1

SUMMER TRAINING REPORT SUBMITTED TOWARDS THE

PARTIAL FULFILLMENT OF PGDM IN

TELECOM & MARKETING

Industry Guide: Submitted By:

Mr. Angad Keith Komal Sharma

Assistant Manager-Personal Care unit. Dual - C

ITC Ltd. Roll No. TM109319

“ Market study of the shampoo industry with special emphasis on the key price

points occupied by “Superia” shampoo and the competitors.”

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ACKNOWLEDGEMENT

I consider it a privilege to express a few words of gratitude and

respect to all who guided and inspired me in successful completion of this

project.

I acknowledge my profound indebtness and extend my deep sense of gratitude to

my guide Mr. Angad Keith (Astt. Manager, PC Unit) for sharing his knowledge

and experience and providing valuable guidance, profound advice and

encouragement that has led to successful completion of this project.

I pay sincere thanks to him for giving me an opportunity and providing me the

necessary facilities to carry out the project work in their esteemed organization.

Lastly I would like to thank Prof. Col. A. Balasubramanian, Dean, BITM and Prof.

Dr. Seema Zokarkar, Director, BITM, for their technical and moral support

required for realization of this project.

Komal Sharma.

3

TABLE OF CONENTS

CHAPTER PAGE No

1. EXECUTIVE SUMMARY 04

2. INTRODUCTION 06

3. COMPANY And PRODUCT PROFILE 08

4. RESEARCH METHODOLOGY 16

5. ANALYSIS AND INTERPRETATION 20

6. CONCLUSIONS 28

7. Annexure 30

8. BIBLIOGRAPHY 38

4

CHAPTER # 1

EXECUTIVE

SUMMARY

5

The prime purpose of the report is to analyze the shampoo industry with special

emphasis on the key price points occupied by Superia shampoo and the

competitors in Hardwar and derive the scope for development of Superia in the

rural marketing.

To achieve this, an approach was designed which revealed an insight into the

problem and help conclude the solution.

The set objectives are helpful in deriving the market share of Superia shampoo and

get the insights of the problem that faces this organization in Superia. After

analysis of these findings the conclusion was suggested based on which the

company is expected to derive benefits. This study will help company improve its

share in the Shampoo segment and look into the newer trends in the market.

6

CHAPTER # 2

Introduction

7

Introduction

Global brands are gaining foothold on local shampoo market, driven by faster growth in demand

because of the low-priced sachets that are popular among low-income groups, students and

travellers

Rural and semi-urban consumers, many of whom are new and irregular users, are the main

contributor to the rise in sales of the item.

However, demand for bottled shampoo has slowed, as customers for such brands are limited in

urban areas, insiders say.

The high demand for mini packs, mostly sell between Tk 1 and Tk 3, depending on the volume

and category, has encouraged marketers for strengthening distribution at retail level in urban and

rural areas

Over the years, the sachet strategy has proved so successful that, according to an ORG Marg

data, 95 per cent of total shampoo sales in rural India is by sachets. The man behind this is

C K Ranganathan, CEO of CavinKare is somebody who changed the rules of the FMCG game.

He is widely regarded as the man behind the sachet revolution.

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CHAPTER # 3Company and Product

Profile

9

3.1 Company Analysis

3.1.1 Establishment

Incorporated on 24 August 1910 as the Imperial Tobacco Company of India

Limited, the company's name was changed to ITC Limited in 1974. Rated among

the 'World's Best Big Companies' by Forbes magazine, ITC ranks third on all

major profit parameters among India's private sector corporations. ITC employs

over 20,000 people at more than 60 locations across India.

Turnover :- Rs. 5453 Cr. (As on 22 Jan 2011)

3.1.2 Growth and Diversification:

ITC is one of India's foremost private sector companies with a market

capitalization of nearly US $ 18 billion and a turnover of over US $ 4.75 billion.

ITC is rated among the World's Best Big Companies, Asia's 'Fab 50' and the

World's Most Reputable Companies by Forbes magazine, among India's Most

Respected Companies by Business World and among India's

Most Valuable Companies by Business Today. ITC also ranks among India's

top 10 `Most Valuable (Company) Brands', in a study conducted by Brand Finance

and published by the Economic Times.

3.1.3 ITC is diversified as

10

In FMCG,  :

Cigarettes : W. D. & H. O. Wills, Gold Flake Kings, Gold Flake Premium,

Navy Cut, Insignia, India Kings, Classic (Verve, Menthol, Menthol Rush,

Regular, Mild & Ultra Mild), 555, Benson & Hedges, Silk Cut, Scissors,

Capstan, Berkeley, Bristol, Lucky Strike, Players and Flake.

Foods : (Kitchens of India; Ashirvaad; Minto; Sunfeast; Candyman; Bingo;

Yippee, Sunfeast Pasta brands in Ready to Eat, Staples, Biscuits,

Confectionery, Noodles and Snack Foods)

Apparel : (Wills Lifestyle and John Players brands)

Personal care: (Fiama di Wills; Vivel; Essenza di Wills; Superia; Vivel di

Wills brands of products in perfumes, haircare and skincare.

Stationery: (Classmate and Paperkraft brands)

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Safety Matches and Agarbattis : [Ship (through ownership of WIMCO); iKno;

Mangaldeep; Aim brands]

Other businesses include:

Hotels : ITC's hotels (under brands including ITC Hotel WelcomHotel) have

evolved into being India's second largest hotel chain with over 80 hotels

throughout the country. ITC is also the exclusive franchisee in India of two

brands owned by Sheraton International Inc.- The Luxury Collection and

Sheraton which ITC uses in association with its own brands in the luxury 5 star

segment. Brands in the hospitality sector owned and operated by its subsidiaries

include Fortune and Welcome Heritage brands.

Paperboard, Specialty Paper, Graphic and other Paper

Packaging and Printing for diverse international and Indian clientele.

Infotech (through its fully owned subsidiary ITC Infotech India Limited which

is a SEI CMM Level 5 company)

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As one of India's most valuable and respected corporations, ITC is widely

perceived to be dedicatedly nation-oriented. Chairman Y C Deveshwar calls this

source of inspiration "a commitment beyond the market". In his own words: "ITC

believes that its aspiration to create enduring value for the nation provides the

motive force to sustain growing shareholder value.

ITC practices this philosophy by not only driving each of its businesses

towards international competitiveness but by also consciously contributing to

enhancing the competitiveness of the larger value chain of which it is a part."

ITC's diversified status originates from its corporate strategy aimed at

creating multiple drivers of growth anchored on its time-tested core competencies:

unmatched distribution reach, superior brand-building capabilities, effective supply

chain management and acknowledged service skills in hotels business. Over time,

the strategic forays into new businesses are expected to garner a significant share

of these emerging high-growth markets in India.

ITC's Agri-Business is one of India's largest exporters of

agricultural products. ITC is one of the country's biggest foreign exchange earners

(US $ 2.8 billion in the last decade). The Company's 'e-Choupal' initiative is

enabling Indian agriculture significantly enhance its competitiveness by

empowering Indian farmers through the power of the Internet. This

transformational strategy, which has already become the subject matter of a case

study at Harvard Business School, is expected to progressively create for ITC a

huge rural distribution infrastructure, significantly enhancing the Company's

marketing reach. ITC's wholly owned Information Technology subsidiary, ITC

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Infotech India Limited, is aggressively pursuing emerging opportunities in

providing end-to-end IT solutions, including eenabled services and business

process outsourcing.

In line with ITC's aspiration to be India's premier FMCG company, recognised for

its world-class quality and enduring consumer trust, ITC forayed into the Personal

Care business in July 2005. In the short period since its entry, ITC has already

launched an array of brands, each of which offers a unique and superior value

proposition to discerning consumers. Anchored on extensive consumer research

and product development, ITC's personal care portfolio brings world-class

products with clearly differentiated benefits to quality-seeking consumers.

ITC's Personal Care portfolio under the 'Essenza Di Wills', 'Fiama Di Wills', 'Vivel

UltraPro', 'Vivel' and'Superia' brands has received encouraging consumer response

and is being progressively extended nationally.

ITC's state-of-the-art manufacturing facility meets stringent requirements of

hygiene and benchmarked manufacturing practices. Contemporary technology and

the latest manufacturing processes have combined to produce distinctly superior

products which rank high on quality and consumer appeal.

Extensive insights gained by ITC through its numerous consumer engagements

have provided the platform for its R&D and Product Development teams to

develop superior, differentiated products that meet the consumer's stated and innate

needs. The product formulations use internationally recognised safe ingredients,

subjected to the highest standards of safety and performance.

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The Superia range of soaps and shampoos have been launched to cater to the large

popular market in the personal care category. The products under the Superia brand

are made from scientifically developed formulations enriched with natural

ingredients that have traditionally been known to be good for the skin and hair.

The range offers consumers access to some of the best-in-class products in vibrant

attractive packaging.

Superia Soaps enriched with natural ingredients give radiant glowing skin. Superia

Soaps are available in four variants :

1

.

Fragrant Flower: with the fragrance of Rose &

Lavender Oil

2

.

Soft Sandal: with the fragrance of Sandal &

Almond Oil

3

.Natural Glow: with Neem & Coconut Oils

4

.Healthy Glow: with Orange Oil

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Superia Lemon Fresh & Milky Glow Soaps

Superia added two new soap variants to enhance its product portfolio. Superia

Lemon Fresh with its lime extracts, mint oil and germ fighters keeps skin fresh,

fragrant and glowing. Superia Milky Glow with the goodness of milk protein,

saffron oil and the essence of jasmine, keeps skin soft and radiant.

Superia shampoos with triple conditioners and natural ingredients

bring a natural shine to hair. Superia shampoos are available in two variants:

1. Shiny Black with Triple Conditioners and the natural goodness of Hibiscus

& Brahmi extracts.

2. Vibrant Green with Triple Conditioners and the natural goodness of Amla &

Arnica extracts.

Another addition to the Superia shampoo portfolio, Superia Maxi

Protect Active Health shampoo contains Dandruff Fighter along with Vitamins &

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Soya Protein. It fights multiple types of dandruff causing germs and leaves hair &

scalp feeling clean & healthy.

 

Chapter # 4

RESEARCH

METHODOLOGY

17

18

OBJECTIVES

The prime purpose of the report is to analyze the shampoo industry with special

emphasis on the key price points occupied by Superia shampoo and the

competitors in Hardwar and derive the scope for development of Superia in the

rural marketing.

To achieve this, an approach was designed which revealed an insight into the

problem and help conclude the solution.

BENEFITS OF STUDY

The set objectives are helpful in deriving the market share of Superia

shampoo and get the insights of the problem that faces this organization in Superia.

After analysis of these findings the conclusion was suggested based on which the

company is expected to derive benefits. This study will help company improve its

share in the Shampoo segment and look into the newer trends in the market.

RESEARCH DESIGN

The purpose of research is to discover answers to questions through the

application of scientific procedures. The main aim of research is to find out the

truth which is hidden and which has not been discovered as yet. I have tried to find

the solution through my study. Hence, this is an Applied Research.

SAMPLE DESIGN

The sample to be used in this research is non - probability sampling

because all the population elements do not have an equal chance to get selected

and Convenience method is selected to collect data because it is cheapest and

19

easiest to conduct. And researchers have the freedom to choose whatever they find

and what is conclusive for their study. I have taken the data from the various

departmental stores, Kirana stores and retailers of Hardwar region.

SCOPE OF THE STUDY

The study helps in finding out the problematic areas of the Superia shampoo

sales in the Hardwar region. The conclusions are based on the study conducted in

various departmental stores, Kirana stores and retailers. The conclusions are also

assisted by personal experiences during the study and away from the basic surveys

conducted. The study and its results are expected to boost the sales of the

company’s product Superia .

LIMITATIONS OF THE STUDY

a) The sample size for the research is 40 consumers and 15 retailers. The

accuracy of results are bound to increase with the increment in the sample

size.

b) The study has been conducted in the Hardwar region and such its scope is

limited to this region only and must not be used to derive conclusions for

overall India or the world.

DATA COLLECTION

Once the research design has been decided the next stage is that of selecting source

of a data. Essentially, there are two type of source of data.

1.) Primary data

2.) Secondary data

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The data required for this study has been basically primary but the conclusion had

not been possible without the secondary data.

Primary data: The primary data are those which are collected afresh and for the

first time, and thus happen to be original in character. The primary data was

collected through various surveys conducted in the different outlets. The various

outlets include- departmental stores, Kirana stores and retailers.

Secondary data: The secondary data are those data, which are collected from

earlier research work and are applicable as well as usable in study of research. No

secondary data used as such.

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Chapter # 5

Analysis and

Interpretation

22

Players Of Re1 and

Re0.50 shampoo sachets

Name Price Quantity (in mL) Consumers Trade

P Promotion Promotion

1. Sunsilk(black) Re.1 5.8+1.2=7 20%extra

2. Chik Re.1 7

3. Clinic Plus Re.1 6+1.2=7.2 20%extra

4. Sunsilk(pink) Re.1 5+1=6 20%extra

5. Dabur total protect Re 1 6

6. Superia(maxi protect) Re.1 7+2=9 25%extra

7. Superia(triple condnrs.) Re.1 8

8. Vatika Re.1 5

9. Pantene Re.1 6

10.Lux Re. 0.50 4

11.Rejoice NA

23

Q. Factor you consider the most while purchasing a shampoo.

Price 6 15%

Brand Name 8 20%

Packaging 0 0

Performance 5 12.5%

Scheme 4 10%

Fragnance 2 5%

Hair Type 7 17.5%

Availability 1 2.5%

Advertisemen

t

7 17.5%

Packag

ing

Availa

bility

Fragn

ance

Schem

e

Perform

ance

Price

Brand Nam

e

Hair Ty

pe

Adverti

semen

t0

5

10

15

20

25

respodents in %

respodents in %

24

Q. How regularly do you change your shampoo?

Every time 10 25%

Once in a month 5 12.5%

Once in a two month 11 27.5%

Stick to one 14 35%

Once in a month Every time Once in a two month

Stick to one0

5

10

15

20

25

30

35

40

respodents in %

respodents in %

25

Q. Which of the following brands of shampoo you use?*

*many consumers gave multiple brand names.

Superi

a

Dabur T

otal Pro

tect

Vatika Chik

Clinic P

lus

Sunsilk

Panten

eLu

x0

2

4

6

8

10

12

14

Series 1

Series 1

Sunsilk 11

Pantene 12

Clinic Plus 10

Chik 7

Superia 1

Lux

Vatika 3

Dabur Total Protect 1

26

Q. How frequently do you purchase it?

Thrice in a week 15 37.5%

Twice in a week 12 30%

Once in a week 8 20

Twice in a month 1 2.5

Once in a month 4 10

Twice in a month

Once in a month

Once in a week Twice in a week

Thrice in a week

0

5

10

15

20

25

30

35

40

respodents in %

respodents in %

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Q. How many sachets you purchase at every occasion?

2-3 14 35%

4-6 11 27.5%

8-12 10 25%

13-20 3 7.5%

20-30 2 5%

2-3 4-6 8-12 13-20 20-300

5

10

15

20

25

30

35

40

respondents in %

respondents in %

28

Q. What do you expect from a shampoo brand after wash?

* consumers gave multiple answers for this question.

Re-build

ing dam

aged

hair

Hair St

rength

ening

Hair sm

oothening

Conditioning

Shiny h

air

Less h

air fa

ll

Dandru

ff free

Length

ens h

air0

2

4

6

8

10

12

Series 1

Series 1

Hair Strengthening 3

Dandruff free 10

Shiny hair 8

Less hair fall 8

Re-building damaged hair 1

Lengthens hair 10

Hair smoothening 5

Conditioning 5

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CHAPTER # 6

Conclusions

30

CHAPTER # 7

ANNEXURES

31

ANNEXURE-I

Address_________________

Male:-_____Female :-_____

A Questionnaire On The Consumer Behavior On Purchase Of The Shampoos

1. What product do you use for your hair?

Shampoo Soap Home remedy( If your answer is Shampoo, then continue with rest of the questions)

2. Do you use Shampoo in sachets?        Yes         No (If yes, then continue)  

3.      Which category of shampoo sachet you purchase?

 Rs.3                Rs.2  Rs.1                   Rs.0.50

4.      Factors you consider while purchasing a shampoo

RANK THEM ACCORDING YOUR PRIORITY:

 Hair type                             Performance

 Packaging                           Quality

 Price                                   Availability

 Brand Name                      Scheme

  Fragnance

5. How regularly do you change your shampoo? After every timeOnce a monthOnce a 2 month Stick to oneOthers

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6.  No. of times you shampoo your hair in a week

 1 - 2                                     3 - 4           

5 - 6                                     7  and above

7. Did you consult any dermatologist before buying any shampoo?

 Yes                                  No           

8.      Which of the following brands of shampoo you use.

 Lux                          Sunsilk          Chik

 Vatika                      Clinic plus      Rejoice

 Superia                     Nyle      Pantene

  Others(please specify) ________________

9. How frequently do you purchase it?

Thrice a week

Twice a week

Once a week

Twice a month

Once in 2 month

More

       

10. From where do you purchase these products ?

 Retailer                          Wholesaler         Kirana

 Medical Store                 Departments  Others(specify)________

11. How many sachets you purchase at every occasion?

______

12. From which source do you come to know about this brand of shampoo?

 Family members

Friends or relatives Advertising

Retailer

Source of awareness        

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13. Why do you prefer this brand of Shampoo?

 I use it because it is easily available.

 I use it because everyone at home uses it.

 I use it because it helps me to maintain my hair.

 Other(please specify)_______________.

14. Level of satisfaction you are getting from your shampoo brand.

 Highly Satisfied                 Satisfied  Neutral              

  Dissatisfied  Highly dissatisfied

15. What do you expect from a shampoo brand after wash?

 Hair strengthening          Rebuilding Damaged hair  Shiny and healthy hair             

  Less hair fall  Dandruff free  Protection from sun rays

 Smoothening of hair  conditioning  Protection from sun rays

Media Habits Do you watch television regularly? Yes No Which television channel is regularly watch in your family?

Star plusSonyZee TVDD channelOthers

At what time do you mostly watch TV?

34

Which newspaper do you read regularly?Punjab Kesari  Amar Ujala  Dainik Jagran  Hindustan TimesTimes of India  Others(specify)  

Do you listen to radio?Listen  Do not listen  

DemographicOccupation

Agriculture StudentEmployee BusinessUnemployed

Monthly income2000-below 2001-40004001-6000 6001-80008001-above

Morning  Noon  Afternoon  Night  

35

ANNEXURE-II

RETAILERS QUESTIONAIRE ON SHAMPOOS DISTRIBUTION

Name of the retailer: -

Area of distribution: -

1. How many different brand of shampoos do you sell ?

SKUMR

PMargin

Present stock Any other

SKU7.5ml 100ml

Sunsilk

Pantene

Clinic Plus

Chick

Lux

Nyle

Vatika

Rejoice

Ayur

Others

2. Approximately how many sachets do you sell in a day? _______________

3. Who frequently come for purchasing the shampoos?

36

4. How many sachets do they purchase at one time?

_________________________

5. How frequently do you place your order?

Daily Weekly Biweekly Monthly 2 monthly

6. What is the ordering size?

Sachets

Sunsilk

Pantene

Clinic Plus

Chick

Lux

Nirma

Nyle

Vatika

Rejoice

Others

Ladies Males Kids

37

7. What is the reason you don’t keep the above-mentioned products?

Products name Reason

1.

2.

3.

4.

8. Which according to you is a better product & why?

Parameters \ Products name

Margin

Packaging

Consumer pull

Ad

Schemes

Regular supply

Credit available

Relation with sales person

Others

38

CHAPTER # 8

BIBLIOGRAPHY

39

Books:

1. Marketing Research. By- Dash and Malhotra

Internet Websites:

www.wikipedia.comwww.google.comwww.itcportal.comwww.economictimes.indiatimes.com