE RESULTS
EASILY AVAILABLE
FREQUENCY
35
20
28
17
PERCENTAGE
35%
20%
28%
17%
REASONS THAT MOTIVATES RESPONDENTS TO BUY A COSMETIC
ECONOMICAL
TRENDSETTER
MEASURABLE
EASILY AVAILABLE
From the following table we can infer that:

35 respondents out of 100 respondents find their cosmetics to be economical.

TOWARDS LAKME
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39
20 respondents out of 100 respondents find their cosmetics to be trend setter.

28 respondents out of 100 respondents find their cosmetics to show measurable results.
17 respondents out of 100 respondents find their cosmetics to be easily available.
5.
Approximately how much do you spend in the buying of cosmetics?
Table showing that how much the respondents invest in the buying of cosmetics.
PARTICULARS
Below Rs. 500
Rs. 500 Rs. 1000
Rs. 1000- Rs. 2000
Rs. 2000 and above
FREQUENCY
68
12
14
6
PERCENTAGE
68%
12%
14%
6%
chart showing that how much the respondents spend in cosmetics.

Rs 1000- Rs. 2000
Rs. 500- Rs. 1000
Series 1
more than Rs. 2000
Rs. 500
0.5
1.5
2.5
3.5
4.5
From the following table we can infer the following points:

68 respondents out of 100 respondents spend below Rs . 500 in cosmetics.
12 respondents out of 100 respondents spend Rs. 500- Rs. 1000 in cosmetics.
14 respondents out of 100 respondents spend Rs. 1000 Rs. 2000 in cosmetics.

TOWARDS LAKME
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40
6 respondents out of 100 respondents spend more than Rs. 2000 in cosmetics.
6.
Do you find your cosmetic products economical?
Table showing that how many respondents find their cosmetics to be economical.
PARTICULARS
YES
NO
MAY BE
NOT SURE
FREQUENCY
49
30
11
10
PERCENTAGE
30%
11%
10%
chart showing the respondents who find their cosmetics economic or less economic
yes
no
may be
not sure

49 respondents out of 100 respondents believe that their cosmetics are economical.

TOWARDS LAKME
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41
30 resondents out of 100 respondents believe that their cosmetics are not economical.
11 respondents out of 100 respondents say that not all the products are economical.
10 respondents out of 100 respondents are not at all sure of economic reliability of their
cosmetics.
7. If you are being asked to choose amongst one of the best product that you use, what would that
be?
Table showing the best cosmetic product of the respondents of their brand .
PARTICULARS
SUNSCREEN LOTION
HAIR BOUNCERS CREME
MOISTURIZERS
LIP GLOSS
FREQUENCY
59
15
9
17
PERCENTAGE
59%
15%
9%
17%
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TOWARDS LAKME
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chart showing the best cosmetic product of the respondents
sunscreen lotion
hair bouncers crme
lip gloss
moisturizers
59 respondents out of 100 respondents found sunscreen lotion to be the best product.
15 respondents out of 100 respondents found hair bouncers crme to be the best product.
9 respondents out of 100 respondents found moisturizers to be the best product.
17 respondents out of 100 respondents found lip gloss to be the best product.
8. What services of your favourite company you appreciate the most?

Table showing the most appreciated service provided by their favourite company.
PARTICULARS
STEAM BATH
MANICURE / PEDICURE
FACIAL/ MASSAGE
HAIR
FREQUENCY
32
14
44
20
PERCENTAGE
32%
14%
44%
20%

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43
SERVICES( rebounding
etc)
graph showing the most appreciated services provided by the cosmetic company
facial/ massgae
hair sevicing
Series 1
Category 2
steam bath
0.5
1.5
2.5
3.5
4.5
From the table you infer the following points:
32 respondents out of 100 respondents like steam bath service.

14 respondents out of 100 respondents like manicure/pedicure.
44 respondents out of 100 respondents like facial/ massage.
20 respondents out of 100 respondents like hair services.
9. What motivates you to buy lakme products?

Table showing the reasons which motivates the respondents to buy lakme products
PARTICULARS
MEASURABLE RESULTS
ECONOMICAL
EASILY AVAILABLE
FREQUENCY
2O
18
12
PERCENTAGE
33.33%
30%
20%

TOWARDS LAKME
16.66%
44
1O
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TREND SETTER
CHART SHOWING THE REASON WHICH MOTIVATES RESPONDENTS TO BUY LAKME PRODUCTS
measurable results
economical
easily available
trend setter
From the following table it can be inferred that:

20 respondents out of total 60 lakme respondents use lakme products for the measurable
results.
18 respondents out of 60 lakme respondents use its products as they are economical.
12 respondents out of 60 lakme respondents use its products as they are easily available.
10 respondents out of 60 lakme respondents use its products as they are trend setters.
10 .
In which cosmetics of lakme do you invest your money more?
Table showing the lakme cosmetic in which the maximum investment is done by respondents.
PARTICULARS
FREQUENCY
SUNSCREEN LOTION
34
HAIR BOUNCERS CREME 9
PERCENTAGE
56.66%
15%
5
12
Page
MOISTURIZERS
LIP GLOSS
45

TOWARDS LAKME
8.33%
20%
graph showing that respondents spends maximum in which product

4.5
4
3.5
3
2.5
Series 2
2
1.5
1
0.5
0
hair bouncer and shiner crme
moisturizers
34 respondents out of the total 60 lakme respondents spend maximum money in sunscreen
lotion.
9 respondents out of the total 60 respondents spend maximum money in hair bouncers crm
5 respondents out of the total 60 lakme respondents spend maximum money in moisturizers
12 respondents out of the total 60 respondents spend their maximum money in lip gloss.
11.what is your level of information on Lakme as a brand?
Table showing the level of information of respondents on Lakme as a brand.
PARTICULARS
EXCELLENT
GOOD
FREQUENCY
14
28
PARTICULARS
23.33%
46.66%
10
8
16.66%
13.33%
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MODERATE
BAD
46

TOWARDS LAKME
graph showing the level of information of resppondents on lakme as a brand
good
excellent
moderate
bad
14 respondents out of 60 lakme respondents had excellent knowledge about lakme as a bra
28 respondents out of 60 lakme respondents had good knowledge about lakme as a brand.
10 respondents out of 60 lakme respondents had moderate knowledge about lakme as a bra
8 respondents out of total 60 respondents had bad knowledge about lakme as a brand.
12. what is the purpose for which you buy lakme products?
Table showing the purpose for which the respondents buy the lakme products
PARTICULARS
SKIN PROTECTION
FREQUENCY
17
PERCENTAGE
28.33%
13
10
Page
LONG AND STRONG

HAIR
GLOW AND ACNE FREE
SKIN
MAKE UP
47

TOWARDS LAKME
20
21.66%
16.66%
33.33%
chart showing the purpose for which the lakme products are being used
make up
skin products
long and strong hair
glow and acne free

17 respondents out of total 60 lakme respondents buy lakme skin protection products.
13 respondents out of total 60 respondents buy lakme products for long and strong hair.
10 respondents out of total 60 respondents buy lakme products for glow.
20 respondents out of total 60 respondents buy lakme products for make up.
13. Rating the products offered by lakme as:

Table showing the rating of the lakme products by its users.
PARTICULARS
FREQUENCY
PERCENTAGE
18
28
14
0
Page
EXCELLENT
GOOD
MODERATE
POOR
48

TOWARDS LAKME
30%
46.66%
23.33%
0%
1
2
3
1: excellent
2: good
3: moderate
From the following table we can infer that;
18 respondents out of total 60 lakme respondents rate lakme products as excellent.
28 respondents out of total 60 respondents rate lakme products as good.
14 respondents out of total 60 lkame respondents rate lakme as moderate.
None of the respondents rate lakme products as poor.
14. Are you satisfied with the beauty services offered by lakme saloons?
Table showing the satisfaction level of the lakme respondents with respect to the saloons services
PARTICULARS
YES
NO
FREQUENCY
48
12
Page
provided by it.
49

TOWARDS LAKME
PERCENTAGE
80%
20%
1
2
1 depicts yes. 2 depicts no.

48 respondents out of 60 respondents are satisfied with the services provided by the saloon
of lakme.
12 respondents out of 60 respondents are not satisfied with the services provided by the
saloons of lakme
15. Are you satisfied with the products offered by the company?

TOWARDS LAKME
FREQUENCY
53
7
Page
PARTICULARS
YES
NO
50
Table showing the whether the respondents are satisfied with the products of lakme.
PERCENTAGE
88.33%
11.66%
1
2

53 respondents out of 60 respondents are satisfied with the products of lakme.
7 respondents out of 60 respondents are not satisfied with the products of lakme.
16. Is the site www.lakmeindia.com site useful to you?

TOWARDS LAKME
FREQUENCY
42
18
Page
PARTICULARS
YES
NO
51
Table showing if site www.lakmeindia.com site useful.

PERCENTAGE
70%
30%
1
2
1 depicts yes 2 depicts no.

42 respondents out of 60 respondents found site useful.
18 respondents out 0f 60 respondents did not found site useful.
17. Approximately how much do you invest on lakme products monthly?

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52
Table showing that how much the respondents spend in lakme products.
FREQUENCY
40
8
8
4
PERCENTAGE
66.66%
13.33%
13.33%
6.66%
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PARTICULARS
Below Rs. 500
Rs. 500-Rs. 1000
Rs. 100-Rs. 2000
Above Rs. 2000
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
1
1. depicts money below Rs. 500. ;2. depicts money between Rs. 500-Rs. 1000.;3. depicts mon
between Rs. 1000- Rs. 2000.;4. depicts money between Rs 2000 and above.
40 respondents out of 60 lakme respondents spend below Rs 500.

8 respondents out of 60 lakme respondents spend between Rs 500-Rs. 1000.
8 respondents out of 60 respondents spend between Rs. 1000- Rs. 2000.
4 respondents out of 60 respondents spend between Rs. 2000 and above.
18. Do you think that lakme is a leader in a cosmetic industry?

TOWARDS LAKME
FREQUENCY
68
12
10
10
Page
PARTICULARS
YES
NO
CANT SAY
MODERATELY
53
Table showing the number of respondents who think that lakme is a leader in cosmetic industry.
PERCENTAGE
68%
12%
10%
10%
1
2
3
4
1 depicts yes.;2 depicts no.;3 depicts moderately.;4 depicts cant say.

68 respondents out of 100 respondents find lakme to be the leader.

12 respondents out of 100 respondents do not find lakme to be a leader.
10 respondents out of 100 respondents are not sure.
10 respondents moderately think that lakme is a market leader.

TOWARDS LAKME
54
19. Would you continue to buy Lakme products even if its price rises by say upto 15%?
Page
Table showing if the respondents will use the lakme product even if the price rises by 15%
PARTICULARS
FREQUENCY
YES
39
NO
21
PERCENTAGE
65%
35%
39 respondents out of 60 respondents will continue using lakme.

21 respondents out of 60 respondents will stop using lakme if price will rise.
1
2

39 respondents out of 60 respondents will continue using lakme.
21 respondents out of 60 respondents will stop using lakme if price will rise.
55

TOWARDS LAKME
FINDINGS
Page
CONCLUSION, FINDINGS AND SUGGESTIONS
1. Lakme is the clear market leader across all age groups and income levels.
2. Majority of the respondents ie. 60 respondents out of total 100 respondents are using lakme produ
With Loreal in the second number having 20 regular customers of it. 15 respondents rae using Gar
and only 5 are using Lotus cosmetics. This shows that lakme has more number of women using it.
3. The dissertation shows that maximum number of the respondents are using make up products of t
brand like mascara, eyeliner, foundation, facepowder, blushers etc. next the eopleare investing maxim
in skin care products.

4. 58 respondents trust their brand of cosmetics when it comes to healthy make up. 20 respondents do
find their cosmetics to be healthy in the sence that the brand uses more of chemicals in its compositio
5. 35 respondents use their cosmetic products because they are economical in nature, while a major por
of the bulk buys the products of a brand because they show measurable results.
6. 68 respondents spend below Rs. 500 on their cosmetics. However there are many people ie 14 who sp
Rs. 1000- Rs. 2000 in cosmetics.
7. 49 respondents out of 100 respondents find their cosmetic brand to be economical in nature.
8. 59 respondents out of total of 100 respondents find sunscreen lotion to be the best product of
cosmetic brand. While 17 out of them find lip gloss to be the best part of its brand.
9. 44 people appreciate the facial and massage services provided by their favourite cosmetic company
out of 100 users find steam bath to be very appreciative.

10. 20 respondents out of 60 users who use only lakme products, use lakme products because they s
measurable results. While 18 out of 60 uses it because lakme is very economical in nature.
11. 34 respondents out of 60 users of lakme products use the sunscreen lotion the maximum times, the
product being lip gloss.

12. 28 respondents have a very good knowledge about lakme as a brand.
13. 20 respondents out of 60 respondents use lakmes makeup products, while 17 respondents use la
products of skin protection.

14. 28 respondents found lakme to be good, 18 found it to be an excellent product, 14 responden
moderately like the products of lakme.
15. 48 respondents are satisfied with the services provided by LAKME.
16. 53 respondents are satisfied with the products of lakme.
SUGGESTIONS
56

TOWARDS LAKME
Page
1. Affordable cosmetic products must be launched, drawing less than 1000 rupees per month. This
attract mores of youg women towards it and will further increase the market share of the company.
2. Lakme should also concenterate on the cosmetic products for the mails. As today even boys are becom
more concerned of the way they are looking. More and more boys are turning out to be metro sex
This category will rise in the future and lakme must concentrate on catching them so that the comp
can generate more sales from them.

3. Lakme must not limit itself to serve only the women, as it will be ignoring a large chunk of lo
conscious and metro sexual boys.

4. It would be wise for the company to target young people in the above category and grow along with t
as they and the nation prospers.

5. Many respondents in their answer as to why they did not take lakme product said that lakme does
provide a makeup or sunscreen lotion which is to be put only once as it is not moisture resistant
lakme should work more in creating a water resistant sunscreen lotion which could stay all through
hard sweaty days.

6. More of the saloons should be created in order to provide easy accessibility to the consumers of
services and products provided by lakme.

7. Lakme can start contests for free makeover of women , as it was being started by dove, sunsilk
ponds in collaboration- be beautiful.

8. Website Changes:
a. Lakme must advertise more about its website in the mass media so people can gain firsth
knowledge about its products at their convenience in a more detailed manner.

b. The website is good but instead of having a glossary as a separate entity, link words which
difficult to understand for a first timer (even if it is as simple as spf) must be marked
(underlined) in the text, which upon clicking must open out to a window giving details.
c. A page must be devoted on why cosmetic products of lakme must be taken plus real life storie
how people with use of lakme cosmetics improved their looks.

d. Links to other sites extolling the virtues of cosmetics must be given.
e. A page devoted to Lakmes beginning as a cosmetic industry must be included in the websit
assure potential customers that this is one company that will stick around for a long time to co
Exciting contests can be launched for those who visit the website.
9. lakme has tied up with HUL hence it must advertise in these websites also. It can also advertis
other beauty related sections of websites like vogue.com and feminaindia.com. Youth sites

TOWARDS LAKME
57
mtstylecheckvindia.com, facebook.com, orkut.com, twitter.com etc can also be targeted.

Page
10. According to Abraham Maslows hierarchy of needs the 2nd step to self actualization is the fulfillmen
the safety needs. Though people feel the need for being presentable and have good looks, a large num
live in an ivory tower and they procrastinate to take decisions regarding this aspect. It is this dorm
aspect that Lakme should awaken in people and bring about restlessness and unfulfilled feeling regar
their and their familys overall physical grooming. The next choice then would be cosmetics. This c
be brought about by an innovative campaign slogan saying, The decision is now.

11. Lakme must not target people only when they start earning but much before that. To gain the early b
advantage they must organize sessions in schools and colleges giving explanations on how the medic
pedicure, facials, massage etc can in general help in their overall development. . It can also bring abo
stronger brand commitment in this manner.

12. Leverage information technology to service large numbers of customers efficiently and bring d
overheads. Technology can complement or supplement distribution channels cost-effectively. It can
help improve customer service levels considerably.

13. Use data warehousing, management and mining to gauge the profitability and potential of var
customer and product segments and ensure effective cross selling.

14. Understanding the customer better will allow cosmetic companies to design appropriate produ
determine pricing correctly and increase profitability.

15. Ensure high levels of training and development not just for staff but for distribution organizati
Existing organizations will have to train staff for better service and flexibility, while all companies
have to train employees to cope with new products and an intensive use of information technology.
importance of alliances and tie-ups means that companies will have to integrate related but sepa
providers into their systems to ensure seamless delivery.

16. Build strong relationships with intermediaries such as agents. The agency force is an important custo
interface and companies must partner with this group to reach customers and serve them effectively.
CONCLUSION:
The different information or benefits derived from the in-depth study of the above mentioned informa
sources are as follows:
consumer behavior and perception study; it helped to know that what actually is consumer beahviour
Page
1.
58

TOWARDS LAKME
what are the factors that affect the buying behavior of consumers. It also helped us to know that how
perception have a positive and a negative impact on the consumer beahviour.

2. cosmetic industry in india- this section helped in knowing tat cosmetic is not a new concept in in
People have been grooming themselves physically. The only difference is the addition of chemicals
technology to our personal grooming.

3. Competition existing in the present insurance market; there are many other companies posing to
competition to lakme ie Revlon , garnier, loreal, lotus etc.

4. All the marketing information sources has given a significant contribution to the detailed theore
perspective for the research i.e. about consumer behavior an perception.

5. World Wide Web also worked as a highly important information source as it provides upd
information for the research relating to various areas.
LISTOF TABLES
TABLE
NO
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13
14.
15.
16
17.
TITLE
Page
ANNEXURE
59

TOWARDS LAKME
Table showing the companys cosmetic that the

respondents are using.
Table showing that which project is being used the
most by the respondents.
Table showing that if their products provide them with
an option of long lasting and healthy makeup.
Table showing the reasons which motivates the
respondents to buy the product of that company.
Table showing that approximately how much do the
respondents spend in cosmetics.
Table showing the number ofrespondents who find their
cosmetics economic.
Table showing that which product was chosen as the
best product by them.
Table showing that which services provided by their
company is most appreciated.
Table showing that which is most motivating factor for
the buying of products of lakme.
Table showing that in which cosmetic of lakme do they
spend most.
Table showing that what is the level of information of
respondents on lakme as a product.
Table showing that what is the most common purpose
for which the respondents buy the lakme products.
Table showing the ratings given by the respondents to
the lakme products.
Table showing that if the respondents are satisfied with
the beauty services provided by the lakme.
Table showing that if the respondents are satisfied with
the beauty products provided by the lakme.
Table showing the level of usefulness of the site of
lakme
Table showing that how much would the respondents
would invest on lakme
PAGE NO
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60

TOWARDS LAKME
Table showing if lakme is the leader in cosmetic
industry
19.
Table showing that how many respondents will buy the
products of lakme even if the price of it will rise.
LIST OF GRAPHS
61
TABLE
NO
1.
TITLE
PAGE NO
Graph showing the companys cosmetic that the

respondents are using.
Graph showing that which project is being used the
most by the respondents.
Graph showing that if their products provide them with
an option of long lasting and healthy makeup.
Graph showing the reasons which motivates the
respondents to buy the product of that company.
Graph showing that approximately how much do the
respondents spend in cosmetics.
Graph showing the number ofrespondents who find
their cosmetics economic.
Graph showing that which product was chosen as the
best product by them.
Graph showing that which services provided by their
company is most appreciated.
Graph showing that which is most motivating factor for
the buying of products of lakme.
Graph showing that in which cosmetic of lakme do
they spend most.
Graph showing that what is the level of information of
respondents on lakme as a product.
Graph showing that what is the most common purpose
for which the respondents buy the lakme products.
Graph showing the ratings given by the respondents to
the lakme products.
Graph showing that if the respondents are satisfied
with the beauty services provided by the lakme.
Graph showing that if the respondents are satisfied
with the beauty products provided by the lakme.
Graph showing the level of usefulness of the site of
lakme
44
Page
60
18.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13
14.
15.
16
62
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59

TOWARDS LAKME
19.
61
18.
Graph showing that how much would the respondents

would invest on lakme
Graph showing if lakme is the leader in cosmetic
industry
Graph showing that how many respondents will buy
the products of lakme even if the price of it will rise
Page
17.
60
61
62
BIBLIOGRAPHY: LIST OF JOURANALS AND MAGZINES

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study of shopping and retail prices, Journal of Retailing, 77, 57-82.
Hofstede, G. (1980) Cultures Consequences. CA: Sage Publications.
Hofstede, Geert, (1984) Cultural dimensions in management and planning, Asia
Pacific Journal of Management, 1 (2), 81-99.
Kale, Sudhir and Jawn Barnes, (1992) Understanding the domain of cross-national
buyer-seller interactions, Journal of International Business Studies, 23, 101-132.
Kotler, P. (1997) Marketing management: analysis, planning, implementation, and
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Laura, Milner, Fodness Dale and Speece, Mark W. (1993) Hofstedes research on crosscultural work-related values: Implications for consumer behaviour, European Advances
in Consumer Research, 1, 70-76.
Mooij, D. (2004) Consumer Behaviour and Culture: Consequences for Global Marketing
and Advertising, Thousand Oaks, CA: Sage Publications.
Palmer, A. (2000) Principle of Marketing, Oxford: Oxford University press.
Rolando, Diaz-Loving, (1998) Contribution of Mexican ethno psychology to the
resolution of the etic-emic dilemma in personality, Journal of Cross-Cultural
Psychology, l (29), 104-118.
Schiffman, L. G and Kanuk, L. Leslie. (1994) Consumer behaviour, NJ: Prentice Hall.
Schutte, H. and Ciarlante, D. (1998) Consumer Behaviour in Asia, Macmillan Press
Limited.
Solomon, M. R. (1996) Consumer Behaviour, Englewood Cliffs, NJ: Prentice Hall.
Usunier, J. C. (2000) Marketing across cultures, London: Prentice Hall.
Williams D. Jerome, Sang-Lin Han and William J. Qualls, (1998) A Conceptual Model
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Websites used
1. www.invogue.com
2. www.lakmeindia.com
3. www.google.com
Page
4. www.hindustanunilever.com
5. www.feminaindia.com
62

TOWARDS LAKME

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CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

: LAKME UNILEVER PRIVATE LTD.

: CONSUMER BEHAVIOUR AND

Institute of Engineering and Emerging Technology, Baddi.

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

Ms Neha, for a significant contribution made by her towards my learning, by way of

To whomsoever it may concern

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

Miss SAPNA SOOD, a student of INSTITUTE OF ENGINEERING AND EMERGING

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

8. PROFILE OF THE ORGANISATION36

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

INTRODUCTION TO CONSUMER BEHAVIOUR

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

BLACK BOX MODEL

Sources of information include:

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

Consumer behaviour is influenced by: culture,sub-culture, locality, royalty, ethnicity,

02. Social Factors :-

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

(iii) Roles and status

Age and Life cycle Stage:-

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

It includes these Factors.

Motivation (ii) Perception (iii) Learning (iv) Beliefs and attitudes

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

5. INTERPRETATION OF STIMULI: The perceptual inputs that have been organized

: Based on perceptual mechanism which ends with

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

For Example: persons having dominant religious value took

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

as a whole. Following ways:

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

INTRODUCTION TO COSMETICS INDUSTRY IN INDIA

India, with a population of nearly a billion people, is a country of contrasts. India's

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

INTRODUCTION OF LAKME UNILEVER PRIVATE LTD

We work to create a better future every day

that are good for them and good for others.

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

company while reducing our environmental impact.

Purpose & principles

Always working with integrity

Setting out our aspirations

Working with others

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

the laws and regulations of the countries in which we operate.

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

with our suppliers, customers and business partners.

concerns of our consumers and of society.

development of appropriate competition laws.

by the Chief Legal Officer.

CONSUMER BEHAVIOUR AND PERCEPTION OF WOMEN

Corporate Governance We have always aspired to high standards of corporate

Our approach to Corporate Governance To succeed, we believe, requires the highest