Professional Documents
Culture Documents
Certificate of originality
This is to certify that the summer project titled “BUYING BEHAVIOR OF THE
CONSUMERS FOR SPRANG” is an original work and is being submitted in partial
fulfilment for the award of the Masters Degree in Management Studies of University of
Mumbai. This summer project report has not been submitted earlier either to this university or
to any other affiliated college of this university or to any other university/institution for the
fulfilment of the requirement of the MMS course .
Place:-
Date:-
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Buying behaviour of the consumer for SPRANG
Acknowledgement
Completing the project work is never one-man effort. It is often the result of valuable
contributions of a number of individuals in a direct or indirect manner that helps in shaping
and achieving stated objectives.
This project report bears the imprint of those who had rendered their wholehearted
support and encouragement without whose help this effort of mine would be in vain.
I express my deepest gratitude to our Director Dr. M. I. KHAN for giving us such an
opportunity in our curriculum to carry out independent research and understand the market to
the fullest extent.
My special thanks to Prof. S. P. DAS for providing extremely valuable inputs in the
very early stage of my project and helping me understand the objectives of the study.
I pay my sincere respect and gratitude to Mr. ARUN BALKI sir for guiding me
throughout the project and helping me to improve the study and enhance the absorption of the
subject matter with greater depth, insight and detail.
The completion of this project would have been extremely difficult without the never
ending and sincere help from my colleagues at VIVA IMS. The primary survey would never
have been completed in NAGPUR without help and support of Mr. GAIKWAD sir from
PBPL. Finally I thank the Almighty for creating an aura of favourable situations for me and
guiding me throughout the pathway.
Last but not the least, my endless appreciation goes to my family and friends who
has stood by my side and given me moral support whenever I was low and boosted my
will power.
Aniruddha A. Mohitkar
MMS- Marketing
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Buying behaviour of the consumer for SPRANG
Table of content
Organisation profile 5
Management structure 7
Products 8
Plant 18
Capacity 19
2 Problem statement 19
4 Suggestions 30
5 Conclusion 32
6 Bibliography 32
7 Questionnaire sample 3
8 Appendix 32
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Buying behaviour of the consumer for SPRANG
Executive summary
We have been experiencing the benefits of green revolution which started in the mid
of 1960s on experimental basis. Result was increase in production of wheat and rice making
India a self sufficient country in terms of food production.
Every year the land under the agriculture is decreasing, the agriculture sector is
gripped in many problems. Thus there is a need to increase the agricultural output along with
quality in available land mass.
Mr. Arun Balki found an opportunity with the same objective and floated a company
by name “PROOTHVI BIOTECH PRIVATE LIMITED” (PBPL) which trades in a product
by name SPRANG made from seaweeds, it claims to increase output by almost 30% or more
if used along with fertilisers under ideal conditions.
PBPL today is a very well known company in the biological supplements sector in
Gujarat and Madhya Pradesh. On the path of hard work and sincerity PBPL signifies the
quality and purity of its products. So with the naked benefits seen with the application of the
products, now a days there is a huge demand of the product in south and west India along
with some parts of Maharashtra (western Maharashtra). Marketing expansion in progress for
North & East India. This project report gives the brief idea about the, “BUYING
BEHAVIOR OF THE CONSUMERS FOR SPRANG”, especially farmers and dealers of
the agriculture products. Looking at the present scenario the methodology that has been
executed to collect accurate data is through the survey of Nagpur and parts of Chandrapur
districts of Maharashtra with the help of well designed questionnaire and the immediate
responses of the farmers, dealers and distributers which shows the overall attitude of
consumers towards the use of biological supplements in their farming activities.
Based on the findings through the survey, the conclusion that can be drawn is the
company should focus on the structure of its communication channels to design the strategies
and implement the same in accordance with the locations and the demand of the biological
supplements. Farmers are not aware of product, so company should design the strategies in
order to create the awareness about the product.
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Buying behaviour of the consumer for SPRANG
1.Introduction:-
The total potential demand is very high for biological supplements taking into account
the area cultivated. But in real situation, demand is much less due to various factors. To
increase the market demand farmers have to be educated thoroughly.
To feed the growing population in India, intensive efforts are to be needed to step-up
food production from the present level of 200 million tones to 240 million tones by 2010 AD
Seventy percent of the world’s poor live in rural areas and most of them depend on
agriculture. Presently, 800 million people in the developing countries, or 15 percent of the
total world population, are insecure in their food supplies. The projected world population by
2025 A.D 8.35 billion. This growth is believed to bring natural resources and food supplies
under further pressure. In fact population growing at a much faster rate than food production
needs drastic action to increase yield.
At Present looking towards use of chemicals like fertilizers and pesticides which is showing
its effects on soil structure and textures also on the health of human beings.
Founded in the year 2005 with the objective of developing innovative solutions for the
agriculture business/ crops, through new quality biological products for agriculture use,
proothvi biotech today is the well known company in biological supplement market in south
and west India. PBPL is the Manufacturer of eco-friendly and non-hazardous Agricultural
inputs like Plant Growth Promoters, Bio pesticides, Bio fertilizers, and Micronutrients.
Biotechnology revolution is only beginning and presents unique set of ethical, safety, healthy
solutions.
Proothvi Biotech today is playing key role by manufacturing and marketing eco-
friendly and non-hazardous, growth promoters, bio pesticides, bio fertilizers and
micronutrients.
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Buying behaviour of the consumer for SPRANG
Mr.Arun S. Balki, the Chairman of Proothvi Biotech Private limited (PBPL) founded
the company in the year 2005. He is Postgraduate of Agriculture Soil Science. He worked
with Wockhardt limited right from the launching of their agro-division and made the
Biozyme product brand leader in his operational areas. He worked in the managerial capacity
right from beginning of his marketing carrier and having very rich experience of agro
marketing for 25 years. Arun Balki is a major promoter of company and is looking after all
activities as a chairman & Managing Director of Proothvi Biotech Private limited. He also has
very good business management skills and very deep financial understanding. His Integrity,
Commitment and speed following the highest standards of professionalism. Chairman
focused on our important goal-providing quality products to the farmer. His Vision is to
develop PBPL as manufacturing and marketing specialized eco-friendly and non-hazardous
products of best quality range like Biological growth promoters, bio pesticides and bio
fertilizers and Micronutrients for Agriculture.
PBPL also strengthening advance R & D wing for quality assurance. PBPL plans to
go for global marketing and achieve 20 million dollars turnover by 2015. PBPL has already
started an export of Sprang from March 2007.PBPL already has three biological products in
pipeline to expand product portfolio by 2008. Chairman has built reputation of trust and faith
amongst his peers and customers. He is a driver for Innovation, Creativity, Inspiration and
hard work across organization. We deliver products and services that meet the needs of our
customers and contribute to the sustainability of agriculture. Proothvi Biotech Private
Limited. believes that 'the growth of India is directly related to the growth of the rural areas'.
Farmers being the central focus of rural India, it becomes necessary to deliver them products
and services that meet the needs of customers and contribute to the sustainability of
agriculture.
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Buying behaviour of the consumer for SPRANG
1.1.2 Vision:-
“To establish Proothvi Biotech Private Limited among the most innovative, value
based farmer-focused company. Our aim is to win constantly the trust and respect of the
farming community.
We believe that 'the growth of India is directly related to the growth of the rural areas'.
We at PBPL are committed to enhance the quality of life of the farmers by providing them
CHAIRMAN
ADMINISTRATIVE OFFICER
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Buying behaviour of the consumer for SPRANG
1.3 Products:-
In the first phase PBPL launched Sprang foliar, Sprang Germinator and Sprang
granules. Second phase launch of Micronutrients and Bio fertilizers like Phosphate
Solubilising Biofertilizers, Azotobacter, Rhizobium, and In Third phase Bio pesticides etc by
2009.
The efficient production of food to meet the demand of world’s exploding population
is now universally recognized to be the most urgent human and political concern facing
mankind. The agricultural sciences have developed a large and growing number of resources
to help meet these demands. These include conventional fertilizers, herbicides, pesticides,
fungicides, water utilization systems and management programs and advanced seed and root
stock hybridization. Many of these approaches are energy based and are increasingly
becoming cost prohibitive.
Chemical fertilizers are now being extensively used in agriculture. The typical
chemical fertilizer contains three elements important to plant growth: nitrogen, phosphorus
and potassium (NPK). They must be converted by the enzymes in the existing biochemical
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Buying behaviour of the consumer for SPRANG
Organisms in the plant into basic tissue building blocks. However, the limiting factor in the
utilization of fertilizing compounds is the availability of these enzymes to make these
conversions for specific plant growth processes. This conversion process slowed if there is a
biochemical deficiency resulting in the inefficient use of the chemical fertilizer.
Sprang has solved this dilemma with biological supplements to remedy these
deficiencies. Through the use of biological enzyme complexes, resulting in increased growth
rates, greater health and vigor in the plant and ultimately greater yields.
Q. Why Sprang Seaweed extracts have long been used in agriculture and horticulture?
Ans:- They are routinely used worldwide in different crops. A wide range of beneficial
effects have been reported from the use of Liquid seaweed extracts including increase crop
yields, resistance of plant to stress, increased uptake of inorganic constituents from the Soil,
resistance to frost and reduction in storage losses of fruit. These extracts are capable of
having an effect at a low concentration, which results in only very small quantities of material
being applied. Sprang is a concentrated, standardized and high quality Seaweed granular
extract and proteins fermented in presence of beneficial microbes under controlled conditions.
It is a natural product derived from seaweed from the unpolluted nutrition.
Fig. Seaweeds
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Buying behaviour of the consumer for SPRANG
Sprang Granules
Sprang(liquid)
Sprang Germinator
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Buying behaviour of the consumer for SPRANG
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Buying behaviour of the consumer for SPRANG
Sprang Granules helps to increase soil micro flora and it improves soil fertility, water
holding capacity and porosity. Sprang Granules helps to increase higher yield and better
quality produce.
Pulses: Soybean, Red gram, Green Gram, Black gram, Horse gram,
Bengal gram, Chick pea, Cow pea.
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Buying behaviour of the consumer for SPRANG
2) Develop root mass and root hairs and increased supply of sufficient nutrition for plant.
4) Break down complex molecule into simpler form, which provides strong support to
enhance plant metabolism and development.
5) Helps to improve the resistance against stress condition like drought, frost & diseases.
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Buying behaviour of the consumer for SPRANG
Sprang (Foliar)
Sprang (foliar) is unique biological supplements for the plants developed by Proothvi
Biotech Private Limited through high tech fermentation process and innovative biological
production technique. The dried granulated seaweed powder and other biological inputs
undergo this specialized Lactobacilli process to formulate Sprang. Resulting in increased
growth rates, greater health and vigor of the plant and ultimately higher yields.
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Buying behaviour of the consumer for SPRANG
Sprang (foliar) has been designed as a foliar spray, to be applied on the leaves of the
plant. Product’s components dissolve in water, and enter through the stomata and the leaf
surface waxes. In the leaf Sprang is translocated (transported) quickly through the mesophyll
cells or through the inter-cellular spaces to the vascular system and by the vascular system to
the plant organs where it is needed.
Sprang ((foliar) can be mixed with most liquid /soluble fertilizers and insecticides.
However, separate dilution of Sprang (foliar) in water is needed before mixing with
pesticides.
5. Improvement in Quality-
6. Increase resistance to adverse climatic conditions like Drought and frost, waterloging etc.
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Buying behaviour of the consumer for SPRANG
Seeds remain viable for diverse length of time and depend on species and outside
atmospheric conditions. The embryo inside the seed coat needs water and temperature to get
its metabolism activated and to start the growth of embryo. They need some moisture to get
their biochemistry activated, and warm temperature to allow the chemistry of life to proceed.
Initial nutrition to the germinating seed is provided by Cotyledons and after that seeds require
extra outside nutrition to survive in the outer world. Sprang Germinator provides the same
extra nutrition through its storehouse of available nutrients. Sprang Germinator helps to
develop root deeper and sideways it also helps to reduced Abscisic acid within seed to break
dormancy. The emerging seedling thus gets energy to fight the environment stress and grows
up to a healthy plant.
Sprang Germinator is unique formulation, which can be used for seed treatment of all
crops/ plants and treated roots before transplanting.
For Seed Treatment Mix with 25 to 50 ml water and apply on seeds before sowing. Treated
seed to be kept in shade before sowing for 15 to 45 minutes for drying.
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Buying behaviour of the consumer for SPRANG
1-2 ml / 100 ml water. (1% - 2% solution). Spray Sprang solution on roots of seedlings or dip
roots in Sprang solution for 10 minutes before transplanting.
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Buying behaviour of the consumer for SPRANG
1.4 Plant:-
Seaweeds + Protiens
Fermetation
Microbes
Sprang
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Buying behaviour of the consumer for SPRANG
1.5 Capacity:-
Production wise it takes near about 4-6 days to produce a batch of 1700 litres after
passing through various processes including fermentation.
2. Problem statement:-
Nowadays research studies are numerous and whenever a need for a study arises,
majority of works attributed to consumer products are linked with the areas of consumer
perception, satisfaction, decision making, competition, sales promotion, etc. Hence the
studies have become thorough. Management researcher they technically deep into the study
which results in the origin of a pure technical report which is accessible persons in those
areas. Marketer should understand the price sensitivity of a consumer in a rural area.
Farmers perceived that fertilizers and these biological supplements are under same
product line
They don’t believe on novice products because before this many companies had gone
to their villages and sold low quality products or completely ineffective product.
Demonstration given was not fruitful in the respected villages which created a wrong
perception about the product in the mind of people.
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Buying behaviour of the consumer for SPRANG
To ascertain the awareness, usage, and scope of the biological supplements in the farm
land and plant trade.
To find out the attributes on which farmer’s purchasing psychology about the product
depends
To find out the satisfaction level, reach and effectiveness in the farm land and plant
trade.
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Buying behaviour of the consumer for SPRANG
farmers and dealers. The following sites had been identified and surveyed, target of the
survey was farmers:-
DEALERS SURVEY:-
1. NAGPUR:-
a. UMRED
b. MANDHAL
c. KUHI
2. CHANDRAPUR
a. BRAHMAPURI
b. GONDPIPRI
c. PIMPALGAON
d. NALAJ
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Buying behaviour of the consumer for SPRANG
2.3.1Sampling:-
Random sampling was done for interview of the respondents. A sample of 5-10
respondents per village was interviewed. The research was carried out for a period of 30 days.
The total sample collected was 100 respondents (non-overlapping).
2.3.2Data Collection :-
The secondary data was collected from the sources such as institute library,
agriculture magazines and internet along with some meetings with subject matter experts. The
primary data was collected by way of a non-disguised primary survey in the selected areas.
The survey was done with the help of a semi structured questionnaire having MCQs for fact
based responses and Open ended questions for opinion based responses.
2.3.3Questionnaire design:-
The questionnaire used for data collection, the data is a structured one. It was a
mixture of open ended, closed ended and multiple industry choices. The words were simple
and help in avoiding confusing and misunderstanding among the respondents.
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Buying behaviour of the consumer for SPRANG
Interpretation:-
Based on our survey 32% respondents are aware of biological supplements.
120
100
80
68 68
60 No
YES
40
20
32 32
0
respondents percentage
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Buying behaviour of the consumer for SPRANG
Interpretation:-
Among the 32 samples 8 respondents are using the biological supplements in their
farm land.
80 75
70
60
50
40 Respondent
Percentage
30 25 24
20
10 8
0
Yes No
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Buying behaviour of the consumer for SPRANG
Interpretation:-
Only one respondent is using product of PBPL.
60
50
50
40
PBPL
30 Hiramoti
25
Pragati biotech
20 Wockhardt
12.5 12.5
10
4
1 2 1
0
Respondents Percentage
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Buying behaviour of the consumer for SPRANG
Interpretation :-
6 respondents told that only because of efficiency they purchased the product.
2 respondents told that because of both efficiency and availability they purchased the
product.
6 Efficiency
2
Availability
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Buying behaviour of the consumer for SPRANG
Q. What are the attributes the company and product should look up so that farmers
will purchase the product?
Response :-
90
84 84
80
70
60
50 Quality
Campainig
40
Price
Free samples
30
24 24
20
10
4 4 4 4
0
Respondents Percentage
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Buying behaviour of the consumer for SPRANG
The study is confined to Nagpur and chandrapur districts only; hence the results
cannot be generalized.
The results hold validity for specified group (farmers) and cannot generalize.
The findings in this study are purely dependent on the answers of the respondents.
Since the study was limited to a specific period (may – July 09), further qualitative
research on the topic was not possible.
The information recorded is based on the opinion and reactions of the respondents as
on the date of research.
Some of the people surveyed were not the full time farmers so they are partially
unaware farming.
The data pertaining to the project were gathered by referring to books and journals.
Most of the farmers are dependant on the rain water in vidarbha. Farming is no more a
business which farmers can do through out the year. It has become a seasonal bussines.still
there are some areas where the irrigation exists, farmer’s works in the field throughout the
year. Irregular weather conditions creating many difficulties in farming.
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Buying behaviour of the consumer for SPRANG
Farmers of vidarbha still talks about the quantity of the crop.They are not much
cautious about the quality. Because of low quality crops they are not getting expected returns
in monetary terms from the government.
Wide use of the chemical fertilizers are resulting in the soil erosion. Plants are not
getting enough minerals. Microbes responsible for symbiotic association with the plant are
vanishing. Heavy use of these chemical fertilizers resulting into decrease in the yielding year
on year.
Though there are some areas where people are getting more yielding year on year. Reason
behind that they are using the water which heavily consists of plant and animal waste. This
waste acts as a bio fertiliser for the plants resulting in the increase in yielding.
3. Findings:-
Based on the survey 32% people are aware of biological supplement.
50% of these 8 %( 4 of 8 people) are using wockhardt product which is the biggest
threat to company.
Based on the survey one person of 100 who is using PBPL product is happy with
product in terms of quality and efficiency.
Most of the traders and farmers maintain the mutual relationship with Company so
that they should enjoy the schemes and concessions provided by the company.
The consumption level of these supplements is low because the plants are grown for a
certain period.
It can be inferred that 25% of the respondents who knows about these supplements
ignored their application due to high price, 30 % respondents ignored by the better
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Buying behaviour of the consumer for SPRANG
response of other fertilizer than these supplements. Finally rest of the respondents
ignored by other valuable reasons.
Company is not having a full time sales persons in order to give effective
demonstration in the farm land.
From the survey it is found that people are attracted toward the product only when:-
There is decease in yielding year on year.
There is consistency in yielding from many years.
There is increase in yielding but decrease in quality of the crop.
As a new entrant in this local market company needs to promote its brand in such
areas.
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Buying behaviour of the consumer for SPRANG
Create awareness about the product and the company. Organising the seminars in
villages through the contacts of localide of that village would help to aware people about
the product and its benefits which might help company to built reputation (branding).
As a new entrant in the market company can focus the villages nearby the village where
people or a person is using the product (depending on the results). It would help people to
know more about the product as their neighbours are using the product, this might
motivate them to use the product. Once farmers got belief that this product is actually a
good product then they by their own starts recommending product to others.
Company can focus on the area where there is an irrigation facility, so that there will be
the demand for product throughout the year.
Focus on the person who can influence rest of the village. Give free demonstration to
his land and take his feedback. Once he starts believe on the product he will tell others in
village to use the product.
Sponsorship in the events usually held in village can also help to build brand image.
This person can be used as a dealer for that particular area, set the target in front of him
and let him enjoy the product in less price. After achieving the higher target again
increase the profit margin to him. Finally restrict the profit margin equal to other dealer’s
profit margin.
Company can appoint a professional who has many contacts with farmers and a good
image in the community of farmers.
Usage in contract farming. Company can do the contract with company and government
bodies who are involved into contract farming business. With the help of such bodies
company can promote the product.
Day by day the involvement of government and many other private companies is
increasing in the contract farming activity, so it would be it would be an advantage for
the company if that other company is promoting its product.
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Buying behaviour of the consumer for SPRANG
5. Conclusion:-
The awareness of supplements is in better position only; but the usage is not that much in
farming.
The user level of these biological supplements is low; but their satisfaction level is in
better condition.
6. Bibliography:-
2. www.scribd.com
3. www.esnipe.com
4. www.en.wikipedia.com
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Buying behaviour of the consumer for SPRANG
7. QUESTIONNAIRE SAMPLE-1
General Q.
Main Q
e. recommendation f. ecofriendly
Q.7-Have you seen any changes in quality and quantity of crop? Yes/no
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Buying behaviour of the consumer for SPRANG
QUESTIONNAIRE SAMPLE-2
FOR dealer-
-------------------------------------------------------------------------
-------------------------------------------------------------------------
Q.5-Is there any discount or scheme on this provided by company or from your side?
----------------------------------------------------------------------
Cash/credit
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Buying behaviour of the consumer for SPRANG
8. Appendix:-
Problem:- Company had appointed the sales persons, after working for one day or couple
they left the company just because they have got the job somewhere else or they
don’t want to work. they are not ready to join the firm.
Reason:- One of the reason behind that might be job security. In the regions like vidarbha
product like this is having sales during the month of july- December. What about
rest of the period of the year. This thing might be creating the insecurity of the job
in their mind. Why should they left the job which is providing them employment
for the whole year.
Solution :- If the company focuses to market its product in the area where there is facility of
irrigation, where farmers takes crops throughout the year and appoint the sales
persons there. This thing will create work throughout the year for them which
means they will be employed by the company throughout the year.
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