IOCL Project
-
Upload
hardik-kinhikar -
Category
Documents
-
view
240 -
download
11
Transcript of IOCL Project
CHAPTER-1
INTRODUCTION
1. INRTODUCTION:-
Business is collective activity concerning a large number of people.
Profit earning cannot be the sole motive of business activity. Businessmen
have certain social responsibilities that must be met.
In olden days the important of the study of consumer behavior was
not realized by business and industry. It was taken for granted that
whatever is produced can be sold easily in the market.
Now, time has changed, recognitions have changed and
consideration have changed. All the businessman and the industrialists
have came to know that none of the marketing efforts could be successful
if the choice, taste and attitude of consumers are not properly considered.
So now stress is laid upon marketing research and the study of consumer
behavior. So now let us discuss in brief about each and every aspects of
marketing strategy that are been used recently.
2. MARKETING:-
Marketing can be defined as a social and managerial process through
which individuals and groups obtain what they need and want through
creating, offering and exchanging products of value with others.
This definition of marketing is on the following core concepts of
need, want and demand products, value, cost and satisfaction, exchange,
…1
transaction and relationship, markets, marketing and marketer. Marketing
means working with markets to actualize potential exchange for the
purpose of satisfying human needs.
3. MARKETING RESEARCH:-
Marketing research is the systematic design, collection, analysis and
reporting of data and findings, relevant to a specific marketing situation
facing the company. The function of marketing research is to provide
information that will assist marketing managers to recognize and react to
marketing opportunities and problems.
4. CONSUMER BUYING BEHAVIOUR:-
Consumer buying behavior is influenced by four major factors. They
are cultural factor, social factor, personal factor and psychological factors.
A study of these provides clues to reach and serve buyers more effectively.
Consumer buying behavior consists of four different types.
These types are:
Complex buying behavior
Dissonance – reducing buying behavior
Habitual buying behavior
Variety seeking buying behavior
These are based on whether the consumers have high or low
involvement in purchase and whether brands exhibit many or few
significant differences. Consumers go through complex buying behavior
when they are highly involved in purchases and aware of significant
differences among brands. In Dissonance buying behavior, consumer are
…2
highly involved in purchase but see little differences in the brands. Variety
seeking buying behavior is characterized by low involvement and
significant brand differences. Many products are brought under condition
of low involvement and insignificant brands differences and our of the
habit consumers by the same product frequently behavior of the consumers
constitutes the ground on which the marketing operate. The study of
consumers behavior initiated and developed by the trade in its attempt to
formulate marketing strategies had captures the market and conquered the
consumers. Study of consumer behavior plays an important role in the
determination of marketing policies of any enterprises.
Today the number of companies that are involved in ONGC (Oil &
Natural Gas Corporation) in India had increased the stiff competition is
there. Only an organization that is founded on effective marketing system
can stand in the market. Effective marketing system calls for research on
consumer behavior. Let us see the necessity of studying the marketing
strategy. In market many companies are having their Oil & Gas products
and all of them are trying to increase their respective sale. For that each
and every company has their own policies and marketing strategy to
confess the consumers.
Brand popularity too plays a vital role in the sale of the products.
Less known brands are not able to influence the market to greater extent
even if the standard companies manufacture them, while as the local brand
if they are population have large scale. Thus to capture the huge market
share study and updating of marketing is necessary also study of
consumer’s behavior is necessary being they are the end users of the
product.
…3
Modern marketing calls for firms to develop a new product, price it
attractively, making it accessible to target customers and more importantly
communicate with their customers. Communication is a very vital aspects
because those for whom a product is designed and developed have to told
about it if they are to buy it. Although the old adage says “Good wine
needs no bushel” –meaning that word –of mouth alone is all that will be
needed to create customers if a product has a competitive edge, this is not
generally so. Because, in today’s competitive scenario over and above the
word of communication, it is necessary for the seller to also use persuasive
communication to increase level of business and accelerate the diffusion
process. If title firm neglects ‘the problem to communication, it will wake
up to realize that their competitors (though late entrance) have admirable
positioned to capture that market with a me-too product that is supported
by persuasive communication techniques.
5. MEANING OF COMMUNICATION:-
Simply stated, communication is the transfer of information from the
sender to receive the information being understood by the receiver. There
is no doubt or exaggeration when we say that communication function is
the means by which organized activity is unified. The function of
communication is to provide a means by which people are linked together
with an organization to achieve a common goal. Marketing communication
can be defined as a phenomenon that starts with the presentation if ideas or
messages of information to a target market through various medias & cues,
with the intention of creating a positive impact and thus soliciting a
favorable response from the market towards the company’s producing and
…4
also simultaneously make provision for receiving market feedback to
enable them to improve & modify their product offering.
According to Philip Kotler. “A product is any thing that can be
offered to a market of attention acquisition, use or consumption that might
satisfy a want or needs. It includes physical objects, services, persons,
places, organization and ideas.” We should also define a product item
according to American Marketing Association “A product item is a distinct
unit that is distinguishable by size, price appearance or some other
attribute. An item is sometimes called a stock keeping unit”.
While development process of India in all aspect, concept of Oil & Gas
industries came into existence.
6. HISTORY OF COMAPANY:-
Indian Oil Corporation, or IndianOil, (NSE: IOC) is an Indian state-
owned oil and gas company. It is India’s largest commercial enterprise,
ranking 105th on the Fortune Global 500 list in 2009. IndianOil and its
subsidiaries account for a 47% share in the petroleum products market, 40%
share in refining capacity and 67% downstream sector pipelines capacity in
India. The Indian Oil Group of Companies owns and operates 10 of India's 19
refineries with a combined refining capacity of 60.2 million metric tons per
year.
IndianOil operates the largest and the widest network of fuel stations in
the country, numbering about 17606 (15557 regular ROs & 2049 Kissan Sewa
Kendra). It has also started Auto LPG Dispensing Stations (ALDS). It
supplies Indane cooking gas to over 47.5 million households through a
network of 4,990 Indian distributors. In addition, IndianOil's Research and
…5
Development Center (R&D) at Faridabad supports, develops and provides the
necessary technology solutions to the operating divisions of the corporation
and its customers within the country and abroad. Subsequently, IndianOil
Technologies Limited - a wholly owned subsidiary, was set up in 2003, with a
vision to market the technologies developed at IndianOil's Research and
Development Center. It has been modeled on the R&D marketing arms of
Royal Dutch Shell and British Petroleum
…6
CHAPTER-2
OBJECTIVE OF STUDY
The dissertation, “Study of sale of petroleum products with Specific
Reference of Indian oil in Chadrapur city”, is purely research based on the
Indian oil and gas(IOCL) company, which supplies oil and gas to the
different stockiest in different areas.
MAIN OBJECTIVES ARE:-
There are following main objective of study .
1] To determine the consumer preference in quality product that gives more
mileage & long life to consumers vehicle.
2] To determine the standards of judging adopted by consumer in brand
choice.
3] To determine the factor affecting the dealer attitude towards various
brands
4] To determine the acceptable range of prices.
5] To determine the suitable to advertise the new product.
…7
CHAPTER-3
SCOPE OF STUDY
There are following points of scope of studies.:-
1] To check the approximate sales.
2] To check the fulfillment of demand by the company.
3] To check the distribution network from manufacture to ultimate
customer.
4] To check the successfulness of strategy adopted by the company.
5] To find out marketing strategy of ‘IOCL’ with respect to other oil & gas
companies.
…8
CHAPTER-4
HYPOTHESIS
1] Among all the oil & gas companies, the Indian oil corporation is most
popular in Chandrapur city.
2] Indian oil corporation which is a market leader in national is also
National Leader in Chandrapur city.
3] Advertisement of Indian oil product does effect on its sales in
Chandrapur City.
4] Indian oil [petroleum products] has most used in Chandrapur as compare
to any other oil companies petroleum products.
…9
CHAPTER-5
RESEARCH METHODOLOGY
The study is based on first hand data, collected from the field of
investigation which includes both collection of data from unpublished
Government records and contacting the workers working in the field and
information also collected from the Supervisors and Managerial Cadres.
The researcher of the present study employed scientific procedure of
collection of data and therefore this thesis consists of different types of
analytical approaches.
In order to obtain proper and factual information the researcher has
frequently visited the area of the present study and has undertaken to study of
problem in depth. He has also kept in mind the different angles used in
RESEARCH METHODOLOGY, because methodology is the heart as well as
brain to complete any research work. Without methodology no research can
be completed.
Methodology is the guidelines and road to completion of the research
project on sound footing through which you will gather the collections and
observations we adopted a certain method for the research project as under
which is found very suitable for the accomplishment of the work itself.
This part of the research is much vital, as greater care to be taken in
planning the study and collection of data, so that significant factors can be
included and answer obtained will be reliable and valid.
This selection deals with the different aspects of the study selected for
the research, which had to e studied for valid generalization about the
phenomena.
…10
It gives the exact meaning of various units measurements or terms used
for this purpose, definition of universe and information regarding the method
of data collection etc.
1. CONSTRUCTING THE RESEARCH
Data Sources Primary data, Secondary data
Research Approach Observation, focus group, surveys,
Experiments
Research Instrument Questionnaires, Mechanical Instruments
Contact Method Telephone, Mail, Personal
Source of Data
A research plan calls for gathering primary data, secondary data or both.
1. Primary Data
Primary data consists of original information gathered for the specific
purpose. Data was collected from the primary source i.e. Questionnaires was
developed with the help of which personal interviews were carried out. Also
along with this I carried out personal interviews with direct dealers and
consumers.
2. Secondary Data
Secondary data consists of information that already exist somewhere,
collected for another purpose. Secondary data provides a starting point for
research and offer advantage of ready availability. For secondary data I
realized on the company’s reports, Dealers list available in the company. I met
them personally and collected required data from them.
…11
Most marketing research involve primary data collection. The normal
procedure is to interview some people individually or in groups. For the
purpose of this dissertation both primary and secondary data are used. To
analyses consumer buying behavior a total of 50 consumers of various age
groups were interviewed. For calculating the market shares of various types of
Dealers and 50 consumers were interviewed.
2. METHODOLOGY:-
The data collected through primary as well as secondary sources in
secondary sources, commercial journals, magazines, newspaper, like
economic time were offered.
In the primary source, survey, method was adopted. Questionnaires
were farmed and visited to colleges academic institutions, offices, shops
etc.
…12
CHAPTER-6
COMPANY PROFILE
The No.1 Company:-
Indian Oil’s position as India’s Company remains unbeaten. It has
also moved up to 170th place in the Global 500 listing by FORTUNE
MAGAZINE in 2005 of the Largest Industrial Corporations in the world.
Among the 53 petroleum companies listed, it ranks 29th by sales and 19th in
terms of profits.
Indian Oil owns and operates six of India’s 10 refineries with a
refining capacity of 54.20 million tones of crude oil per annum which is
51.2% of the country’s total refining capacity. It has a cross-country
pipeline network of 3850 kms. Markets 57% if nation’s consumption of
petroleum products and is the canalizing agency for import of crude oil and
petroleum products.
Incorporated in 1959 as Indian Oil Company Limited, it became a
corporation in 1964, when the Indian Refineries Limited was merged with
the Company. The corporation has four Divisions-Refineries and pipelines,
Marketing, Assam Oil and Research and Development. The sophisticated
R&D Center is the only one of its kind in Asia. It’s wholly owned
subsidiary, Indian Oil Blending Limited has been blending a variety of
lubricants since 1964 and produces over 450 grades of lubricants and
greases which are marketed under the Servo Brand name.
…13
Servo Lubes-for every use:-
Indian Oil’s Servo brand of lubricants account for more than 50% of
the country’s market share. There is a SERVO lubricant for virtually every
application. During fiscal 2005, marketing of lubricants was introduced in
20 liter packages. A new four liter bag-in-box package was also introduced
for the premium engine oil Servo Superior Multigrade. To help
conservation of lubes, production and marketing of MIL-B monograde
engine oils has been phased out.
In Quest of Excellence:-
Indian Oil’s R & D center, the only one of its kind in Asia, has
helped inject dynamism in product development and technology
upgradation. It has developed over 1200 lube formulations and over 99%
of the international quality SERVO lubricants marketed today are
indigenous formulations. Over 250 approval have been received from
major national and international engine builders. During fiscal 1991 along,
the center developed 84 lubricant formulations including cold rolling oil
for steel plants, load carrying steam turbine oil for the INDIAN NAVY,
synthetic oil for application in compressors, hydraulic systems and metal
cutting. A high performance lithium complex and high temperature greases
for specific requirements of steel plants were also developed. For
optimizing Fluid Catalytic Cracking (FCC) plant performance to suit the
low conversion distillate mode of Indian FCC units, a steady state process
simulator called ‘FCC MOD’ was developed and installed at MATHURA
REFINERY.
Other R & D efforts during fiscal 2005 include doping motor
gasoline with multi-functional additives for improving its performance
…14
characteristics and experiments to study operability of diesel fuel doped
with Middle Distillate Flow Improver (MDFI) additives in the new
climatic chamber. Also installed during the year was a facility for
measuring exhaust emission from two stroke engines. The center, also
received approvals for 24 products on trial in different areas with
Railways, Defence, Steel Plants, Heavy Engineering Industry etc.
International Trade:-
As the nation’s canalizing agency, Indian Oil imported 24.13 million
tones of crude oil and 8.76 million tones of petroleum products at a cost of
Rs12,262 crores during fiscal 2005. about 2.67 million tones of surplus
petroleum products values at Rs.1039 crores of exported. During the year,
the corporation also diversified its sources of supplies of crude oil and
products.
Projects:-
Among the major projects completed during fiscal 1991 are – slack
wax augmentation facility at BARAUNI REFINERY, radial well ‘D’ at
GUJRAT REFINERY and LPG Bottling facility at SILCHAR in Assam
and Calicut in Kerala. The major projects on hand, include a 1.2 million
tones per year capacity Hydro-cracker, for the first time in the country, at
GUJRAT REFINERY to increase yield of distillate products.
Energy Conservation:-
Concerted efforts continue to be made by Indian oil to not only
achieve energy savings in all its areas of operations but also guide others
and promote the concept. Recurring annual fuel savings of over 127,000
…15
tones valued at Rs.36 crores have already been achieved through
replacement of low efficiency furnaces, optimization of heat exchange
system and provision of waste heat recovery facility. Other projects under
implementation at Gujrat, Mathura, Haldia, Panipat and Digboi Refineries
will yield further savings of 37,300 tones of fuel annually. Indian Oil, as a
pioneer of petroleum, conservation in the country, organized a mass
education conservation week during the year.
A media campaign was also launched to promote multigrade long
drain lubricants and use of energy efficient appliances like NUTAN
Kerosene Wick Stove. Assistance is also being rendered to industries for
replacement of inefficient boilers. Seventeen states have been adopted for a
concerted conservation action plan. A new fuel efficient LPG HOT
PLATE with a thermal efficiency of 73% has also been developed. The
corporation’s GUJRAT REFINERY was awarded by the Government for
“Best Insulation Effectiveness”. A new thrust has also been launched by
the corporation on adoption of renewable energy sources.
High Premium on Safety:-
Indian oil believes in maintaining the highest standards of safety
which enabled 85 units of the Marketing Division alone winning the
prestigious BRITISH SAFETY COUNCIL award for 2005. These include
54 bulk installations and depots, 17 bottling plants and 14 aviation fuel
stations. The “Sword of Honour” of British Safety Council was awarded to
the GUJRAT REFINERY for the best safety performance in 2004. The
“Award of Honour” from the National Safety Council, Chicago, USA was,
for the 6th consecutive year won by the Koyali-Ahmedabad pipeline. Indian
oil also won two of the Oil Industry Safety Directorate awards – “Best
…16
Overall Performance” to HALDIA REFINARY and the “Best LPG
Marketing Company” to the Marketing Division.
Environment Consciousness:-
Indian Oil’s firm commitment in keeping the environment clean,
green, and pure has seen it setting up pollution control cells at all its
refineries. Ambient air quality is continually monitored and effluent
discharge systematically treated. The treated effluents of Gujrat and
Mathura refineries are used for irrigation. An ecological park is being set
up at Mathura refinery and a 100 meter wide green belt is being established
at Gujrat Refinery. Occupational health centers are being set up at all
refineries and regular monitoring undertaken of work place environment.
Even noise pollution is being controlled. Tree plantation programmers are
undertaken by all units to help preserve the ecological balance.
Sharing its Expertise Abroad:-
Indian Oil lends its technological know how to other developing
countries in every area of petroleum Refining, Marketing and Distribution,
Research and Development, Finance and General Management. During
fiscal 1991, technical cooperation agreement was renewed with NEPAL
OIL CORPORATION for rendering assistance in aviation fuel handling
and maintaining their facilities at air fields in Nepal. Assistance also
continues to be rendered to MALDIVES AIRPORT AUTHORITY and
BHUTAN OIL CORPORATION. Another agreement has also been
signed with NEPAL OIL CORPORATION for assistance in blending of
lubricants. Sir Lanka Oil Corporation ltd. Fuel Station.
…17
Indian Oil continually creates a modern technological base to grow
self-reliant enrich the quality of life and earn foreign exchange for the
country.
Indian Oil Blending Limited:-
Indian Oil’s wholly owned subsidiary Indian Oil Blending Limited
earned a net profit of Rs.3.56 crore and declared a dividend of 20%
amounting to Rs.72 lakhs. Its lube blending plants at Mumbai and Calcutta
produced 2,48092kl and 1,33,561kl respectively, thereby achieving a
capacity utilization of 165.4 percent and 133.6 precent respectively. The
grease production at Vashi, Mumbai touched an all time high of 10,552
tones.
Board of Directors
B M Bansal
Chairman & Director (Planning & Business Development)
S V Narasimhan
Director (Finance)
G C Daga
Director (Marketing)
B N Bankapur
Director (Refineries)
K K Jha
Director (Pipelines)
…18
Dr. R K Malhotra
Director ( Research & Development)
Sudhir Bhalla
Director (Human Resources)
INDIAN OIL – AT A GLANCE
RANKS NO.1 COMPANY IN INDIA
Division Head Quarters
Marketing Mumbai
Refineries New Delhi
Research & Developments Faridabad
Assam Oil Division Digboi
Pipelines New Delhi
Indian Oil Blending Ltd. Mumbai
1. Head Office - Situated in Mumbai
2. Regional Office - 4
3. State Office - 15
4. Divisional Offices - 44
5. Indane Area Offices - 35
6. Depots - 162
7. Aun Fuelling Station - 94
8. LPG Bottling Plants - 87
9. Refineries - 10
…19
10. Refining capacity - 24.40 million tones
11. No. of Retail Outlets - 10228
12. No. of SKO/LDO dealership - 3553
13. No. of LPG distributorship - 4699
14. No. of consumer outlets - 4563
INDIAN OIL CORPORATION LIMITED
(Marketing Division)
Indian Oil Corporation Limited, marketing and distributing petroleum
products through its Marketing Division. The Marketing Division of the
Indian Oil Corporation has its Head Office at Mumbai.
Indian Oil Corporation Limited,
(Marketing Division)
G – 9, Ali Yavar Jung Marg,
Bandra (East),
Mumbai – 400051
For effective supervision of marketing, Indian Oil has its four Regional
Offices located at Mumbai, Delhi, Calcutta and Madras.
Western Region, Mumbai (Marketing Division) having nine Division
Offices at Mumbai, Pune, Ahemadabad, Bhopal, Rajkot, Surat, Nagpur,
Jabalpur, and Raipur. Western Region’s span of control covers whole
Maharashtra, Madhya Pradesh, Gujrat and Goa.
…20
ROLL OF MARKETING DIVISION:-
To receive the finished products from refineries by Pipeline/Rail/Road
and store them at their Installations, Terminals and Depots. From their
dispatch of these Petroleum Products by Rail or Road to their Consumers,
Private customers, Retail Outlets, according to their demands or indents. In
short, receipt of petroleum products in Bulk and distribution to its Consumers,
Retail Outlets and private customers.
NAGPUR DIVISIONAL OFFICE:-
Nagpur Divisional Office is one of the major and very important
Divisional Office of the Western Region and it is located in the center (Heart)
of the India. Nagpur Kivisional Office having 3 Bulk Storage Depots located
at Akola(Gaigaon), Chandrapur(Tadali), and Nagpur(Khapri). In addition to
this, two Aviation Fuel Stations at Nagpur and Aurangabad also coming in the
jurisdiction of Nagpur Divisional Office. One Small Can Filling Plant (SCFP)
at Khapri, Nagpur Divisional Office is headed by CDCSM & CDCSM. This
Divisional Office cater Vidarbha, Marathwada, Khndesh covering 15
Districts.
BULK STORAGE DEPOT TADALI (CHANDRAPUR);-
This is one of the major depot of Nagpur Divisional Office. It is situated
on Chandrapur Nagpur Highway and it is 15kms away from Chandrapur.
Tadali Depot commissioned in May 1994 in 35 acres of land. Tadali depot
handle MS, HSD, SKO. It caters, Chandraput, Chimur, Sironcha, Wani,
Gadchandur, Maregoan and Gadchiroli Districts. Tadali Depot takes care of
34 Retail Outlets and cousumers like MSEB, BILT, ACC, UltraTech,
Manickgarh, MCW, MEL, WCL, Ordance Factory, Power Grid, and other
…21
private consumers. Tadali Depot is headed by Sr. Depot Manager. Tadali
Depot receive petroleum products by Railway Tank Wagons from Manmad
Terminal.
About 121 grades of lubricants covering Automotive and Industrial
Lubricants, Greases, Metal working oils and special oils marketed by
Tadali Depot. Lube Oil barrels contains 205 liters, 207 liters and 210 liters
of lubricants and Grease Drums of 175, 180 and 182 kgs. Capacity.
…22
CHAPTER-7
PROFILE OF CHANDRAPUR CITY
* OVERVIEW OF CHANDRAPUR CITY:-
Chandrapur city is the biggest district in Maharashtra state. Covering
surface area of 29.498 1cm. chandrapur district remained undivided till 26 th
August 1982. when the district emerged Gadchiroli district occupy the area
16.434 sq.km. There are 13 Talukas in the district. They are Chandraput,
Bhadravati, Worora, Chimur, Nagbhid, Bramhapuri, Sindewahi, Mul,
Gondpipari, Rajura, and Ballarpur.
The district endowed with beautiful forest resources, the district is
know for the best quality at teak trees & species. The district is rich in
minerals, specially coals, iron, copper clay & lime stone. There was first
traced in act 1985 & iron deposits were treated in 1873. Paddy is the main
crop grown by the farmers culturally & educationally people were far away
from the main stream of life.
To exploit the rice natural resources & all avenues for economics
and industries development state Government has prepared a master plan
in 1960 and offered a number of privities and tax relief. Provided
incentives to the industries map of India, Since then the process caught
momentum till today. Now most of the region is in the state development.
Now there are more than sixty medium scale industries humaning the
district. Industries like Ballarpur Paper Mills, WCL industries, Thermal
Power Station, Electrosmelt Glass Factories, Rooting Files Plywood,
Ceramics etc.
…23
Moreover there are 585 small-scale industries. This has provided
employment to thousand of people in the district and engaged an different
posts. As far the Chandrapur city is conserved once it was the most
traditional & backward town surrounded by fort has now turned into busy
business and industrial centre. There are more than 25 big and medium
scale industries private as well as public sector and 244 small-scale
industries registered upto 78-79.
LARGE SCALE INDUSTRIES:-
Sr.No. Name of Industry No.of person
employed
1. Ballarpur Paper Mills, Ballarpur 4500
2. Asswociated Cement Company, Ghugus 1135
3. Maharashtra Elektrosmelt Ltd. ,Chandrapur 1044
4. UltraTech Cement Work, Awarpur 375
5. Electrolux Regrigerator, Worora 626
6. Mnikgarh Cement, Chandrapur ---
7. Ordnance Factory, Chanda, Bhadrawati ---
…24
Population Of Chandrapur City In Fast Rising As Indicated In
Followed Table
Year Total
1941
1951
1961
1971
1981
1991
2001
35,736
40,744
51,481
75,134
1,15,777
2,67,890
8,00,000
As we see above we come to know that population of Chandrapur
city is increasing day to day we found that various that various classes of
people live in Chandrapur city.
Due to increase in population Chandrapur city has opened a wide
field of the marketing of all fields. And that’s why the increase in
transport, and because that the Chandrapur city consume more petroleum
oil. Increasing in population brought an increase in demand and also
created demand of Petroleum , deasel, LPG etc.
It is found that there is an increase in personal income of the people
of city. Now people want to spend more and procedure more comforts. The
gives a new momentum to development of new marketing ideas.
Chandrapur being a city of district place all governments officers
established in separate complex. Famous Temple of traditional nature,
Churches, Mosques are located in the city as well.
…25
CHAPTER-8
ROLE OF ASVERTISEMENT
The word advertising originates from a Latin word ‘Advertire’
which means ‘to turn’. Therefore advertising means “Marketing to people to
turn them”.
1. DEFINITION:-
The American marketing Associate, Chicago has defined advertising
as “any paid of non-personal presentation or promotion of ideas, good or
services, by an identified sponsor.”
According to R. H. Cooey, “Advertising is mass, paid of personal
communication the ultimate purpose of which is the impart information,
develop attitudes and induce action beneficial to the advertiser.”
2.OBJECTIVES OF ADVERTISING:-
The whole of advertising effort has to be geared to again the
organization advertising goals. Therefore, effectiveness of advertising has
to be evaluated against the specific goals of advertising.
According to condiff still and Govarri, the objective of advertising
are:
1. To do the entire selling job (as in amil order marketing).
2. To introduce new product (by building awareness among potential
buyers)
3. To force middlemen to handle the product (pull strategy).
…26
4. To build brand preference and company image (thus marking it
difficult for middlemen to sell substitutes).
5. To remind users to buy the product (Reminder Advertising).
6. To public rationalizations for buying (i.e. a price change, a new
model of a new product).
7. Provide rationalizations for buying (i.e. socially acceptable excuses).
8. To combat or neutralize competitors adverting (competitive or
comparative advertising).
9. To improve the morale of the sales force and/or dealers (by showing
that company is doing its share of promotion).
10. To acquaint buyers and prospects with new user of the product ( to
extend the product life cycle).
4. EVALUATION OF ADVERTISING EFFECTIVENESS:-
Advertising involves major sums of money that can be misspent by
organizations due to various weaknesses. Expenditure on advertising
should not be a waste but-it should yield rich dividends. The ultimate
purpose of advertising to sell the product, ides or service.
Ability to generate sales is the test of an advertisement. Once a
strong like is established between the need and the name, advertisement
can induce buying action. Success or failure of an advertisement ultimately
depends upon the effectiveness communication of desired information and
attitudes. The communication i.e. the flow of information understanding
must be to the right people, at the right time and at the right cost. If an
advertisement creates anticipated sales volume as per our sales forecast, it
means that the advertisement is very effectiveness and efficient. We cannot
…27
afford to spend on wrong or effective less advertising hence, we have to
check the effectiveness of our advertising.
5.TECHNIQUES FOR EVALUTION OF ADVERTISING
EFFECTIVENESS:-
If advertising is regarded as a sales tool in our advertising campaign,
the effectiveness of that campaign should be measured in terms of sales
result. It is goal is to achieve a specific change in consumers, awareness,
attitude of behavior, then the measurement of the advertising effort should
be in terms of changing consumers attitudes. According there are two
techniques for measuring and effectiveness viz.
1. Communication Effect Research
2. Sakes Effect Research
6. MEASURING TECHNIQUES USED FOR ALUATING
ADVERTISING EFFECTIVENESS INCLUDE:-
6.1Gallup Robinson Impact Test :-
This test employs the aided recall test method. A responded is given
a magazine and asked to recall anything he remembers by seeing it.
6.2Triple Association Test :-
This test measures the degree of brand learning among its users. The
respondent is provided which clues or ideas with which he is asked to
associate a brand name. It also called Theme Contest Test.
…28
6.3Error In Recognition Measurement :-
Under this techniques advertisement are shown to the respondent at
high spread either in whole or it part and he is later asked to furnish further
information on these advertisement.
6.4The Liker Scale :-
This is an attitude measurement instrument. The method requires
collection of a large number of statement relevant to the attitude under
investigation. Then a panel of judge is asked to rank the statements and
indicates the extent of their agreement with given statement. Each
statement it assigned a numerical value and the score is calculated on the
basis of that value for all the statement. The advertisement with the highest
score is considered to be more effective and efficient.
Types Of Product:-
1) MS – Motor Spirit (petrol)
2) HSD – High Speed Diesel
3) SKO – Super kerosene Oil
4) LPG – Light Petroleum Gas
5) Marine Fuels & Lubricants
6) ATF/Jet Fuel
7) Indian Oil Aviation Service
8) Bitamen
9) Servo Lubricants/Greases
…29
…30
CHAPTER-9
DATA ANALYSIS
According to the present market positions there are many different
kinds of factors that are responsible for the sale ratio of the product and plays
the important role in the growth of the company.
Different companies has different terminology for the sale of their
product in the market or to capture the market.
1. Respondents in Chandrapur City to the Oil Companys :-
Table – 1
Sr. No. Oil Company’s % of Respondents
1.
2.
3.
4.
Indian Oil Corporation Ltd.
Hindustan Petroleum Corporation Ltd.
Bharat Petroleum Corporation Ltd.
Relience Petroleum Ltd.
45
30
25
00
The data presented in the table – 1 show that the most
response gets to Indian Oil Corporation ltd. i.e. 45% and it is closely followed
by the Hindustan Petroleum Ltd. 30% and Bharat Petroleum Ltd. 25%. The
Relience Petroleum not working in Chandrapur.
…31
Respondents in Percentage
…32
2. Selling Information in Chandrapur City:-
Report of Retail Out let in Chandrapur:-
MS – Motor Spirit (petrol)
HSD – High Speed Diesel
SKO – Super kerosene Oil
LPG – Light Petroleum Gas
Table – 2
Sr.
No.
Retail Out Let
(Dealers Service Station)
MS
(inkiloliter
)
HSD
(in
kiloliter)
SKO
(in
kiloliter)
LPG
(in
Refill)
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
Adarsh Service Station
Prasanna Service Station
Modern Service Station
Shubham Service Station
Gurukrupa Service Station
Shiva Automobile, Rajura
Balaji Petroleum, Mul
Shree Servo, Gangalwadi
Aditya Servo, Sindewahi
Prabhakar Petroleum, Tadodhi
Shrivastava Petroleum, Marta
Narendra Kissan Seva, Pombhurna
Om Sai Kissan, Madheri
Pornima Petroleum, Khambada
Goldan Servo, Sakarwahi
Shubham Service Station, Ghugus
11280
576
432
144
288
864
576
576
576
864
288
288
288
216
288
1008
15600
576
21600
432
1800
3600
1296
576
576
1440
720
720
720
576
1728
9600
…33
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
Sharma Brother, Chandrapur
Sharma Brother, Gadchiroli
Vilas Kerosene Agency
V.C.M.S.
Mehta & Son’s Agency
Venkatesh Oil Agency
Mahesh Oil Company
G. G. Bakade Agency
Chandake Oil Agency
Saroj Gas Agency
Kamal Gas Agency
Chetan Gas Agency
Durgapur Gas Agency
M.E.L. Gas Agency
1440
3480
2880
2160
1440
2160
2160
2160
2160
20,000
10,000
20,000
10000
10000
…34
Report of Direct Customers in Chandrapur:-
Table – 3
Sr.
No.
Customers
MS(Petrol)in
KL
HSD(Diesel)in
KL
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
MS-RTC (ST), Chimur
MS-RTC (ST), Chandrapur
Maratha Cement
UltraTech Cement
ACC Cement
NTPC
Maharashtra Elektrosmelt Ltd.
CTPS, Durgapur
WCL Tadali Workshop
Ordnance Factory
288
144
1152
2880
1728
1728
1440
144
864
720
144
432
…35
3. Total Sale of Product:-
Table – 4
Sr.No. Product
Sale in kiloliter/Refills
2007 2008 2009
1.
2.
3.
4.
HSD(diesel)
MS(petrol)
SKO(kerosene)
LPG
60,500 kl
28,950 kl
29,460 kl
55,400 rf
61,580 kl
30,540 kl
30,500 kl
58,000 rf
63,480 kl
35,976 kl
28,950 kl
60,000 rf
2007
…36
2008
2009
Total Sale of LPG
…37
CHAPTER-10
…38
CONCLUSION
From the survey done by me I have reached to the following conclusion:-
The present study is related to the selling of Indian Oil Corporation Ltd.
energy brands in Chandrapur city. These is most use of energy brands in
Chandrapur for the vehicle, home, and industries etc. The chandrapur is know
as a industrial place and there is a more than 100 Large & Small scale
industries, and maximum industries preferred Indian Oil’s brand. There is
more than 65% HSD(diesel) used for the Industries, so there is the large
market for Indian Oil Corporation ltd.
Chandrapur city has increased in size and population the need of the
residents to have means of transport(vehicle) also increased, there is big traffic
on city road and ‘Adarsh service station’ sale 32 kiloliter petrol per day this is
the most petrol selling service station of Indian Oil. There is large
computation between the transport companies and because of such
computation the most of diesel also consume by the Transport company, and
according to study there is maximum transport companies preferred to Indian
Oil energy brands like Diesel, Servo engine Oil, and Servo lubricants etc.
IndianOil has a keen customer focus and a formidable network of
customer touch-points dotting the landscape across urban and rural area. It has
more than 30 petrol & diesel stations, including more than 10 Kisan Seva
Kendras (KSKs) in the Chandrapur City. And one bulk storage terminals &
depots in Tadaly (Chandrapur), 5 LPGas Agencies, IndianOil services every
nook and corner of the City.
…39
It has a portfolio of powerful and much-loved energy brands that
includes Indane LPGas, SERVO lubricants, XtraPremium petrol, XtraMile
diesel, etc.
While taking personal interviews I observed that Dealers and Marketing
Officers of Indian Oil Corporation Ltd. gives more important to the quality
services and marketing approach.
CHAPTER-11
BIBLIOGRAPHY
…40
BOOK NAME AUTHOR
Marketing Principal & Techniques Thakur
Modern Marketing Principal & Practice R.S.N.
Research Method In Marketing & Management B.N. Sethna
Marketing Management Sexena
Marketing Research David J. Luck
Marketing Research Journal Philip Kotler
Foundation of Advertising Theory &Practice Ghunawall
Life Style Management Mach Hanon
Advertising Management Rathor
Marketing Concept & Cases S. C. Mehta
CHAPTER-12
QUESTIONARY
…41
DEALER QUESTIONATIES
Q.1) Name of Dealer
Q.2) Address of Dealer
Q.3) which media of you chose for advertising?
a) News Paper b) Magazine c) Holdings
Q.4) Which product sale most?
a) Petrol b) LPG Gas c) Diesel
Q.5)Who is you main competitor?
a) HPCL b) BPCL
Q.6) What is position of percentage of your Service Station for Session 2010?
a) Good b) Satisfied c) Unsatisfied d) Very Good
Q.7) Which Marketing Strategy you are using?
a) Diversification b) Social Responsibility c) Communicate
Q.8) What policy you are using to compare with other competitor?
a) Competitors strength & weakness b) Facing competition
Q.9) Yearly sales Figure :-
2006-----2007
2007-----2008
…42
2008-----2009
Q.10) During which month is the demand greatest?
Q.11) During which month is the demand least?
Q.12) Which of the following give best outcome?
a) Advertisement b) 24*7 service
c) Quality of product d) Any Other
Q.13) Is there any impact of TV or Other advertisement on the sale?
a) Yes b) No
Q.14) Is the customer satisfied by the serviced?
a) Yes b) No
CUSTOMER QUESTIONATIES
Q.1) Name Of Customer:-
…43
Q.2) Address of the Customer:-
Q.3) Financial position of Customer:-
Q.4) Which Factor influence you to purchase from IOCL?
Q.5) Which Factor influence you don’t want to purchase from IOCL?
Q.6) Please specify the reason and factor which influence you to purchase
from IOCL?
Q.7) Have you visited to other company in your city for details information
About Petroleum Product?
Q.8) What is your opinion about the Indian Oil Bulk Storage Depot regarding
Service during sales & after sales?
…44