consumer buying behavior toeards milk product

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Shivaji University, Kolhapur INTRODUCTION The study of Warana milk and milk product in Sangli area is my project study. Survey is one of the important opinion or behavior about the quality, test, packaging, and price when they purchase the product. This collected information is used in all marketing plans, policies, programs and procedures. The survey of consumer behavior has been conducted in Sangli area. The questionnaires for survey were developed by discussion with guide, friends and marketing manager of Warana dudh Sangh. In this survey actual consumers were surveyed. R.I.T. Management Studies, Sakharale 1

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Transcript of consumer buying behavior toeards milk product

Page 1: consumer buying behavior toeards milk product

Shivaji University, Kolhapur

INTRODUCTION

The study of Warana milk and milk product in Sangli area is my

project study. Survey is one of the important opinion or behavior about the quality,

test, packaging, and price when they purchase the product. This collected

information is used in all marketing plans, policies, programs and procedures.

The survey of consumer behavior has been conducted in Sangli area.

The questionnaires for survey were developed by discussion with guide, friends and

marketing manager of Warana dudh Sangh.

In this survey actual consumers were surveyed.

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OBJECTIVES OF THE STUDY: -

The market research is an important element of the process of

marketing. Market research includes the complete analysis of the market.

The main purpose of the market research is to know about consumers and the

markets of its products or services. Because of market research the marketer

may come to know the shortcoming in this product of policies and strategies

and can make the improvement to make them effective.

The main objectives of the study are as follows:-

1) To study the customers needs, wants and opinion about the Warana milk and

milk product.

2) To analyze the market availability for milk products of Warana dairy in

Sangli City.

3) To study the factors necessary for increasing the sales volume and evaluate

the Warana customer who are shifting to other brands.

4) To find out preferences of attributes consumer like most in the milk

products.

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RESEARCH METHODOLOGY

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.

Marketing research is the systematic objective and exhaustive search for

and study of all facts relevant to any problem in the field of marketing. Marketing

research is the systematic collection recording, analysis, interpretation and reporting

of necessary information and data about existing and potential customers. The main

of objective of marketing research is to frame new policy or modified the existing

marketing policies, strategies and programmers. The data collected by survey

method using the questionnaire as an instrument. The data is processed and

analyzed. The last step is the marketing research process is interpreter the data after

that report writing all recommendations. Suggestions and collected data should be

presented in such a manner that can easily understand it.

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MARKETING RESEARCH PROCESS :

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DEFINING THE PROBLEM

DEVELOPING THE RESEARCH PLAN

COLLECTING THE INFORMATION

ANALYZING THE INFORMATION

PRINTING THE FINDINGS

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SOURCES OF THE DATA

The main sources of the data are:-

A. Primary Data

B. Secondary Data

A) PRIMARY DATA: -

The primary data are those which are collected a fresh and for the

first time and thus happen to be original in character.

Marketing research project involves primary data collection. It is more costly

process but data was very useful to handle the problem. The primary data should be

collected either through observation of through direct communication with

respondents in on form or another or through personal interviews.

In this survey through the dealers actual consumers also surveyed.

Its instrument was questionnaires and contact method was personal. To know the

Reaction of the customer or to know how people feel about particular product of

warana milk and primary data is collected in this way.

The primary data gives the first hand information regarding the

problem and also discussion with the concerned people of organization in this all-50

respondents were interviews near the dealer center in short time. They’re

occupations, income and their awareness and their opinion about warana milk

products etc. are asked more details can be found about in the questionnaire.

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B) SECONDARY DATA: -

Secondary data consist of information that already exists to serve

the purpose. Secondary data provides a starting point for research and offer the

advantages of lower cost and quicker availability. Some information may be gained

from secondary sources such as population and income statistics some daily news

papers, monthly magazines, the economic times, financial express etc. are important

source of useful information, secondary data source are mostly published materials.

Here the relevant secondary data was collected through the

available literature from organization in the form of annuals and journals.

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SCOPE AND IMPORTANCE OF STUDY:-

This study focused on the consumer expectation in concern to products

of Warana Dudh Sangh Ltd. This study is also focuses on the problem faced by the

consumers. Through this study, researcher will know about the consumer’s opinion

regarding the quality, price, packing of Warana Milk Products. This study is also

important to the researcher as this study gives the information of the behavior of the

consumers in concern to Milk Products.

This study is also important to others as this study gives the valuable

information about consumer expectations, needs and wants. This study is also

important to company because by referring this project they will know their market

share and demand of their products.

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LIMITATIONS OF THE STUDY

The limitation of the study is as follows.

1. The conclusion drawn from he survey is limitated for the area

covered under study, which may not be applicable to other regions.

2. As the population of Sangli is very large, it is just not possible to approach

more customers for this purpose.

3. Due to some unknown reasons some customers were not able to give fall

information about the study.

4. In this project work market survey is necessary but is time consuming and

very costly.

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INTRODUCTION TO ORGANISATION

“Shri Warana Shahakari Dudh Utpadak Prakrriya sangh” has been established in

year 1968.Salient feature of the organization introduction:

Company profile or the salient features of the organization is the cater, which

includes the detailed information of the organization. This chapter gives the history

development and working process of the organization.

In India the co-operative movement has been started in 1904. the few persons like

Vittalrao Vikhe Patil, Gulabrao Patil, and Vaikunthal Mehata has participated for

progressing the co-operative movement one of them was late Shri Tatyasaheb kore behind

the foundation of Warana Dudh sangh , there was a great visionary strife, struggle of late

Shri Tatyasaheb kore.

The reputed, well-know movement or dairy project in co-operative world of India

is shri warana shakari Dudh Utpadak prakriya sangh Ltd. Amrutnagar. Late shri

Tatyashaheb kore founded the co-operative sugar factory in Warananagar in 1959 and it one

started railing he set the pace and never looked farmer benefited by the sugar factory was

hardly 15-20% it accentuate the gap between the lives of the people in cities and villages

were also clear. There fore there was necessary of an economic development programmed

to Coeur marginal farmers, landless labourless and other weaker sectors so as to improve

their socio economic condition. The idea of implementing a project of dairy thus conceived

to provide year round guaranteed market for the milk produced from distant remote villages

of the area procure it transport it to the central Dairy process and market milk product in the

metro pollution cities, so all people are celebrating their lives happily and with pride with

the help of by products of Warana that is Warana dairy.

Today there is great contribution of chairperson Shri vinay kore (minister

Maharashtra state), vice-chairman Dr. B.R. Gulavani, managing directors as well staff. They

have taken care to variety of schemes for the success of it.

Quality is key word of warana is ahead to all other products is different in taste,

quality to other products. So tremendous popularity is gained to it. Warana milk and milk

products are the symbols of simple and clear philosophy of native people of warana.

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HISTORY & DEVELOPMENT:-

Warana dairy project enrisages an intensive and integrated approach for

dairy development in its area of operation and accordingly has undertaken scheme of

milk production improvements such as cross breeding of cows, upgrading of

buffaloes veterinary services updated method of footer production and its own dairy

plant

for processing and manufacturing of milk products comprehensive sales

organization is also established to arrange sale of milk products i.e., slammed milk

powder, whole milk powder ,ghee, butter ,shrikhand etc.

The agricultural finance corporation departments in 1972 approved the

technical and economic feasibility report of “Warana Dairy Project”. The central

Government issued factory license in 1973-74.

Warana has incorporated the latest technology in its state of the art chilling

and processing facilities, a compact automatic plan that not only pasteurizes milk

but also produces a large range of milk product which include Skimmed milk

powder, Whole milk powder, Ghee, Shrikhand, Malted Food, Cheese, Butter, etc.

The dairy plant has a capacity to handle 4, 71, 371 liters of milk of which 1,00,000

liters can be converted into milk products. The commissioning of Warana’s dairy

project has added an income of Rs. 185 cores per annum to the farmer population of

78 surrounding villages.

Coupled with modern technology is the commitment to quality, most

imperative for milk products, which requires sensitive handling. Each product is put

through rigorous quality tests, does it go for packing. Dealers are also aware about

the set standards of quality to ensure the customer gets nothing short of the best. An

example of excellence is reflected in the trust the Indian Military has placed in

Warana product Stamina, a malted product, for which it has placed a mammoth

order of 550 metric tones.

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Daily needs:-

To procure collect test store and supply good clean milk and to various

needs of daily farmers like cattle feed, medicine, concentrated seeds etc. societies

are provided subsidy to construct building as per approved plans.

Training:-

Constant up gradations of employees skills& knowledge is achieved by

imparting training in there respective fields like veterinary services accountancy,

milk testing etc. Dairy organizes

Various competitions and meals (get together) for quantities and qualitative

improvement of milk yield and organizing all the aspect of working of society.

Power plant:-

To keep pace with the time Warana Dudh Sangh has imported power

plant from Australia with its excellent capacity of 35 M.T. per day to run with better

speed and technique.

Co-Generation plant:-

Cost of electricity and continuous electricity supply is the key

factor in the cost of production keeping this in mind they installed 22 mega watt

capacity co- generation plant which will ensure smother operation & gives self

sufficiency.

Clean milk production:-

Under the technical expertise of national dairy development board they

have commended clean milk production programme. The revolutionary concept is

changing the scenario in the milk world aro

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INFRASTRUCTURAL FACILITIES :-1) Land & Building :Initially 50 acres land was taken on 99 year lease from Warana Sahakari

Sangh, Warananagar in 1970 additional 35 acres land is acquired for future

expansion. Main Dairy building, Ice Plant to produce 10 tones Ice per day and

most essential staff quarters were built in 1975. All these building have been

expanded in last 5 to 7 years according to requirement. Total building cost is Rs.

170 Lakh.

2) Milk Collection:

Sangh started milk collection about 1,950 Liters on any average per day

in the year 1970 and reached to 2,07,256 litres on an average per day in 1996-97

and now milk collection reaches 4, 71, 371 litres per day in 2003-04.

3) Malted Milk Food Project:

Sangh had applied for license for the manufacture of Malted milk food

and received Industrial License for the annual production of 500 tones in 1989.

The cost of this project is around 3 crores. Sangh has started civil construction

in 1990 and machinery erection etc. is started in 1991. The Sangh drope to

complete the project in August 1991 and will be able to commence the

production in phased manner.

4) Marketing:

In the year 1979-80 Sangh started marketing milk and milk products in

local cities and Mumbai. There was very poor response at initial stage for milk

and milk products. The Sangh was making heavy losses in sale of milk because

of higher cost of transportation and less quantity of milk being sold.

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The Sangh continued their sincere efforts for marketing milk and milk products

and due to good quality of milk, reasonable price, prompt consumers and thus sale of

milk started increasing day by day.

The Sangh has started marketing of milk in Pune from year

1996-97 now they are forced to curb the activities of their sale because of the shortage

of milk and milk products.

Following are the some activities –

A) At farmers level -

1) Sangh is giving subsidy on purchase cost for purchase of milk animals

2) Sangh has established independent cattle feed mizing plant and a good quality cattle

feed is distributed at reasonable price at the door of the farmers.

3) Sangh has started a unique scheme named " Jivit Suraksha Yojana" for a milk

producer in case of his death either natural or accidental.

4) Sangh is rendering free veterinary services to its milk producers through mobile,

veterinary routes visiting villages once a week for treatment, operation and artificial

inseminations.

5) Ladies Seminars - The Sangh has arranging various ladies seminars at village level

where all scientific information requiring day to day management about feeding and

milking etc. for improvement of business.

B) At Society Level :-

1) Upto 25% subsidy is given for construction of office building by the milk

society.

2) 25% subsidy is given for the purchase of electronic milk tester for Fat analysis.

3) Training is organised for society personal to train them in society management.

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PRODUCTS OF WARANA DUDH SANGH

WARANA MILK: -

Fresh dairy milk of high nutritional value is their mainstay

product. It is available as buffalo and cow milk. Daily about 2,00,000 liters of

buffalo milk is supplied to Mumbai and 1,00,000 liters to other markets, in half liter

and one liter packs.

WARANA SHRIKHAND: -

A traditional product popular in western India, this

fermented product contains useful lactic acid, bacteria and is made by mixing

concentrated curd (chakka) with sugar, condiments, fruits, nuts etc. thus has the

nutritional advantages of a fermented milk product and is rich in milk protein.

Warana is the first organized dairy.

In Maharastra to manufacture shrikhand on and industrial scale.Shrikhand

is marketed in badam pista and kesar elaichi varaieties available in 100gm, 250gm,

500gm, plastic cupes and 100gm, 250gm, 500gm, in poly packs.

Warana has proved to market leader in shrikhand. Characterized by a unique

manufacture techniques that blends tradition with technology warana shrikhand has

become the most popular brand available. Overall sales for 2006-2007 have crossed

2400 ML. as a today Mumbai alone consumes 3mt shrikhand everyday.

WARANA AMRAKHAND: -

It is made from concentrated curd sugar and Alphanso mango pulp

nutritional advantages available in 200gm and 500gm plastic cups.

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WARANA TABLE BUTTER: -

Traditionally know, as makhan butter has been an age old, everyday product

through out the country. Hence the increasing demand for this product called for it

to be manufactured at warana also available in packs of 100gm as well as 500gm.

SKIMMED MILK POWDER: -

Manufactured by dry skimmed milk with spray drying technology after. Pre-

concentration rich in carbohydrate constitutes 3% moisture, 35%protein, 52% milk

sugar and less than 1% fat total solids 97% stability of 99.5% shelf life of 12 months

at room temperature available in 25 kg polythene liner also in 100 gm, 500gm and 1

kg poly packs.

WARANA GHEE:-

Warana ghee keeps up the age-old values complete milk fats (99.7%) granular

and white in co lour. Agmark special grade product shelf life of 6 months at room

temperature available in 500 ml poly packs and 15 lit. Tin also.

WARANA LASSI: -

This is a popular Indian fermented drink similar to liquid yoghurt. It is made

from fresh cow milk by using lactic acid, bacteria and mixing sugar. It is then

pasteurized homogenized and packed in pouches using from fill seal machine

available in poly packs of 200ml.

WARANA PROCESSED CHEESE: -

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Processed cheese is manufactured using perfect blend natural Ripened cheese

and fresh cheddar and other cheese contain fat 40 % on dry basis and is rich in

proteins by 35% on dry basis.

MAZZARDLA CHEESE: -

Manufactured using fresh pasteurized buffalo mazzarola is used mainly for

pizza making the stretching and melting properties are maintained to give best use in

pizza preparations.

CATTLE FEED PLANT: -

A cattle feed plant is the main attraction of the dudh sangh. The name of

the cattle feed plant is “warana cattle feed”. This cattle feed plant is successful in

maintaining the brand image in the market. This plant is producing very good cattle

feed.

This cattle feed plant is having separate management staff. This cattle feed plant

is having department of doctors for taking care of the cows and buffaloes.

ICE FACTORY: -

The dairy is having it’s own ice factory, it is located inside the dairy plant.

Ice is very useful in maintaining the temperature of the time of transportation. The

production capacity of ice factory is ten tons per day. One piece of ice is about 50 kg

in this way ice factory is one of the important salient features of the dairy plant.

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MUMBAI BRANCH: - (Vashi)

The warana dudh sangh has another branch at Mumbai at Vashi. Initially

the sale of milk was 1200 lit. per day, but now the sangh have been reached up to

95,000 to 1,00,000 lit of milk per day in mumbai. To give maximum rates of the

milk to the farmers, it is necessary to sale the milk in the big cities like Mumbai.

After collection of the milk in the main branch of dudh sangh at Amrutnagar,

the milk may be processed there and then transport to the Mumbai branch. The dudh

sangh has used the tankers for transporting the milk from Amrutnagar to Mumbai.

The milk is sold in Mumbai through the agents. The milk is sold in 500 ml

packages in Mumbai. Likewise milk and other milk product of warana like

shrikhand, skimmed milk powder, and ghee has also making a good market in

Mumbai.

In 1985 the Sangh has purchased cold storage having 10,000 ft. built up area

and 3300 sq ft cold store area at Turbhe. Now the sangh has purchase app. 47000 sq.

ft. land at M.I.D.C. Vashi and independent processing and packing station is to be

established on this land. Almost workers and staff of Vashi branch have been given

staff quarters in CIDCO premises at Vashi. Nehru and CBD etc. sangh own vending

shops and broths have been started in this area.

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Objectives of the organization: -

1) The main objective of the dudh sangh is to give the maximum rates to the

milk suppliers. Dudh sangh always think about the socio-economic

development of rural farmers.

2) The next important objective of dudh sangh is to provide high quality of

warana milk and milk products such as Srikhand, Lassi, ghee, etc. the dudh

sangh always tries to improve the quality of the milk and milk product.

3) The one more important objective of dudh sangh is to serve the customers

giving them good quality milk and milk products at reasonable price.

4) The next objective of dudh sangh is to give facilities of employees as for as

possible.

5) The next objective of dudh sangh is to give the opportunity to the

management staff as well as workers for more study on dairy and technology

etc.

6) Another objective of the dairy is to expand the dairy plant.

In this way above are the some important objectives of the dudh sangh

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ORGANIZATION CHART :-

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Chairman

M.D.

Finance manager & account manager

Transport

manager

Administration manager

Personnel manager

Purchase manager

Marketing manager

Dy. Manager A/C cost

Chief A/C

Officer

Assistant personnel manager

Assistant purchase manager

Sales manager

Assistant Marketing Manager

Factory manager daily Factory Manager Daily

O.C. Manager Dy. Factory Manager Manager of cattle feed

R.D. Officer Production Manager

Assistant Q.C.

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THEROTICAL BACKROUND OF STUDY

CONSUMER BEHAVIOUR: -

Consumer behavior is defined as “all psychological; social and

physical behavior potential customer as they become aware of evaluate, purchase,

consume and tell others about products and services.” Each element of this

definition is important.

1) Buyer behavior involves both individual (psychological) processes

and group (social) processes.

2) Buyer behavior is reflected from awareness right through post –

purchase evaluation indicating satisfaction or non-satisfaction, from

purchases.

3) Buyer behavior includes communication, purchasing and

consumption behaviour.

4) Consumer behaviour is basically social in nature. Hence social

environment plays an important role in shaping buyer beheviour.

5) Buyer beheviour includes both consumer and business buyer

behaviour.

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Process of Buying decision :-

Following is the process of buying decision

Fig. No.1 Buyer Behavior ( Marketing Management- Philip Kotler)

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Marketing Other StimuliStimuli

Product EconomicPrice Technological

Buyer’s Buyers decision Characters. Process.

Cultural ProblemSocial RecognitionPersonal Information

Buyer Decisions

Product choiceBrand choiceDealer ChoicePurchase TimingPurchase Amount

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MAJOR FACTORS INFLUENCING BUYER BEHAVIOUR :

The following figure present a detailed model of the factors influencing a

consumer’s buying behaviour

Factors influencing buyer behaviour

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Culture

Culture

Subculture

Social class

Social

ReferenceGroups

Family

Roles and statues

Personal

Age and lifecycle stage occupationEconomicLifestyle

Psychological

Motivation

Perception

BUYER

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CULTURAL FACTORS :

Cultural factors exert the broadest and deepest influences on consumer

behavior

Culture:

Culture is the most fundamental determinant of a person’s wants and

behaviour. The growing child acquires a set values, perception preferences, and

behaviour through his or his family and other key institution. A child growing up in

America is exposed to the following values: achievement and success activity,

efficiency and practicality. Progress material comfort, individualism, freedom,

external comfort, humanitarianism, and youthfulness.

Social class:

Social classes have several characteristics. First persons within each

social class tend to behave more alike than persons from two different social classes.

Seconds, persons are perceived as occupying inferior or superior positions according

to their social class. Third a person’s social class is indicated by a number of

variables, such as occupation, rather than by any single variable. Fourth, individuals

can more from one social class to another up or down during their lifetime. The

extent of this mobility varies according to the rigidity of social stratification in a

given society.

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SOCIAL FACTORS :

A consumer’s behavior is also influenced by such social factors as

reference groups, family and social roles and statuses.

Reference groups:

Many groups influence a person’s behavior. A person’s reference groups

consist of all the groups that have a direct (face-to- face) or indirect influence on the

person’s attitudes or behavior. Groups having direct influences on the person are

called membership of the groups. These are groups to which the persons belongings

and interacts. Some are primary groups, such as family, friends neighbor, and

coworkers, with which interacts fairly continuously. Primary groups tend to

behavior informal. A person also belongs to secondary groups. Such as religious

professional, and trade union groups, which tend to be more formal and require less

continuous interaction.

Reference group influence changes as products pass through the products

life cycle. When a product is first introduced the decision to buy it is heavily

influenced by others. in the market growth stage, group influenced by other, but the

brand chosen is less influences by other. In the market growth stage, group

influences is strong on both product and brand choice. In the product maturity stage,

brand choice but not product others heavily influence choice. In decline stage, group

influences is weak both product and brand choices.

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PERSONAL FACTORS:

A buyer’s decisions are also influenced by personal characteristics, notably

the buyer’s age and life cycle stage, occupation, economic circumstance, lifestyle,

and personality and self-concept.

1) Age and life cycle stage:

People buy different goods and services over their lifetime. They eat baby

food in the early years, most foods in the growing and mature years and special diets

in the later years. People’s taste in clothes, furniture, and recreation is also age

related.

Some recent work has identified psychological life stage. An adult

experiences certain passages or transformations as they go through life. Marketers

pay close attention to changing life circumstance divorces, widowhood, remarriage

and their effect on consumption behavior

2) Occupation:

A person’s occupation also influences his or her consumption pattern. A

blue-collar worker will buy work clothes, work shoes, lunch boxes, and bowling

recreation.

A company president will buy expensive suits, air travel, and country club

membership and a large sailboat. Marketers try to identify the occupational groups

that have above average interest in their products and services.

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3) Economic circumstances:

Product choice is greatly affected by one’s economic circumstances.

People’s economic circumstances consist of their spend able income (its level,

stability, and time pattern), saving and assets (including the percentage that is

liquid), debts, borrowing power, and attitude toward spending versus saving.

4) Lifestyle:

People coming from the same subculture, social class, and occupation

may lead quite different lifestyles.

A person’s lifestyle is the person’s pattern of living in the world as

expressed in the person’s activities, interests, and opinions lifestyle portrays the

“whole person” interacting with his or her environment. Marketers will search for

relationships between their products and lifestyle groups.

5) Personality and self concept:

Each person has a distinct personality that will influence his or her buying

behavior. By personality we mean the person’s distinguishing psychology

characteristics that lead to relatively consistent and enduring responses to his or her

environment. Personality is usually described, in terms of such traits as self-

confidence autonomy, deference’s, sociability, defensiveness and adaptability.

Many marketers use concept related to personality a person’s self-concept

(or self-image).

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PSYCHOLOGICAL FACTORS:

A person’s buying choices are further influenced by major

psychological factor motivation, perception. Learning, beliefs and attitudes.

Motivation:

A person has many needs at any given time. Some needs are bioorganic.

they arise from physiological state of tension such as the need for recognition,

esteem, or belonging.

Psychologists have developed theories of human motivation. Three of the best

known the theories of Sigmund Freud, Abraham Maslow, and Frederick, Herzberg-

carry quite different implications for consumer analysis and marketing strategy.

Maslow’s Theory of motivation:

Abraham Maslow sought to explain why people driven by particular

needs at particular times. Why does one person spends considerable time and energy

on one person spends considerable time and energy on personal safely and another

on pursuing the esteem of others? His answer is that human needs are arranged in a

hierarchy, from the most figures. In their order of importance, they are physiological

needs; safety needs social needs, esteem needs, and self-actualization needs. A

person will try to satisfy the most important needs first.

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Maslow’s Hierarchy of Needs :

1) Perception:

A motivated person is ready to act. How the motivated person actually

acts influenced by his or her perception of the situation.

Why do people perceive the same situation differently? The fact is that

we apprehend a stimulus object through sensations that flow through our five senses:

sight, hearing, smell, touch, and test. However, each of us attends, organizes, and

interprets these sensory data in an individual way.

Selective attention people are exposed to a tremendous amount of

daily stimuli.

Selective Distortion

Selective Retention

These perceptual factors selective exposure, distortion, and retention

mean that marketers have to work hard to get their message across. That explains

why marketers use drama and repetition in sending messages to their target market.

2) Learning:

When people act, they learn. Learning describes changes in an

individual’s behavior arising from experience. Most human behavior is leaning is

produced through the interplay of drives, stimuli, cues, responses, and

reinforcement.

Learning theory teaches marketers that can build up demand for a

product by association it with strong drives, using motivating cues, and providing

positive reinforcement.

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3) Beliefs and attitudes:

Through doing and learning, people acquire beliefs and attitudes. These

in turn influences there buying behavior.

A belief is a descriptive through that a person holds about something.

Attitudes lead people to behave in a fairly consistent way toward

similar objects. People do not have to interpret and react to every object. In a fresh

way attitudes economize on energy and though.

STAGES IN THE BUYING DECISION PROCESS:

Figure shows a “stage model” of the buying process. The consumer

passes through five stages: problem recognition, information search, and evaluation

of alternatives, purchase decision, and post- purchases behavior. Clearly the buying

Process stages long before. But this is not the case, especially in low- involvement

purchases. Consumer may skip or reverse some stages. Thus a woman buying her

regular brand of toothpaste goes directly from the needs for toothpaste to the

purchase decision, skipping information search and evaluation.

Stages in buying decision process

Marketing management- Philip Kotler

R.I.T. Management Studies, Sakharale 29

NeedRecognition

InformationSearch

EvaluationAlternatives

Purchases decision

PostPurchaseBehavior

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1) Need recognition:

The buying starts when the buyer recognizes a problem or need.

Can be triggered by internal or external stimuli.

Or a need can be aroused by an external stimulus. A person

passes a bakery and sees freshly banked bread that stimulates her hunger. These

stimuli can trigger a problem or need.

2) Information search:

An aroused consumer will be inclined to search for more

information. Through gathering information the consumer learns about competing

brands and their features.

Therefore a company must “strategize” to get its brand into the

prospects awareness set, consideration set, otherwise it lose its opportunity to sell to

the customer.

3) Evaluation of alternatives:

There are several decision evaluation processes. Most current

models of the consumer evaluation are cognitively oriented that is they see the

consumer as forming product judgments largely on a conscious and rational basis.

The consumer is trying to satisfy a need. The consumer is

looking for certain benefits from the product solution. The consumer sees each

product as a bundle of attributes with varying capabilities of delivering the sought

benefits and satisfying this need. The attributes of interest to buyers vary by product.

4) Purchase decision:

In the evaluation stages the consumer from preference among the brands in the

choice set. The consumer may also from a purchase intention to buy the most

preferred brand. However tow factors can intervene between the purchases intention

and purchase decision. These factors are shown in figure.

The first factor is the attitudes of others.

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Purchase intention is also influenced by unanticipated situational

factors. The consumer forms a purchase intention on the basis of such factors as

expected family income, expected price, and expected product benefits. When the

consumer is about to act, unanticipated situational factors may erupt to change to

purchase intention.

5) Post-purchase behavior:

After purchasing the product, the consumer will experiences

some level of satisfaction or dissatisfaction. The consumer will also engage in post

purchase action and product uses of interest to the marketer. The marketer’s job does

not end when the product is bought but continues into the post purchase period.

Post purchases satisfaction After purchasing a product, a consumer from preference

among the brands in the choice set. The closeness the buyer’s product exceptions

and the products perceived performance.

Post purchase ‘Action’ The consumer’s satisfaction or dissatisfaction with the

product will influence subsequent behavior. If the consumer is satisfied, he or she

will exhibit a higher probability of purchasing the product again.

The satisfied customer will also tend to say good thing about the

brand to others.

A dissatisfied consumer responds differently. The dissatisfied consumer will

try to reduce the dissonance because a human being strives “to establish internal

harmony, consistency, or congruity among his opinions, knowledge, and values

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DATA ANALYSIS AND INTERPRETATION

4.1 Table showing the Percentage Analysis Of Income Group Of Customers: -

Monthly Income of Respondent

Income of the

Respondents

(Rs. Per Month)

No. Of

RespondentsPercentage%

Up to 2000 9 18%

2000-4000 23 46%

4000-6000 12 24%

Above6000 6 12%

Total 50 100%

Above table & graph shows that Warana milk product majority of the

respondents (46%) are from income level of 2000-4000.the medium respondents

are (24%) from 4000-6000 than (24%),(12%) from the income above 6000

respectively. While only (18%) Respondent from the income levels of below 2000

chart no.1

Interpretation

Majority of the respondents coming from income group of 4000-6000

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4.2 Table Showing the Awareness of Warana Dairy product:

Sr. No. Name of

Product

No. Of

Respondent

Percentage

1 Milk 10 20%

2 Shrikhand 12 24%

3 Ghee 5 10%

4 Amrakhand 11 22%

5 Lassi 7 14%

6 Cheese 5 10%

7 Total 50 100%

The above table and graph shows that Warana shirkhand

majority (24%) of respondents are aware about shrikhand (14%) aware about Lassi.

The other product like Ghee (10%), milk (20%) having medium awareness from the

respondents the amrakhand (22%) and cheese (10%) having lower awareness so this

product having must be a effective advertisement. Shrikhand, Lassi, and ghee these

Warana dairy products are known majority of families

Interpretation

Majority of the respondents aware about warana shirkhand.

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4.3 Table showing the analysis on quality of warana lassi;

Sr.

No.

Quality No. Of

Respondent

Percentage

1 Best 20 40%

2 Better 15 30%

3 Good 10 20%

4 Average 5 10%

5 Total 50 100%

The above table and graph shows that the 40% and respondent feel that warana lassi

is best. They are regular customers of warana lassi, 30% families feel that warana

respondent lassi is better and 20% respondents are feels that warana lassi is good

they prefer for lassi. 10% respondent giving average respondent they are not regular

user of warana milk product

Interpretation

Majority of the respondents said that quality of warana lassi

is best.

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4.4 Table Showing Analysis of quality of warana shrikhand

Sr. No. Quality No. Of

Respondent

Percentage

1 Best 25 50%

2 Better 18 36%

3 Good 4 8%

4 Average 3 6%

5 Total 50 100%

The above table and graph shows that 50% and respondent feel that

warana shrikhand is best. They are regular customers of Warana Shrikhand, 36%

families feel that Warana respondent ShriKhand is better and 8% respondents are

feels that Warana Shrikhand is good they prefer for Shrikhand.6% respondent giving

average respondent they are not regular user of Warana milk product

Interpretation

Majority of the respondent said that quality of warana shrikhand is

better.

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4.5 Table showing the analysis of quality of warana milk

The above table and graph shows that 30% and respondent feel that warana

milk is best. They are regular customers of Warana milk, 26% families feel that

Warana respondent milk is better and 40% respondents are feels that Warana milk is

good they prefer for milk 4% respondent giving average respondent they are not

regular user of Warana milk product

Interpretation

Majority of the respondents said that the quality of warana milk

is good.

4.6 Table showing the analysis of quality of Warana Ghee

R.I.T. Management Studies, Sakharale

Sr. No. Quality No. Of

Respondent

Percentage

1 Best 15 30%

2 Better 13 26%

3 Good 20 40%

4 Average 2 4%

5 Total 50 100%

Sr. No. Quality No. Of

Respondent

Percentage

1 Best 13 26%

2 Better 11 22%

3 Good 9 18%

4 Average 17 34%

5 Total 50 100%

36

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The above table and graph shows that 26% and respondent feel that

warana ghee is best. They are regular customers of Warana milk, 22% families feel

that Warana respondent ghee is better and 18% respondents are feels that Warana

ghee is good they prefer for Ghee 34% respondent giving average respondent they

are not regular user of Warana milk product

Interpretation

Majority of the respondents said that the quality of warana ghee is

better.

4.7 Table showing the analysis of quality of warana Cheese

Sr. No. Quality No. Of

Respondent

Percentage

1 Best 19 38%

2 Better 21 42%

3 Good 7 14%

4 Average 3 6 %

5 Total 50 100%

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The above table and graph shows that 38% and respondent feel that warana Cheese

is best. They are regular customers of Warana Cheese, 42% families feel that

Warana respondent Cheese is better and 14% respondents are feels that Warana

Cheese is good they prefer for cheese 6% respondent giving average respondent they

are not regular user of Warana Cheese.

Interpretation

Majority of the respondents said that the quality of warana cheese is best.

4.7 Table showing the analysis of quality of warana Amrakhand.

Sr. No. Quality No. Of

Respondent

Percentage

1 Best 22 44%

2 Better 16 32%

3 Good 7 14%

4 Average 5 10%

5 Total 50 100%

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The above table and graph shows that 44% and respondent feel that warana

Amrakhand is best. They are regular customers of Warana Amrakhand, 32%

families feels that Warana respondent Amrakhand is better and 14% respondents are

feels that Warana Amrakhand is good they prefer for Amrakhand 10% respondent

giving average respondent they are not regular user of Warana milk product.

Interpretation

Majority of the respondents said that the quality of warana

Amrakhand is best.

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4.9 Table showing the analysis of quality of packaging of warana

milk product:

The above table and graph shows that 46% and respondent feel that

warana products packaging is Attractive. They feels that packaging is attractive and

the product is safe in this pack 40% respondent feels that the packaging was Fair and

14% respondent feels that the packaging is not Attractive.

Interpretation

Majority of the respondents said that the quality of packaging of

warana milk product is attractive.

R.I.T. Management Studies, Sakharale

Sr. No. Quality No. Of

Respondent

Percentage

1 Attractive 23 46%

2 Fair 20 40%

3 Not attractive 7 14%

4 Total 50 100%

40

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4.10 Table showing the analysis of price of all warana products:

The above table

and graph shows that the percentage analysis of opinion about price shows that the

majority of respondent (60%) were giving opinion as appropriate price of warana

products that 24% of families are feeling that the price is expensive and only 16% of

respondent were saying that the price is Cheap.

Interpretation

R.I.T. Management Studies, Sakharale

Sr.no. Price No. Of

Respondent

Percentage

1 Expensive 12 24%

2 Appropriate 30 60%

3 Cheap 8 16%

4 Total 50 100%

41

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Majority of the respondents said that the price of all warana products is

appropriate.

4.11 Table showing the analysis of availability of warana milk

product:

Sr. No. Near

Available

Respondent Percentage

1 Yes 38 76%

2 No 12 24%

Total 50 100%

The above table and graph shows that Avaibility of warana milk

product about (76%) respondent saying that is here available from their homes but

(24%) people say warana milk product not here available.

Interpretation

Majority of the respondents said that the availability of warana milk product

is easily available.

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4.12 Table showing the analysis of advertisement seen by customers

The above table and graph shows that the case of advertisement seen by

respondent 46% were seen the advertisement on T.V. 24% respondent heard the

advertisement on the radio. The percentage of respondent for newspaper

advertisement is 14% and banner advertisement is 12% and only 4% respondent

known the warana milk product from the friend’s advices.

R.I.T. Management Studies, Sakharale

Sr.

No.

Advertisement

Media

No. of

respondent

Percentage

1 News paper 7 14%

2 Radio 12 24%

3 T.V. 23 46%

4 Banner 6 12%

5 Friend advice 2 4%

Total 50 100%

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Interpretation

Majority of the respondents said that the advertisement of warana milk

product is seen on T.V.

FINDINGS

In research area, maximum (30%) customers are the employees of public

sector while only 3% customers are student of buying warana milk and milk

powder

About 34% respondent are in the research area are not aware of warana milk

and milk product.

In research area, majority of respondent demanded warana Shrikhand and

very less demand for warana milk powder.

For about packaging of warana milk and milk product, 37% feels that best

packaging and 13% respondents giving average feeling.

For price of warana milk and milk product 60% respondent feels that the

price of product may be average and only 16% respondent feels that the price

may be low.

For the availability of warana products 65% respondents should getting near

their living areas.

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Due to the good quality of warana milk and milk product about 62% of

customers prefer warana milk and milk product.

About the advertisement of warana milk product, 46% respondent should be

effected by T.V. advertise and only 4% respondents should be motivate from

friends advice.

SUGGESTION

In case of Lassi, the packaging of Lassi is not very effective, organization

may try to change the packing and use the Tetra packing like fruity which is

more effective and easy to handle than polythene bag. It is necessary to make

the maximum customer awareness by adopting various programs and

campaigns.

One of the important suggestion from customers was the ghee must be made

available in small quantity such as250 gm, 100 gm, 50 gm. Some discounts

may be given on companies on special occasions.

Television and radio advertisement are so effective for warana product but

even the T.V. and radio, no. of peoples should be read the newspapers but

our organization give less newspaper advertise so increases the no. of

colorful and attractive advertisement in newspaper.

No. of customers in research area warana milk product so easily from their

living area. So organization may be increases the no. of dealers of warana

product in that area.

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CONCLUSION

Shree Warana Sahkari Dudh Utpadak Sangh Ltd,Warananagar plays a very

important role in the co-operative sector. It satisfies the local as well as state level

need of consumer by providing various milk and milk products. The cosumers also

prefers to purchase the products of this organization. After the analysis researcher

conclude that this organization satisfy the consumer needs.

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QUESTIONNAIRE

Topic name:- consumer Behavior

1) Name: -…………………………………………….Age :- …………

2) Address: - …………………………. 3) Occupation:-…………………………

4) How many members in your family?a] Adult b] children

5) Approximate total monthly income?a] Up to 2000 b] 2000 to 4000

c] 4000 to 6000 d] above 6000

6) Which of the Warana milk product are you aware of? a] Milk b] Ghee c] Shrikhand

d] Lassi e] Cheese f] Amrakhand

7) Which of the Warana dairy product do you consume?a] Milk b] Lassi c] Ghee

d] Shrikhand e] Amrakhand f) Cheese

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8) What is monthly expenditure on dairy product?

a] 0 to 200 b] 200 to 300 c] 300 to 400

d] 400 to 500 e] 500 to 600 f] 600 above

9) How did you come to know about Warana products?a] News paper b] Radio

c] Banners d] T.V. e] Friends activity

10) Which other brands in this category are you aware of?a] Gokul b] Amul c] Chitale

d] Yalgud e] Mayur f] Krishana

11) Approximate how much of the following do you consume every month?

a] Milk Ltr. b] Lassi Ltr. c] Ghee Ltr. d] Shrikhand Kg. e] Amrakhand Kg. f] Cheese Kg. 12) Do you get Warana product in time? Near to your place.

a] Yes b] No

13) What is your opinion about Warana product?

A] Price

Nature of the product Expensive Appropriate CheapMilkGheeShrikhandAmrakhandTable butter

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CheeseLassi

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B] Quality

C] Test

R.I.T. Management Studies, Sakharale

Nature of the product

Good Better Best Bad

MilkGheeShrikhandAmrakhandLassiCheeseTable butter

Nature of the product

Good Better Best Bad

MilkGheeShrikhandAmrakhandLassiCheeseTable butter

50

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D] Packaging

14) Is change in packaging required?

a] Yes b] No

15) Any suggestions …………………………………………………………………………………………………………………………………………………………………………………………………………………

THANKYOU

BIBILIOGRAPHY

R.I.T. Management Studies, Sakharale

Nature of the product

Attractive fair Not Attractive

MilkGheeShrikhandAmrakhandLassiCheeseTable butter

51

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Journals:-

Advertising Express.

Semantics in Advertising

Recent trends in Advertising

R.I.T. Management Studies, Sakharale

Sr. No. Book Name Author Name

1 Marketing management Philip Kotler

2 Marketing management Ram Swami

3 Marketing management S.A. Sherlerkar

4 REPORTS PROVIDED BY

COMPANY

Shri Warana

Sahakari Dudh

Utpadak prakriya

Sangh ltd.

Tatyasaheb

Korenagar

52