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A

PROJECT REPORT ON
A STUDY ON RETAILERS PERCEPTION TOWARDS WAGH
BAKRI INSTANT TEA PREMIX

UNDERTAKEN AT:

SUBMITTED BY

Certificate from the company/organization

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CERTIFICATE FROM INTERNAL GUIDE

This is to certify that Ms. Kanchi Reja is a bonafide student of this institute and has
successfully completed her project “A STUDY ON RETAILERS PERCEPTION
TOWARDS WAGH BAKRI INSTANT TEA PREMIX” for partial fulfilment of course
PGDM (Marketing) from Balaji Institute of International Business, Pune.

(Director) (Internal Mentor)

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DECLARATION

ACKNOWLEDGEMENT

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The satiation and euphoria that accompany the successful completion of
the project would be incomplete without the mention of the people who
made it possible.

I would like to take the opportunity to thank and express my deep sense
of gratitude to my corporate mentors Mr. Ajaypal Sheoran & Shrikant
shinde, Wagh Bakri Tea Group. I am greatly indebted to them for
providing their valuable guidance at all stages of the study, advice,
constructive suggestions, positive and supportive attitude and continuous
encouragement, without which it would have not been possible to
complete the project.

I also owe my thanks and appreciation to the entire staff of the company
for their cooperation and assistance during the course of my project.

Lastly, I would like to thank my parents for supporting me through my


studies in College and providing me with everything I could possibly
want.

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TABLE OF CONTENT

Sr. No. Topic Page No.

1 Executive Summary 8

2 Chapter 1 9-24

3 Industry Scenario 10-11

4 Market Scenario 12-13

5 Company Profile 14-19

6 SWOT Analysis 20

7 Products Offered 21-24

8 Chapter 2 25-27

9 Literature Review 26-27

10 Chapter 3 28-33

11 Research Problem & Objective 29

12 Research Methodology 29-30

13 Product Taken for Research 31-33

14 Chapter 4 34-44

15 Data Analysis & Interpretation 35-44

16 Chapter 5 45-47

17 Findings 46

18 Recommendations 47

19 Chapter 6 48-50

20 Limitations & Conclusion 49-50

21 Bibliography 51

22 Annexure 52-54

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List of Tables:

Sr. No. Table No. Page No.

1 4.1.1 35

2 4.1.2 40

3 4.1.3 41

4 4.1.4 41

5 4.1.5 42

6 4.1.6 43

List of Charts:

Sr. No. Chart No. Page No.

1 4.1.1 35

2 4.1.2 36

3 4.1.3 37

4 4.1.4 38

5 4.1.5 39

6 4.1.6 40

7 4.1.7 44

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EXECUTIVE SUMMARY
It was a great opportunity to do this project for Wagh Bakri Tea Group. The report is
on “Perception of retailers towards Wagh Bakri Instant Tea Premix.”

The Project report begins with the industry scenario and the market scenario of the tea
industry followed by the brief introduction about the organisation. Then the detail
information about the product to be studied has been included in the project report.

The Report consists of several objectives which are proved through graphical
representation with the help of data collected from the market.

The primary data is analysed and interpreted. The main focus of the questions was to
identify the various factors which affect the retailers’ perception towards Instant Tea
premix.

The secondary objectives were to identify the factors which influence retailers to
keep competitor’s product over our product and to measure the satisfaction of retailers
towards quality, margin, replacement policy etc. of Wagh Bakri instant tea premix.

The study also shows some of the findings in the allotted market which can be useful
for the company in future growth.

Then the recommendations and conclusion have been made on the basis of primary
data and the outcomes from that data.

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CHAPTER 1
INTRODUCTION

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1.1 CONTEXTUAL BACKGROUND
1.1.1 INDUSTRY SCENERIO
Tea is one of the most frequently consumed beverages across the world. The
medicinal benefits – it contains phytochemicals, flavonoids, and antioxidants, which
help to maintain a healthy functioning of the human body – associated with tea have
kept its demand high over time. The pool of tea consumers has been witnessing a
continuous rise, globally, owing to which, the global tea market is anticipated to
experience a high growth over the forthcoming years.

In 2016, the market stood at US$12.45 bn. Researchers estimate the opportunity in
this market to rise at a CAGR of 5.70% between 2017 and 2025 and attain a value of
US$20.03 bn. by the end of the forecast period. The introduction of new flavours in
tea is expected to boost this market substantially over the next few years. However,
the increasing popularity of coffee may pose a tough challenge for the tea market in
the years to come.

Fig No. 1.1.1.1 (Sources: Transparency Market research)

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Broadly, the global market for tea is evaluated on the basis of the products and the
type of products available across the world. Tea is primarily found in two types: Mass
tea or traditional tea and premium/specialty tea. As the name suggests, mass tea is
consumed by the mass, which means, the consumption volume of the mass tea
segment is much higher than the premium specialty tea segment. With the cost-
efficiency it offers, the segment is expected to continue its growth streak over the next
few years.
The demand for premium/specialty tea is also rising at a steady rate across the world.
Premium/specialty tea, including yellow tea, white tea, oolong tea, and several ready-
to-drink teas, is prepared by infusing various organic ingredients and flavours to the
traditional tea. Considering its health benefits and high quality, specialty teas are very
expensive in comparison with mass tea. With the increasing number of young and
health conscious consumers, the demand for specialty tea is expected to rise
significantly in the years to come.
Leaf tea and CTC tea are the main products available in the worldwide market for tea.
The demand for CTC tea is relatively higher than leaf tea and the trend is expected to
continue in the near future due to the low cost of CTC tea.
The global tea market is also assessed on the basis of region, that is, Asia Pacific,
North America, the Middle East and Africa (MEA), Europe, and South America. Asia
Pacific has been leading the global market over the last few years and is anticipated to
maintain its dominance in the near future as tea is the most common and popular hot
beverage in various economies in this region, such as India, Singapore, China, Japan,
Thailand, Hong Kong, Australia. North America and Europe are also projected to
register a high rise in their respective tea markets over the forthcoming years, thanks
to increasing awareness among consumers regarding the benefits of tea on health.

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1.2 MARKET SCENERIO:
Tea isn’t simply tea in India but it is like a staple beverage here and a day without it is
impossible and incomplete. Indians prefer their steaming cup of tea because for them
it acts as an energy booster and is simply indispensable. This popular beverage has a
lot of health benefits too as its antioxidants help to eliminate toxins and free radicals
from the blood.
The global tea market is divided into four major geographies - Asia Pacific, Europe,
North America and Rest of the World. As of 2016, globally, per capita consumption
of tea is highest in Turkey, followed by Ireland, the United Kingdom, Russia and
Morocco.

Fig No. 1.2.1

Asia Pacific region is the highest tea producer and is forecasted to reach a market
value of approximately USD 29 billion by 2020. India is one of the key producers and
consumers of tea globally. In 2016, approximately 216.79 million kg of tea was
exported from India. It is projected that Indian tea exports will grow to 260 million kg
amounting to USD 756 million by 2019-2020.
In the year 2015-2016, India witnessed increase in tea production by 3% year-on-year.
While Assam generated 652.95 million kgs of tea, an increase of 7.61% from 2014-
2015, west Bengal witnessed 1.68% rise in production year-on-year. On the other
hand Tamil Nadu experienced a drop in production by 3.54% year-on-year due to
severe drought. Kerala's drop in production by 15.73% was due to erratic weather
conditions and labour unrest.

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According to 'India Packaged & RTD Tea Market Overview', packaged (organized)
tea market captured more than 50% sales volume in 2016. Packaged tea market in
India is segmented into four major segments such as traditional black tea, green tea
and herbal/fruit tea and other tea such as instant tea, organic tea, white tea, oolong tea,
etc. Among all these categories black tea is a dominant category in the Indian tea
market, however green tea is also expanding its presence among young Indian
consumers due to its several health benefits. Healthy growth is projected for the
market in the coming years driven by increasing focus on health and wellness.
Regular & lemon flavour green tea is most popular among young consumers.
Packaged tea has strong brands like HUL, Tata Tea, Duncan Tea Limited in its
category.
Currently, the top slots and almost 50% of the packaged tea market might be
controlled by Tata Global Beverages and Hindustan Unilever, but consumers are
trying out many regional and smaller brands as well. As per Euro monitor
International, the tea market stood at Rs 12,970 crore in 2017 in India and will grow
at a CAGR of 3.6% between 2017-2022.

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1.3 COMPANY PROFILE:
1.3.1 HISTORY:

With blessings from Mahatma Gandhi, Sir Narandas Desai set foot on Indian soil in
theyear1982. After gaining experience in tea business as an owner of tea garden in
South Africa which then was mired in racial misgivings that made the continuity of
his business futile endeavour there.
He started Wagh Bakri Tea Company in the year 1982, which then was represented
by small company retail shop at Ahmadabad, Gujarat. Since then the growth of the
endeavour has been phenomenal and presently Wagh Bakri Tea Company has an
employee base of professional managers and skilled personals with ever increasing
space for more, to tend to the expanding group enterprise in India and abroad. Wagh
Bakri tea house markets various tea brands in loose leaf cartons and tea bags for tea
lovers all over the globe – the finest certified black teas from Darjeeling tea estates,
Assam and Nilgiri. The company sells organic black and green tea for the health
conscious.
1.3.2 Philosophy of the company:
Sir Narandas Desai, our founder, believed that his Company was not just about
tea, but more a confluence of his values and beliefs.
Wagh- Of the strong and the meek
Bakri- Of co-existence and harmony.
To make Tea a common denominator that overrides differences of caste,
creed, culture or colour. The same beliefs are reflected in our Corporate Philosophy
even today.
• Build long lasting relationships through trust and fair play towards all
stakeholders.

• Is result oriented. Contribute positively.

• Be progressive and lead from the front. Change with the times.

• Be socially responsible. Return to the society a share of the gains from


commercial enterprise.

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1.3.3 ORGANISATIONAL DESIGN:

When two or more persons work together towards a common goal, authority and
responsibility are allocated among them so that their efforts may become effective.
This is the task of organizing. It is known as designing of organizational structure.
A) Top Management
Top management consists of those executives who have the authority to take the
important policy decision. Top management is referred to as top level or highest level
or director level. It is made up of the board of directors, managing directors and the
other key officers. Top management is found invariably in all types of business
organization. It is made up of the owner himself in the individual proprietorship,
active partner in the partnership, firm and director and chief executive in a joint stock
company. The managing committee is treated as top-management in co-
operative society. At the top-level management, there is more of management than
administration. The degree of the success of the business unit mainly depends on
the degree of efficiency of its top-level management. The Wagh Bakri group is led by
Mr. Piyush O. Desai, a highly regarded tea expert and tea taster, with rich experience in
the tea business. He plays an active role in the tea industry by being an involved
member and leader of various tea associations. He was the Chairman of Federation of
Tea Traders Association (FAITTA) of India during the years1998-2002. Mr. Desai is
also strongly committed to philanthropic cause and regularly contributes to the
society. Supporting him are Mr. Pankaj R. Desai, Managing Director - Finance and
Mr. Rasesh R. Desai, Managing Director - Marketing Mr. Pankaj R. Desai has
won Wagh Bakri a respectable, profitable and committed standing in the financial
community. An able tea taster himself, he has over 30 years’ experience in the tea
industry. Mr. Rasesh R. Desai has created a formidable Marketing network that is
enviable even among multinationals. Our systems have been a source of emulation for
many companies. It also attracts attention as a case study in premier business
schools of India. Mr. Parag Desai and Mr. Paras Desai, management graduates
from prestigious business schools in United States, are hands-on contributors
among the fourth generation of management. Mr. Harish Parekh, Ex-Chairman of J.
Thomas Company and a veteran tea professional, is on the Board of Directors. Mr.
M.P. Shah, Management Consultant from Mumbai is also part of management team.

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B) DEPARTMENTALIZATION:
From a one-man Company to over four hundred employees, the Wagh Bakri Group is
today a large family. While a strong sense of family bonding overrides
the organization, professionalism is encouraged by including experts in the team from
various fields. The work environment extends adequate freedom for creative and
positive contributions to the organization and society. In the same light while forging
ahead to aggressively tap the packaged food industry, Wagh Bakri welcomes talented
human resource to share and nurture its success. At the same time, we are proud to
avoid typical large organizations ills like bureaucracy and high overhead

Type Private

Industry Food and Beverages

Founded 1915 (Ahmedabad)

Founder Shri Narandas Desai

Headquarters Ahmedabad, Gujarat, India

Key people Shri Piyush Desai


Chairman & Managing Director
Shri Parag Desai
Executive Director

Products Tea, Flavoured tea


Number of 1000-5000
employees

Website www.waghbakritea.com

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Wagh Bakri Tea Group is a Premium Tea Company, having presence in tea business
since 1892. Today it is the 3rd largest packaged tea company in India with a turnover
of over Rs.1100cr. and over 40 million kgs of tea distribution. The group is a leading
stride in tea exports and retail consumer all over the world. With huge number of
Wagh Bakri tea lovers around the world, it has emerged as a truly global brand. The
company enjoys undisputed market presence in Gujarat, Rajasthan, Madhya Pradesh,
Maharashtra, Delhi, Hyderabad, Chhattisgarh, Western Uttar Pradesh & Goa and has
recently forayed into Punjab and Karnataka.
Over the years, a long-lasting relationship of love and trust has developed between
Wagh Bakri and its loyal consumers. Teas from the best tea gardens is selected and
the group Directors personally taste and evaluate the teas.
The name 'Wagh Bakri' symbolizes the co-existence of one and all creating long
lasting relationships in society by dissolving differences over a good cup of tea. We
serve best quality of tea consistently throughout the year to one and all. In other
words, Wagh Bakri stands for relationship and harmony.

MISSION:

Indian company adding sweetness to relationships by serving the best quality tea in
every corner of the world through retail and quick service restaurant formats.

VISION:

India based globally reputed tea company delivering superior value to all its
stakeholders.

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LOGO:

The logo of “Wagh Bakri” symbolizes the co-existence of one and all creating long
lasting relationships in society by dissolving differences over a good cup of tea. We
serve best quality of tea consistently throughout the year to one and all. In other
words, “Wagh Bakri” stands for relationship and harmony.

1.3.3.1 VALUES OF WAGH BAKRI:

• Flavour

• Aroma

• Consistent Quality

• Consistent taste

• Symbol of trust, co-existence & harmony

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1.3.4 ART OF TEA TASTING:
Tasting is a refined art which encompasses a large number of variables. A taster’s
palate and olfactory senses are finely sensitive and highly discriminatory.

An experienced taster can identify the garden, ambient conditions of the plucking day
and can even suggest adjustments in the manufacturing process. A taster uses his
sharp sense of sight, smell, touch and taste while judging the quality of the tea.
A taster must also have an in-depth knowledge about the prevailing market
conditions, consumer preferences and manufacturing techniques while evaluating the
tea. These are endowments of birth – it would be true to say that tasters are born and
not made. These natural talents, however, have to be trained and developed through
long years of practice before the palate is proficient enough to register the minute
differences.
Distinguishing between qualities of teas is possible by human palate only- no wonder
this craft is viewed with a tinge of awe and wonder. The art of tea tasting is valued
much at Wagh Bakri

1.3.5 THE TASTING PROCEDURE:


In the tasting procedure, pots and cups made up of the finest china, kept spotlessly
clean, are used; 2.5gm of each tea is weighed into pots and water which has just come
to the boil is poured over it. The pots are then covered with a lid and the tea is infused
for either 5 or 6 minutes, depending on the individual taster’s preference. The liquor is
poured out into a cup and the tea is ready for tasting.
The colour and evenness of the infusion are an index to the intrinsic value of the
brew. This examination takes place in a well-lit room away from direct sunlight,
shade and shadow. Light from the north, which is steady and uniform, is ideal.
The scrutiny of the leaf and infusion over, the taster turns his attention to the liquor
and takes a sip from the cup, rolls it in his mouth and spits it out. In that split second,
the palate registers the taste – Flavours, Briskness, strength and any faults and flaws
are recorded and the taster is ready with his judgement.

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1.3.6 SWOT ANALYSIS:

Strength:

• The company has the quality consistency in their products and they are very
keen about the quality of their product.

• The company has a variety of quality product according to the taste


of consumers.

• The company has a great advantage of their goodwill in the market.

• Different blends for different regions as per the taste & preference of
consumers.

Weaknesses:

• One of the weaknesses of the company is ‘oolong tea’, it is mainly exported


but it is not sold in domestic market even if may captured a good market
share.

• It is tough to sell tea in those regions were mainly people are non-tea drinkers.

Opportunities:

• The company has good opportunities to grow in the market by introducing


more variety of products according to preferred tastes of consumers.

Threats:

• The company faces competitions by HUL who has 10% growth in market.
• The company faces severe competition with regional players in some regions.

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1.4 PRODUCTS OFFERED BY WAGH BAKRI:

• Wagh Bakri Premium Tea:

Wagh Bakri (premium), the flagship brand of the group enjoys an extraordinary
loyalty. This ‘Kadak Meethi’ brand has customers that carry along their supplies on
long and even overseas journeys. Demanded and valued highly in the international
market as well. Wagh Bakri Tea is available in leaf, dust and fanning varieties. It is
blended for north Indian market, promises a refreshing taste in every sip.

• Wagh Bakri Perfect Tea:

It is specially blended for the Maharashtra market. It is a perfect blend of great taste,
aroma and colour.

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• Wagh Bakri Spiced Tea:

Wagh Bakri spiced tea is a fine blend of the rich Assam tea and 7 exotic
Indian spices. The hand plucked leaves are blended with authentic spices
namely, cardamom, clove, black pepper, cinnamon, ginger, nutmeg and piper
longum. It is available in packs of 50gm, 100gm, and 250gm carton.

• Mili Tea:

A true representative of the masses, Mili is a quality tea blend with the same standard
of quality like any other tea blend of the group. Available in dust, leaf and fanning
forms, it is presented in attractive designed poly packs of 250gm/1kg, in PET jars of
260gm/500gm and the more user-friendly variants of Re.1/Rs.2/Rs.5/Rs.10.

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• Wagh Bakri Darjeeling Tea

It is the preferred choice of connoisseurs of tea drinking. When brewed, it yields a


light muscatel flavour which gives a refreshing aftertaste. Hand-picked to guarantee
satisfaction and certified to assure purity.

• Wagh Bakri Green Tea:

It is made solely with the leaves of camellia sinensis that have undergone minimal
oxidation during processing. Over the last few decades, green tea has been subjected
to many studies to determine the extent of its long-purported health benefits, with
some evidence suggesting that regular green tea drinkers have lower chances of heart
disease.

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• Wagh Bakri Instant Tea Premix:

A new offering from the Wagh Bakri tea group, Instant tea premix holds the goodness
of home-made tea. This 100% naturally flavoured premix includes milk solids, sugar
and tea.

• Wagh Bakri Ice Tea:

It is enriched with antioxidants and vitamin C that gives an instant boost of energy,
Wagh Bakri Ice tea is the perfect beverage to keep you refresh. Anytime, anywhere.

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CHAPTER-2

LITERATURE REVIEW

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Dr. V.N. Asopa, 2007
According to his article, “The cup that cheers has tears”

Indian tea has virtually lost all global markets because it continues to be traded as a
commodity. The much talked about value addition is limited and rather late. Only the
markets that have consumers with shallow pockets buy tea as a commodity and that
share is fast depleting. The industry needs to be competitive in production, marketing,
logistics and product forms. India, despite being a large producer of tea, lacks
properly organized production systems in which small tea producers find a
respectable place. The industry must have access to capital at globally competitive
rates. The subsidies in any form are undesirable.
The Indian tea industry must face the market realities, redefine its business strategies
and reposition its products. The first step in that direction is a complete restructuring
of the tea industry, redefining the roles of various agencies like the Tea Board and
Producers’ organizations, and developing a healthy partnership with the labour. There
are the problems of market access and discriminatory treatments through non-tariff
trade barriers such as maximum residual limits and social cause.

Rai Nishant, 2012


According to his article, “Green tea- A magical herb with miraculous outcomes”.
Green tea in its purest and most unadulterated form has always influenced human
health from generations and day by day scientific evidences throughout the World are
making people aware of health benefits associated with this herbal drink. Though
Green Tea is not officially recognized as a medical agent, it is one of the most
researched plant-based remedies whose possible benefits include promotion of cardio-
vascular health, cancer prevention, skin protection, and antioxidant activity, to fight
high cholesterol levels, infection, impaired immune function, diarrhoea, fatigue and
many more. Laboratory findings have revealed that notable health benefit of green tea
is its powerful antioxidants potential which at the molecular level, helps prevent
cellular damage from certain oxidation reactions in the body.
The credit for their useful antioxidant property lies with their huge collection of
chemical substances called polyphenols and catechins make the major contribution of
them. Though catechins have been found in other plants derivatives such as grapes,
pomegranates, those found in tea have proven to be the most effective antioxidants

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known. The catechins epigallocatechin gallate (EGCG) is found in the greatest
concentration and most Studied for its health benefits. There is an urgent need to
check the efficacy, safety and translational guidelines for a green tea to be used as
safe, effective drug. The main objective of this review is to enlighten some recent
facts with relevance to the current status and advance in green tea benefits.

S.K. Shah and Vipal A. Patel, 2016


According to their article Tea Production in India: Challenges and Opportunities
Tea being the most consumed of beverages next to the water on the earth. The
commercial tea production was started since 1835. Tea production in India has seen a
great jump of 304 percent, while the tea cultivated area increased by only 160 percent
in the last five decades. The Estate owner, management, government and the laborers
have equally contributed in increasing the production of Tea in India. Even though
there are certain challenges for tea production in India like Low laborer productivity,
High Cost of Production, Climate change, Seasonal effect, Injudicious nutrient
management, Pest and disease, and consistent quality aspects of tea. Besides
challenges India earned over Rs. 4000 crores foreign exchange in year 2014. Big
domestic market, Scientific Soil and water management, Mechanization of plucking,
Co-operative brought leaf tea factories, Reducing the cost of production by using
renewable energy, Organic and Value added Tea, Tea tourism and above all the better
support of the Government are some key opportunities to enhance further Indian Tea
Industry.

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CHAPTER 3
RESEARCH PROBLEM & OBJECTIVES:

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3.1 RESEARCH PROBLEM:

To study the perception of retailers towards Wagh Bakri Tea premix.

3.2 OBJECTIVES OF THE STUDY:

PRIMARY OBJECTIVE:

1. To understand retailers buying behaviour towards Instant Tea Premix.

SECONDARY OBJECTIVES:

1. To determine factors which influence retailers to keep competitors premix


over Wagh Bakri Tea Premix.

2. To measure retailers satisfaction towards quality, margin, replacement policy


of Wagh Bakri Tea Premix.

3.3 RESEARCH METHODOLOGY


3.3.1 Introduction
Research methodology is a way to systematically solve the research problem. It may
be understood as a science of studying how research is done scientifically. In it we
study various steps that are generally adopted by a researcher in studying his research
problem along with logic behind them.
In my project, I have used descriptive research. Descriptive research is used to
analyse the retailers’ perception and expectation towards selling of Instant tea premix
A sample Design is a definite plan for obtaining a sample from a given population. It
refers to the technique adopted in selecting items for the sampling designs.

3.3.2 Sample Size: 118

3.3.3 Areas allotted: Western & Central parts of Mumbai

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3.3.4 Secondary data
Secondary data is information which is not topical or research specific and has been
collected and compiled by some other researcher or investigative body. The said
information is recorded and published in a structured format. And thus, is quicker to
access and manage.

Sources of secondary data:

1. Company’s website
2. Internet

3.3.5 Research design for primary data collection

A) Sampling

Sampling has been performed on Retail outlets only. For Sampling I have used non-
probability sampling method.

Under non-probability technique, I have used Convenience sampling.

B) Questionnaire

Questionnaire has been designed with consultation of the Mentor. Under


questionnaire only retail outlets have been covered. To read the questionnaire, refer to
Annexure 1.

3.3.6 Data Collection Method

Data is collected through questionnaire in the form of personal interview with the
retailers.

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3.36 PRODUCT TAKEN FOR RESEARCH: “WAGH BAKRI INSTANT TEA
PREMIX”

• QUANTITY: 140g (10 Sachets Per Pack)

• FLAVOURS: Masala, Ginger, Eliche, Lemon grass

• RETAILERS LANDING PRICE: RS. 76.15 (25% Margin, 12+1 Scheme

• MRP: RS. 110 PER BOX

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In the increasing modernization of dietary preferences and fast-paced culture,
individuals are facing busy lifestyle and hectic time schedules, due to which they
often miss their regular diet and snacks. Due to packed schedules, individuals also
skip the consumption of refreshments. In order to manage busy schedules, instant tea
premixes are capturing the market across the globe. Instant tea premixes contain tea
extract powder along with milk powder with added spices or other flavours and sugar.
It is an instant solution for tea consumers who have a preference for this beverage.
Ingredients such as ginger powder, cardamom, saffron, lemongrass etc. are added to
instant tea premixes which are proven to be healthier. Owing to added health benefits
and less time taken for preparing tea, individuals with busy schedules are increasingly
preferred to use instant tea premixes and boost the sales of instant tea premixes
market.

Instant tea premixes market is segmented on the basis of product type, nature, sugar
content, flavour, sales channel and region.

• On the basis of product type, instant tea premixes market can be segmented
into conventional premixes and vending machine premixes.
• Instant tea premixes market is segmented on the basis of nature into hot tea
premix and iced tea premix.
• On the basis of sugar content, instant tea premixes market is segmented into
sweetened and unsweetened. Sweetened segment of instant tea premixes
market is expected to witness relatively high growth over the forecast period,
as individuals are focusing to consume low calories.
• Instant tea premixes market is segmented on the basis of flavour into
cardamom, ginger, masala, lemongrass, lemon, peach, and others.
• Instant tea premixes market is further segmented on the basis of sales channel
into direct sales and retail sales. Retail sales is further sub-segmented into
modern trade, convenience stores, specialty outlets, modern grocery stores,
online retailing and other retailing formats. Modern trade segment is expected
to exhibit relatively high value CAGR over the forecast period.

Owing to hectic lifestyle and busy working schedules, people have started to rely on
on-the-go food products, leading to drive the sales of instant tea premixes market over
the forecast period. Added health benefits in instant tea premixes such as anti-

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oxidants and different ingredients such as ginger powder, cardamom is proven to be
healthy. This factor is expected to facilitate the growth of instant tea premixes market
in upcoming years. Increasing corporate culture in developing economies is also
expected to boost the sales of instant tea premixes market over the forecast period, as
tea premixes are often provided as refreshment in office cafeteria and commercial
workplaces. Ease of making tea on-the-go is also a factor that is expected to
contribute in enhancing the sales of instant tea premixes market.

3.3.7 COMPETITORS:

• Girnar
• Society

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CHAPTER 4
DATA ANALYSIS AND INTERPRETATION

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4.1 Data Analysis

1. Do you sell Instant Tea Premix?

YES 118
NO 50
TOTAL 168
Table No. 4.1.1

YES NO

30%

70%

Chart No. 4.1.1

INTERPRETATION:

Out of 168 shops, only 118 were Selling Instant tea premix and at remaining 50
outlets Instant tea premix was not available.

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2. Which of the Tea Premix brands are available in the store?

Shops selling different brands of Instant Tea Premix

GRANULES 3

CHAI GOLD 8

SOCIETY 47

WAGH BAKRI 81

GIRNAR 110

0 20 40 60 80 100 120
TOTAL NO. OF SHOPS

Chart No. 4.1.2 Shops selling different brands of Instant Tea Premix

INTERPRETATION:
From the above graph, it can be noted that out of 118 outlets, 110 were keeping
Girnar Instant tea premix, Followed by Wagh Bakri at 81 outlets, then Society at 47
outlets, Chai gold at 8 outlets and Granules at 3 outlets.

35
3. On an average how many boxes of tea premix do you purchase?

60 54
50
NO. OF RETAIL OUTLETS

40 37

30 27 WAGH BAKRI
22 21 22
GIRNAR
20 14
13
9 SOCIETY
10 7 7 5

0
0-6 6-12 12-24 More than 24
RANGE (IN BOXES)

Chart No 4.1.3

INTERPRETATION:

From the above graph, it can be interpreted that, sale of Wagh Bakri Instant tea
premix in the range of 0-6 Boxes is more as compared to Girnar. Whereas, in the
range of 12-24 boxes sale of Girnar tea premix is more.

36
4. What is your frequency of placing an order for Tea Premix?

Once in a week Once in two weeks Once in a month

14%

39%

47%

Chart No. 4.1.4

INTERPRETATION:
Out of 118 Outlets, 47% of the retailers like to give order once in two weeks followed
by 39% gives order once in a week & 14% gives order once in a month.

37
5. According to you, which is the most preferred flavour?

10%
20%

lemongrass
Masala
Elaichi
21%
Ginger
49%

Chart No. 4.1.5

INTERPRETATION:
From the above graph, it can be interpreted that Masala is the most preferred flavour
whereas, Lemon grass is the least preferred flavour of Wagh Bakri Instant Tea
Premix.

38
6. Are you satisfied with the work of promoters? (Only for gold outlets)

Yes 23
No 34
Total 57
Table No 4.1.2

40%
Yes
No
60%

Chart No. 4.1.6

INTERPRETATION:
From the above chart it can be interpreted that, 40% of the retailers at gold outlets are
satisfied with the work of promoter whereas, 60% of the retailers are not satisfied.

39
7. Rate the following factors which are important while purchasing or ordering
Tea Premix (1- Least important, 2- Not so important, 3- Neutral, 4- Important,
5- Most important)

WEIGHT 5 4 3 2 1
FACTORS Most Important Neutral Not so Least Total
important important important

Margin 67 34 17 0 0 118
Replacement 22 46 33 13 4 118
policy
Performance 16 36 28 21 17 118
of distributor
MRP 21 28 32 19 18 118
Quality 48 31 14 17 8 118
Customer 79 30 9 0 0 118
demand
Offers & 63 38 17 0 0 118
schemes
Promotional 46 35 37 0 0 118
activities
Table No. 4.1.3

Calculation of Weighted Score:

WEIGHT 5 4 3 2 1 15
FACTORS Most Important Neutral Not so Least Weighted Weighted
important important important Total score

Margin 335 136 51 0 0 522 34.80


Replacement 110 184 99 26 4 423 28.20
policy
Performance 80 144 84 42 17 367 24.46
of distributor

MRP 105 112 96 38 18 369 24.60


Quality 240 124 42 34 8 448 29.86
Customer 395 120 27 0 0 542 36.13
demand
Offers & 315 152 51 0 0 518 34.53
Schemes
Promotional 230 140 111 0 0 481 32.06
activities
Table No. 4.14

40
FACTORS
RANKS

Margin 2
Replacement 6
policy
Performance of 8
distributor
MRP 7
Quality 5
Customer 1
demand
Offers & 3
Schemes
Promotional 4
activities
Table No. 4.1.5

INTERPRETATION:
With the help of weighted average method, we can interpret that margin and
Customer demand are the most important factors whereas, MRP & Performance of
distributor are the least important factors for the retailers while buying Instant Tea
Premix.

41
8. How satisfied are you with Wagh Bakri Tea Premix with respect to the
following factors? (-2 Highly dissatisfied, -1 Dissatisfied, 0 Neutral, 1
Satisfied, 2 Highly satisfied).

WEIGHT -2 -1 0 1 2
FACTORS TOTAL
Margin -24 -33 0 25 0 -34
Replacement 0 -7 0 29 36 58
policy
Performance of -10 -8 0 16 24 22
distributor
MRP 0 -23 0 28 0 5
Quality 0 -9 0 28 38 57
Customer -38 -48 0 18 0 -68
demand
Offers & -52 -40 0 16 0 -76
Schemes
Promotional -84 -44 0 7 0 -121
activities
Table No. 4.1.6 Satisfaction Score

INTERPRETATION:

From the satisfaction score we can conclude that retailers are dissatisfied with Offers
& Schemes, Customer demand and Promotional activities, while they are more
satisfied with the quality & replacement policy of Wagh Bakri Instant Tea Premix.

42
9. Tick on the Tea Premix brands for the following attributes they are best in.

50 47
45 43

40
36
35 32
30
26
25
19 20
20
16
15 12
10 8 8

5 2
0
Replacement policy Demand Quality Margin
Wagh Bakri Girnar Society

Chart No. 4.1.7

INTERPRETATION:
From the above analysis it can be interpreted that Wagh Bakri Instant Tea Premix is
best known for its Replacement policy and Quality whereas Girnar is known for its
demand and Society for its margin.

43
CHAPTER 5
FINDING & RECOMMENDATION

44
5.1 FINDINGS & RECOMMENDATIONS
5.1.1 Findings:

1. Out of total 168 outlets, Instant tea premix was available at 118 outlets.

2. Out of 118 outlets, Girnar premix was available at 110 outlets followed by
Wagh Bakri Instant tea premix at 81 outlets.

3. Out of 57 golden outlets, at 34 outlets retailers are not satisfied with the work
done by promoter.

4. Majority of retailers are dissatisfied with the promotional activities, Offers &
Schemes and less customer demand.

5. Lack of awareness among consumers is due to less promotional activities.

6. Replacement policy of the company is very good and because of which


placement of new products in the outlets becomes easy.

7. Through the continuous observation at different outlets it is concluded that the


Lemongrass flavour of instant tea premix is least preferred by retailers because
it comes with an expiry of Six months whereas that of competitors (Girnar,
Society) comes with an expiry of Nine months. Therefore, the retailer has to
keep on replacing it.

8. Masala Flavour is the most preferred Instant tea flavour due to its strong taste.

9. In Wagh Bakri, retailers are more interested to purchase 0-6 boxes of Instant
Tea Premix per week whereas in the case of Girnar, they are interested to
purchase 12-24 boxes per week.

45
5.1.2 Recommendations:

1. We can do more promotion in the areas where most of the corporate people
resides to create awareness among them as Instant Tea is mainly preferred
by corporates and students.

2. We can arrange a six monthly Get- together with our top retailers who
purchase our products on regular basis to know their problems and to take
their feedbacks and suggestions.

3. Proper training should be given to the promoters so that they can promote
our products at gold outlets in a better and systematical manner.

4. We can give scheme of (6+1) instead of (12+1) because retailers are not
interested to purchase 12 boxes of Instant tea at a time.

5. Expiry period of Lemongrass flavour of Wagh Bakri Instant Tea Premix


which is six months should be similar to that of its competitors which is
nine months.

46
CHAPTER 6
LIMITATIONS AND CONCLUSION

47
6.1 LIMITATIONS:

• Geographical Limitation: This study is limited to some of the regions of


Western as well as Central part of Mumbai. It can’t be applicable on complete
population under study. The result will differ when applied on complete
population

• Sampling technique: Probability sampling methods are not applied due to


unawareness of size of population.

• Biasness: Some of the respondents have not replied properly. Their responses
may or may not have some biasness.

• As the sample size of the survey was so small and comprise of only 118
retailers, the results may be prone to errors.

• Stipulated short span of time for survey.

48
6.2 CONCLUSION:
The Summer Internship project has helped me gain huge practical knowledge which
can’t be gained only through books. This experience gave me an opportunity to learn
new things which provided me a peek into the corporate culture. Being a fresher, I
would never be exposed to a corporate environment if it were not for this project. I
thank Wagh Bakri Tea Group for giving me the chance to work with them as a
summer intern and showing me the path of knowledge and experience which will help
me to succeed in my career and enter into a bright future.

Through the complete research it can be concluded that:

• The company has the quality consistency in their products and they are very
keen about the quality of their products.

• The company has a variety of quality product according to the taste


of consumers.

• The company has a great advantage of their goodwill in the market.

• Different blends for different regions as per the taste & preference of
consumers.

The major problems which were identified during the research are as follows:

1. Consumers are not aware about Wagh Bakri Instant Tea Premix due to its less
promotional activities and because of which its demand is less.

2. Promoters at the gold outlets are not properly trained.

3. Retailers are not satisfied with the offers & schemes of the product.

4. Lemon grass is the least preferred flavour as it comes with an expiry of Six
Months whereas that of Competitor (Girnar) comes with an expiry of Nine
months.

49
BIBLIOGRAPHY:

TEXT BOOK:
1. Essentials of marketing research by N.K. Malhotra
2. Marketing Management by Philip kotler.

WEBSITES:
1. www.waghbakritea.com
2. www.scribd.com
3. www.ibef.com

50
ANNEXURE 1

QUESTIONNAIRE

1. Name of the store: _________________

2. Address: _________________

3. Do you sell Instant Tea Premix?


a) Yes
b) No

4. Which of the following Tea Premix brands are available in the store?
a) Wagh Bakri
b) Girnar
c) Society
d) Others

5. On an average how many boxes of tea premix do you purchase?

0-6 6-12 12-24 More than 24


Wagh Bakri
Girnar
Society

6. What is your frequency of placing an order for Tea Premix?


a) Daily
b) Once in a week
c) Once in two weeks
d) Once in a month

51
7. According to you, which is the most preferred flavour?
a) Masala
b) Lemon grass
c) Ginger
d) Elaichi

8. Are you satisfied with the work of promoters? (Only for gold outlets)
a) Yes
b) No

9. Rate the following factors which are important while purchasing or ordering
Tea Premix?(1- Least important, 2- Not so important, 3- Neutral, 4- Important,
5- Most important)

1 2 3 4 5
Margin
Replacement
policy
Performance
of distributor
MRP
Quality
Customer
demand
Offers &
Schemes
Promotional
activities

52
10. How satisfied are you with Wagh Bakri Tea Premix with respect to the
following factors? (-2 Highly dissatisfied, -1 Dissatisfied, 0 Neutral, 1
Satisfied, 2 Highly satisfied)

-2 -1 0 1 2
Margin
Replacement
policy
Performance
of distributor
MRP
Quality
Customer
demand
Offers&
Schemes
Promotional
activities

11. Tick on the Tea Premix brands for the following attributes they are best in.

Replacement Demand Quality Margin


policy
Wagh Bakri
Girnar
Society

12. Additional feedbacks, if any?

_____________________________________________________

53