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A STUDY ON THE DIRECT SALES STRATEGY OF EUREKA

FORBES
EUROVIGIL FROM EUREKA FORBES

SUMMER TRAINING PROJECT REPORT SUBMITTED


TOWARDS PARTIAL FULLFILMENT
OF

MASTER OF BUSINESS ADMINISTRATION


ACADEMIC SESSION -2013-15

SUBMITTED BY:

UNDER THE GUIDANCE OF


EXTERNAL SUPERVISOR

DIVYA
MBA-3RD SEM

MR. VINAY SINGH


(SALES MANAGER)

ROLL NO: 1311670092

INTERNAL SUPERVISOR
MS.SUNITA CHOWDHURY

JAIPURIA INSTITUTE OF MANAGEMENT


VASUNDHRA, GHAZIABAD
1

PREFACE
Marketing thinking starts with the fact of human needs and wants. People need food, air,
water and shelter to survive. Beyond this, people have a strong desire for recreation,
education and other services. They have strong preferences for particular version and brands
of basic goods and services.
Marketing means human activity taking place in relation to market. Marketing means
working with markets to actualize potential exchanges for the purpose of satisfying human
needs and wants. Marketing plays the crucial role in the business world. Marketing is the
function which is concerned with creation and satisfaction of customers and its essence is
viewing the products and services from the customers point of view seeing the right goods
and services search right customers, at the right place and the right time. Customer
orientation is thus the great of this function. Marketing includes with in its preview product
planning and development standardizing and grading, buying and assembling, information,
advertising, packaging and sales promotion and after sales services.
An attempt has been made to know about consumer behavior regarding purchase of security
of home. This is followed by a summary of findings. After this follows suggestions and
recommendation and the end of the report there are annexure having a copy of
questionnaires?

ACKNOWLEDGEMENT
I

am

giving

my

hearty

gratitude

to

Ms.

SUNITA

CHOWDHURY

, (Faculty-MBA), JIM, Ghaziabad and also to all the faculty members of JIM, Ghaziabad
for giving me an opportunity to do my summer Internship Program for EUREKA
FORBES PVT. LTD., NOIDA.
I would like to give my special thanks to Mr. VINAY SINGH, Sales Manager and my
mentor-Noida.
Last but not the least; I am grateful to all of my friends and colleagues for their attitude
& co-operations towards my project.

DIVYA
MBA 3rd SEM

TABLE OF CONTENTS
S.NO

CONTENTS

PAGE NO.

INTRODUCTION

5-8

COMPANY PROFILE

9-21

MARKETING STRATEGY

21-22

PRODUCT PROFILE

23-43

OBJECTIVES OF THE STUDY

44-45

RESEARCH METHODOLOGY

46-48

ANALYSIS & INTERPRETATION

49-60

FINDINGS

61-62

LIMITATIONS

63-64

10

CONCLUSIONS

65

11

SUGGESTIONIONS

66

12

ANNEXURE

13

BIBLIOGRAPHY

67-70
71

INTRODUCTION

WATER IS LIFE
In fact, the human body itself consists of 65% water. One can live without food for more than
a month but it is impossible to survive without water for more than a few days. On an
average, we consume approximately 2.5litres of water a day. This may be in other form of
water or beverages we drink, or in the food we eat. Drinking the required quantity of water
keeps the body healthy, by flushing out harmful toxins. Making you stay fit and looks fit.
Unfortunately, the water we consume can be polluted. Polluted water may looks clean, and
even taste okay, but may contain germs and other impurities that cause water bond diseases.
Thats why it extremely important to ensure that these impurities are removed before the
water can be safely used for consumption.

CONSUMER BEHAVIOR
In todays challenging and competitive world of fast changing technology, consumer tastes
are also characterized by fast changes. So to survive in the market the firms have to be in
touch with the changing consumer preferences. Marketers have to understand consumer
behaviour and factors influencing in the buying behaviour of the customers in order to be
successful in this dynamic and competitive environment.

Meaning of consumer behavior:


Consumer behaviour is the behaviour that the consumer display while searching for,
evaluating, purchasing and disposing of products and services that they expect will satisfy
their needs. Consumer behaveiours are the study of how consumer makes their decisions to
spend their resources on consumption related items i.e. time, efforts and money.
Study of consumer behaviour proves the marketers an insight regarding the consume
preferences and helps them in effective market segmentation and targeting. The importance
of consumer behaviour lies in the fact that behavior can be understood and influenced to
ensure a positive purchase decision. So around understanding of consumer behaviour is
necessary for long run success of any marketing program. Thats why the marketing
managers interest lies exactly in understanding consumer behavior to ensure that his
marketing strategy results in purchase of product.

DETERMINANTS OF CONSUMER BEHAVIOR


The study of consumer behavior is quite complex, because of many variables involved
and their tendency to interest with and influences each other. The main determinants of
consumer behaviour are:
1. External Variables
2. Individual determinants of Consumer Behavior
1. External Variables : The external environment is made up of various influences
such as:

Culture

Sub culture

Social class

Family

Reference groups
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Personal factors such as age and life cycle, education, occupation, life style,
personality, etc.
These all are major determinants of consumer behaviour.

2. Individual Determinants of Consumer Behavior: The individual determinants


of consumer5 behavior are:

Personality and Self Concept

Motivation and involvement

Learning

Memory

Attitude

COMPANY PROFILE

EUREKA FORBES LTD.


# Joint venture between Forbs Gokak (part of the shapoorji pallon
Group) and Electrolux AB of Sweden.
# Ret up in 1982 to market health and hygiene products to Indian
Consumers.
# revolutionized the Indian market by introducing products lie Home cleaning system (in
1984) and Air purification system (in 1994).
# pioneered the concept of direct sales in health and hygiene products.
# started from a single office, ten field representatives organization in 1982, today
operates from 140 offices covering 90 cities with over 5,000 plus Euro champs.
# Expended distribution channel to cover the retail, industrial and commercial segment
and households not only in India but in other countries too.
# Manufacturing facilities at Bimetal, Hyderabad, and Bangalore together with an
advance Research & Development centre at Bangalore.
# Service customer network of over 500 response centers to provide prompt and
efficient after sales service.
Asias largest Direct Sales Organization.
The key sales divisions:

Direct Sales

Industrial Sales

Dealer Sales

Export division

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RELATIONSHIP
# It begins with listening to the customers & addressing their priorities
and inhibitions
# 140 customer response centers across 98 cities ensure that customers are never left out
in the cold
#A 4000 strong dealer network distributing the Forbes range of water purification
systems and tornado home cleaning systems
#An industrial sales division which distributes the Milkfish range of cleaning equipment
# 4 manufacturing facilities at Hyderabad, Bimetal, Magalia and Bommasandra with
ISO 9002 Certification.
# A network of water testing laboratories across the country.
# A government recognized R&D centre at Bommasandra, Alliances With global leaders.
# Certification from prestigious independent water labs in India & abroad for our range
of water purification systems. Plus, a growing export market.
# Market leaders in augured water purification system, euro clean home cleaning system,
and euro air purification system and euro vigil electronic security solution.

Relationships have made us reach out to customers in their homes, transforming the way
they purify their drinking water and the air they breathe, clean their homes and secure
their families so that they lead happier, healthier lives. We have already welcomed over
eight million happy families into our family which has also encouraged us to provide
opportunities for our people to realise their potential and dreams.
Born as a joint venture between the Forbes Group and Electrolux of Sweden, today we
are over 250US$ million multi-product, multi-channel organisation, part of the Shapoorji
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Pallonji Group and with a global footprint. Today, we rank amongst India's Most Admired
Consumer Durable Companies and amongst the Best Employers in Asia and India. A case
study at the prestigious Harvard Business School and one of the Most Admired
Knowledge Enterprises in Asia and India, we have even been featured in the respected
Forbes Asia Magazine.
Pioneers & leaders in water and air purification systems, vacuum cleaners and security
systems, we introduced direct selling in India. We are now one of the largest direct selling
companies in the world, cited as a classic direct sales reference by marketing guru,
Philip Kotler, in his famous textbook Marketing Management. With an over 8000
strong direct sales force, we have operations across 550 plus city/towns in India.
We have since added channels to enhance our reach and respond effectively to the
expectations of our customers. Our consumer channel has over 15,000 dealers across
1800 + cities and towns in India to bring a better quality of life to customers who seek the
means to safer, healthier lives. Our institutional channel strives to create safer, healthier
work environments and enhance productivity and efficiency. We have a water projects
division solely to provide large institutional and industrial customers with packaged as
well as customized total water and waste water treatment solutions. Our railways division
is partnering the Indian Ministry of Railways in its Clean Train Station project - a major
initiative for improving train cleanliness through outsourcing and the very best agencies
in this field - developing a pilot module to be subsequently replicated in other identified
stations.
To provide health and hygiene solutions to industrial and institutional customers, Eureka
Forbes has formed two companies, Forbes Facility Services Ltd. and Forbes Concept
Hospitality Ltd. which offer housekeeping, maintenance and food service solutions.
Customers have benefited from increased productivity, higher morale, lesser absenteeism
and better customization at their sites. Our latest addition has been a rural channel which
is striving to bring safe, affordable drinking water to people at the bottom-of-the-pyramid

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as well as solution-based community water systems (customized), generating nonagrarian employment and creating rural entrepreneurs.
One of the widest service networks in the country backs up our products. Over 5800
company trained technicians operating from over 1,800 service centres bring service to
the doorstep, making 25,000 kitchen visits daily. It is estimated that 80% of our
customers have a service centre within a 5 km. radius of their machines. These are
supported by call centres, customer care representatives & mobile service vans. Caring
for the needs of the customer has led us to a better understanding of the market and made
us a true leader in customer care and we have been recognised for our exceptional
responsiveness.
Our flagship water purification brand, Aquaguard, is virtually synonymous with pure,
safe drinking water and continues to be the undisputed leader in the category. Trusted by
over 40 million people, it is one of the largest selling water purifiers in the world.
Numerous Indian and international accolades have been conferred on it - Superbrand,
Best Complete Water Solution Provider (UNESCO-Water Digest), Platinum Brand in
Asia (Readers Digest) plus an endorsement by the Indian Medical Association. A one
stop shop for water purification an expansive range of technologies and solutions that
address every type of water quality and purification conditions, it continues to spearhead
the evolution of the category. Indeed, as market leaders, we dont just focus on the top
end of the market but have made water purifiers available for everyone.
Our AquaSure range of water purifiers provides safe drinking water to homes even
without electricity and running water. To cater to the needs of homes and offices and at
different price points, we have water purifiers under the Forbes brand available on the
retail shelf too.

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Euroclean vacuum cleaners, with over 3.5 million satisfied customers, is the undisputed
leader in the category, having sold more than all the other brands combined. Its product
range spans a wide range of technologies and solutions. Numerous Indian and
international accolades have been conferred on it - Superbrand, Mera Brand - plus an
endorsement from the Asthma and Allergy Resource Centre. It continues to expand and
develop the category through the introduction of new technology products in line with the
evolving needs of customers and their changing lifestyle. As the leader, we have brought
products to retail shelves for customers who seek the means to a clean home there. And
we have moved beyond the home with commercial and industrial products.
We were the first to introduce the state-of-the-art Euroair Air Purifiers that ensures
pollution free homes and today, we also market domestic electronic security systems
under the brand Eurovigil.
The company has a strong R&D and manufacturing base including a network of water
labs across the country named Aquachek. Aquamall, a wholly owned subsidiary of EFL,
has the distinction of having Indias first green water purifier plant. (with LEED India
Gold certification), at Dehradun, which is the jewel in our network of factories. It can
manufacture a million water purifiers of various specifications annually (it has the largest
UV water purifier production capacity in the world), harness solar energy and harvest
rainwater.
In order to tap global opportunities, Eureka Forbes has tied up with another giant in the
world of direct sales - Lux International, Switzerland - in a joint venture, Forbes Lux,
which now has a footprint across several countries in Asia, Europe, Middle East and
South America.
For years together Eureka Forbes has become a name synonymous with selling but we
pride ourselves in going beyond selling. It is our firm belief that unpolluted water & air is
the birthright of every Indian and with this vision we set up the Eureka Forbes Institute of
Environment (EFIE). The institute promotes awareness about conservation &
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management of natural water & air resources. Our endeavours include Pollution Watch (a
tie-up with a prominent national television channel to telecast air and water pollution
levels in key cities monitored by the Institute), Euro Enviro Quiz (Indias only
environment-centric quiz for school children in association with over 450 schools across
India), Euro Ambassadors (enthusing school children to enkindle the environmental spark
in their homes and neighbourhoods) and Rainwater Harvesting (enlightening people on
how to harness this precious water source in tandem with local bodies, co-operative
societies and governmental institutions resulting in over 600 million litres of rainwater
being saved till date). Project Jal Amrut has augmented the water resources in drought
prone areas through rainwater harvesting with the first projects being in Rural
Maharashtra. The Euro School of Environment was set-up to formalize the education
movement and give it a fillip. It began with a course on becoming eco-friendly citizens
and has since enhanced its curriculum.
Our continuous endeavour to create a sustainable environment led us to introduce
renewable energy technologies as viable options to communities, providing sustainable
energy to meet their energy needs. This is because around 95,000 villages in India dont
have electricity and 18,000 of them unlikely to ever have access to the national grid due
to their remote locations. Eurodiya harnesses solar energy to light the home and is an
alternative to kerosene and electricity, saving fossil fuels. Due to its proximity to the
equator, India receives an annual average of 4-7KWh per day for every square metre.
This means that certain parts of the country receive more sunlight than what they can use
in a year, making it an abundant source of power. However, the challenge was to make
the technology relevant for locations where the exposure to sunlight is limited and the
electricity is a far cry. It also had to be inexpensive and within the reach of the common
man. Eurodiyas novel technology and model design allow storing solar energy for a
longer duration thus making it the value for money. Our efforts got a fillip when Indias
first solar bulbs with the in-built solar panels were launched.
Our goal of providing safe drinking water to each and every individual was credited extra
miles with the introduction of solar technology for running the water dispensing units.
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We will continue to work in the field of renewable energy and other such green
technologies. We look forward to working with NGOs, CSRs and other business partners
in this endeavour.
Our most recent initiative in rural India has been striving to bring safe, affordable
drinking water to people at the bottom-of-the-pyramid and solution-based customised
community water systems, generating non-agrarian employment and creating rural
entrepreneurs. Involvement of the community has been the key and all our projects have
been designed to empower communities with local water committees overseeing
construction and maintenance of the projects, thereby ensuring their sustainability over
the long term. Every project has a health education component as people in the project
areas lack a good understanding of sanitary practices. Appropriate technology solutions
have helped tackle some dreaded water related diseases ignored for generations. There
are more than 70 reverse osmosis and 40 ultra violet water treatment plants in 35 rural
and four urban communities. A partnership with world Vision relies on providing water
filter units during emergencies with over 10,680 units being distributed to flood affected
areas in over six states. A manually-operated filtration unit for emergency use has been
developed. Owned and run by women self-help groups, they generate revenue by
charging for potable water provided to the community.
The company has been a friend to society including providing safe drinking water to the
earthquake and cyclone victims as well as setting up parks for senior citizens where they
can relax and recreate.
Indeed, relationships spur us to dream of a happy, healthy pollution free world that is
built on trust and lasting relationships with our customers. We believe that our bonds will
help us grow faster and care for many more families, building relationships that last a
lifetime. A true friend for life.

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VALUES
Integrity and highest ethical standards
Mutual respect and trust
In our working relationships
Communications
That is open consistent and two way
Diversity of people culture and ideas
Innovation and encouragement
To challenge the status quo
Continuous improvement, development and learning
In all we do
Team work and meting our commitments
To one another
Performance
With recognition for results.

VISION
# A happy, healthy, safe
And pollution free environment
# Built on trust and lasting relationships
With customers.

MISSION
To build sustainable relationship with customers, as their
Friend for life
By standing their evolving health, hygiene, safety and life style need through
Our people
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Whose entrepreneurial sprit and ambition is fuelled by the culture of pride, learning
earning and fun
Our products and services
That refelect innovation, become quality bench marks, and provides real value for money
Our policies and practices
That is fair, transparent and constantly improved to maximize stakeholder satisfaction
inductive market leadership.

BOARD OF DIRECTORS

Mr. Shapoor. P. Mistry

Mr. V Mathiyalagan

Mr. S.L. Goklaney

Mr. D.E Udwadia

Mr. J.C Chopra

Mr. N.D Khurody

Mr. C.G Shah

Mr. s.murlidhran

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EUREKA FORBES INSTITUTE OF ENVIRONMENT

It is a young and unique institute that was started in the year 2000.
To gain quick visibility it was launch through TV. The main agenda behind starting this
institute was to give knowledge about the various benefits that exceeds cost on the issue
related to pollution watch.
As every journey has its destination, the ultimate destination of eureka Forbes institute of
environments to be an institution that has a life of its own, its own vision, mission and
philosophy: its own set of committed core team workers and donor friends.
By own face and recognition; it means to gain medias and public credibility by aligning
its activities mainly to its cause, distance itself from commercial work and other related
causes and to build a strong track record of social contribution and activities related to
such cause alignment.
The institute has built a strong mission, which says; to promote an awareness of the
benefits of conserving and maintaining the quality of our natural water and air resources.

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Eureka Forbes Business Policies


The customer is the sole focus of our business.
#

We constantly endeavor towards customer satisfaction by delivering products and

services of the best value and quality.


#

We strive to honors our commitments, implied, to both, our internal and external

customer.
#

We stress on integrity, transparency and consistency in all our dealings.

We always strive to have a trusting, mutually beneficial and long-lasting relationship

with our business associates.


# We seek to maintain a warm, positive and friendly work.
#

We empower people at appropriate level to achieve their goal.

We recognize and reward merit and performance.

we strive to make the organization a responsible corporate citizen.

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MARKETING STRATEGY

EUREKA Forbes is now looking to strengthen its position through a slew of new
launches. According to Mr. Marzin R Shroff, senior vice-president, marketing, Eureka
Forbes Ltd, although Eureka Forbes is the market leader in both the categories (with a
market share of over 80 percent in both the air purifier and vacuum cleaner segment), the
companys new products will be targeted at different segments of people.
For instance, the new aqua guard nova priced at Rs. 7600 will be targeted at people who
have already had an aqua guard in their house for more than a year(that is approximately
a million people). The product has electronic features such as an indicator which will
indicate when it is time to get the servicing done. Other launches on the anvil include a
softener model (for area which get hard water), an arsenice removal model, an iron
removal model, a fluoride removing model (for up and Gujarat) and aqua power, which
can run without electricity. A similar strategy is being put in place for vacuum cleaner as
well. However the company will not be venturing into new product segments. Currently
it has products in water and air purifier, vacuum cleaner and security system segment.
Says Mr. palekar, we would like to focus on the segment we are present in an strengthen
our position their.
For the communication strategy, the company is working on an online model through
which it will be able to interact with customers on the internet.

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COMPANY PRODUTS

Home cleaning systems

Air purification systems

Water purification systems

Home security system

Eco friend six pack

Newell

Industrial solutions

22

PRODUCT
PROFILE

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HOME PRODUCTS
1.WATER PURIFIERS
Eureka Forbes offers water purifiers which help in removing bacteria, algae, viruses,
fungi, suspended particles etc form water and make if fit of drinking. It is quite better
than the traditional water purification like filtration and sedimentation. The purifiers are
equipped with E-boiling +, UV+, RO+ UF+ and SMP+ technologies which help in
purification of water.

2. Security Systems
Eureka Forbes Security systems offer video door phones which enables you to speak and
see your visitors, before providing them access to your home. 1.cctv cameras 2.Access
control(such as Door Access Systems,Fire Alarm System,Video Door Phone ) 3.Home
automation system 4.Security alarm system 5.IAS Wireless

3. Air Purifiers
Eureka Forbes air purifier helps in reducing contaminants from the air. The contamination
can be in the form of dust, pollen, smoke, odour and feces. These products are beneficial
to allergic and asthmatic patients and can be used in home and commercial
establishments like bars & gyms.

4. Vacuum Cleaners
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Eureka Forbes vacuum cleaners are available under two categories: Euroclean and
Forbes. Vacuum cleaners can also be classified as "only dry" OR "wet and dry". These
vacuum cleaners are air pumps which suck up dust and dirt in a dirt bag by creating
partial vacuum

INSTITUTIONAL PRODUCTS
EUROVIGIL SECURITY SOLUTIONS
Eureka Forbes offers customized total water treatment solutions for both commercial as
well as industrial purpose. These could be either membrane-based, reverse or electronic
security solution.

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The Eurovigil security system provide round-the-clock vigilance, notify authorities


,friends or neighbours upon receving an alarm of any kind .Marketed by our security
specialists who personally visit homes across the country ,from the largest cities to the
smallest towns ,we bring families state-of-the-art products that are customized solutions
devised to meet their requirements.

24*7 CENTRAL MONITORING STATIONS

EUROVIGIL IS Indias first electronic security system that offers you a


24*7 central monitoring station (cms).
Monitors alarms generated remotely and provides the preplanned customized response to
cater to individual needs.

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INTRUSION ALARM
SYSTEM

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The eurovigil intrusion alarm system monitors, alarm and informs you in case of any
security breach .providing you with complete protection for your home.

Wireless Intrusion alarm syetem

For totoal security


Easily installable wireless sensors for homes /commercial establisments and
heritage structures.

17 user codes for multiple authorized user.


One touch emergency keys.
Powered with 32 zones+16 keys
Wireless range upto 350 meters
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Single button operation


24 hrs battery backup
Operates on 433.92mhz frequency range
UL,ULC,CE,FCC AND TEC certified

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VIDEO DORE PHONES

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Eurovigil Video Phones let you identify and communicate with the person on the other
side of the door without opening it.

FEATURE OF VIDEO DOOR PHONES

LARGE 7COLOUR DISPLAY SCREEN WITH VOLUME BRIGHTNESS


AND CONTRAST CONTROLS.

CAMERA WITH NIGHT VISION TECHNOLOGY.

TAMPER-PROOF CAMERA CASING AND REMOTE UNLOCKING.

SUPPORTS UP TO 4 INDOOR MONITORS.

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ACCESS CONTROL SYSTEM

32

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CLOSED CIRCUIT TELEVISION (CCTV)

Closed circuit television (cctv) helps with surveillance ,monitoring and crime detection .it
is a distribution system that transmits television signals over cable without broadcasting
through air .reception is limited to equipment directly connected to the system.

FEATURE OF CCTV
OBSERVE AND RECORDED ANY ILLEGAL ACTIVITYEnables centrslised monitoring of homes ,retail floor space ,within
and outside buildings ,warehouse, jewellers shops and the parking
area.
MONITOR SENSTIVE AREAS
Where activity is less /infrequent.
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FIREGUARD

FIRE EXTINGUISHER
FIREGUARD INSTANT STRIKE ACTIVATION
Your home is where your loved ones feel proteted but did you know that 80% of your
house is flammable? Fire can spare in moments to destroy it. Presenting, FIREGUARD
fire extinguisher with Instant action activation.so handy anu easy to use, it helps you react
instantly to keep your home and family protected. the unique strike activation technology

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works in good time to prevent a small fire from truning into a big one ,so in case of a
fire ,run..but only towards your fireguard.

FEATURE OF FIREGUARD

Space-age patented technology

Extremely light weight

No maintenance

Eco-friendly

Easy to use

CONTROLES ALL TYPES OF DOMESTIC FIRE


A. SOLID COMBUSTIBLES
B. FLAMMABLE
C. GASEOUS
D. METAL. *****
E. ELECTRICAL
F. COOKING OILS AND FATS

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SERVICE PROCESSES AND METHODS


We work towards a common goal with our clients, towards having a clean and pollution
free environment. In the process we ensure that our machines, manpower and chemicals
are user and environment friendly.
Our processes are dedicated to a 10 point programme that is linked to our mission to
ensure that we work for efficiency, ease, efficacy and employee satisfaction and continual
improvement in the process and operations. Our 10 point aspiration guarantees that we:
Reduce waste
Keep minimum inventory
Offer maximum efficiency of spares
Provide customer demand determined services
Take calculated steps for environment protection
Do it right the first time (after training)
Empower workers (after training)
Grant timely equipment changeover for better efficiency
Create supplier Partnership link
Continuous Improvement Culture
All our processes ensure complete safety of the clients assets and ensure appreciation of
its assets.
Our food services units manage kitchens that are HACCP compliant with complete
emphasis on safety of the client and our workforce.
We operate a colour coding system for all dusters and mops and where appropriate our
staff is provided with the necessary Personal Protective Equipment (PPE) protection.
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Our machinery is regularly checked to see that it complies with the safety of electricity at
Work norms.
All personnel receive an induction at the commencement of their employment which
includes basic training in all aspects of Health & Safety that is applicable to their job.
Through this process we ensure that products and personnel are used only for their
intended safe and hygienic support to ensure that the client concentrates on
"MANAGING HIS WORK"

Eureka Forbes: A new case study at Harvard


At Harvard Business School's picturesque campus on the banks of the Charles River in
Cambridge, Massachusetts, students will now learn how a home appliances company
became a household name in India, introducing products once considered impractical for
the market. Professor Narayan Das, who authored the case study on Eureka Forbes
Limited, says the success of its direct selling strategy in India is equally relevant to
students here.

Professor at Harvard Business School, Narayan Das says," We had a case on an enterprise
software co, how the salesperson sells a multi-million dollar deal over a period of two
years. I was looking for a contrast to that and the Eureka Forbes model is a perfect one
because their sales cycle is 12 hours. The salesperson door knocks in the morning, and
closes the deal in the evening. So it is a very unique situation where we want students to
understand the concept of door-to-door selling. It is not commonly done in the US today,
but is still a huge part. Whether you're tele-marketing or tele-selling, the issues are the
same."

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First Year Student at Harvard Business School, Tamhant Jain says, "More than 80% of
our class is international. A lot of people want to go abroad and start their own
businesses. Even people who will continue to stay here after studies, realise business is
becoming global. Global markets are in India & China. Case study like this is relevant
because it brings diversity, marketing, consumer goods, marketing experience. Such
studies are brilliant for us."

The CEO of Eureka Forbes, Suresh Goklaney, visited Harvard for the presentation of the
case study. Officials from the company were pleased with the students' response.

CEO of Eureka Forbes Suresh Goklaney says," The reaction from the students was that's
a great company. We would like to work for there They found out that whether there were
better methods for training, compensation, motivations."

Regional Manager (South) of Eureka Forbes, V Mathialagan says," In India, one thing
you must understand is every town the culture, language is different. Even in Bangalore,
different pockets have different cultures. Understanding the needs of individual customs
is very imp, which has come out in the case study. But one can't fit all doesn't happen in
India. Students understand that very well."

Eureka Forbes is one of about half a dozen Indian companies that have been taken up as
case studies at Harvard Business School and the author of the study is confident it will
remain on the curriculum for years to come.
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OBJECTIVES
OF THE STUDY

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OBJECTIVES

1. To know about the buying behavior of customer regarding purchase of water


purifier.
2. To know about the main factors that influence buying.
3. To know about the mode of information gathering.
4. To access the impact of sales promotion scheme.
5. Income segment that is using the water purifier.

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RESEARCH
METHODOLOGY

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RESEARCH METHODOLOGY

All progress is born out of inquiry. Doubt is often Better than overconfidence for it leads
inquiry, and leads to inventions

A Famous Hudson Maxim


Research is a procedure of logical and systematic application of the fundamentals of
science to the general and overall questions of a study and scientific technique by which
provide precise tools, specific procedure and technical rather than philosophical means
for getting and ordering the data prior to their logical analysis and manipulation.
Different type of research designs is available depending upon the nature of research
project, availability of able manpower and circumstances.

43

Methodology
1. Research Design: The research design is a master plan specifying the method
and procedures for collecting and analyzing needed information. The research
design in this project is DESCRIPTIVE and and Descriptive research includes
surveys and fact-finding inquiries of different kinds. Casual research is used to
know the cause and affect relationship.

2. Data Collection Methods: The source of data includes primary and


secondary data sources.
Primary Sources Primary data has been collected directly from
sample respondents through interview method and with the help of
structured questionnaire.
Secondary Sources Secondary data has been collected through from
standard textbooks, Newspapers, Magazines & Internet.
3.

Research Instrument: Research instrument is used for the primary

data collection is questionnaire.


Sampling Technique: Non-Probability Convenience Sampling.
Sampling Size: 100 Respondents
Sampling Unit: Ghaziabad.
3. Data Analysis:
The data collected through survey was analyzed with help of simple
percecentages. Tabular and graphic methods, which included pie
charts and bar graphs, are used to analyze data.

44

ANALYSIS
&
INTERPRETATION

45

BUYING DECISION MAKER


The buying decision makers are playing a very important role into the purchasing of the
product. Who are the influencer and initiator in the family for purchasing of
EUROVIGIL PRODUTS?

Decision maker
Wife
Husband
Wife and husband
Total

No of respondents
45
19
36
100

The above shown that 45% of the respondents are wife in purchasing of Eletronic
security products and the 19 % of the respondent are husband and the rest of respondents
are both the wife ad husband are the buying decision maker.

FAMILY SIZE OF THE RESPONDENT


46

Family is a major influencer on the consumption behaviour of its members; it is also the
primary target makes for the most products categories. The three types of families are
married couples, nuclear families and the extended families.

Family size
Less than 5
5 to 8
More than 8
Total

No of respondents
11
33
56
100

The above table shows that 11% of the respondents families are nuclear consisting of less
than five members, five to eight member families are 33% and only 56% families are
extended consisting of more than eight members.

INCOME WISE DISTRIBUTION


Income (individual or family) is another social economic variable frequency used
approximates the social class standing.
47

INCOME LEVEL

NO OF RESPONDENTS

Bellow 5000 Rs

5,001 to 10,000 Rs

10,001 to 15,000Rs

41

Above 15,000 Rs

49

The above table reveals that 49% of the respondents are earning income above Rs. 15,000
fallowed by 41 % are earning income between Rs.10,001 to 15,000 and rest of the
respondents are coming under bellow 5,000 and up to 10,000 income category. From the
above analysis it can be concluded that majority of SSD product buyer are having income
more than Rs15,000.

TIME OF PURCHASE
When the buyer intended to purchase the cctv that is depending upon buyer behavior
which the times that shouts for him or her.

48

Time of purchase

No of respondents

Festivals

21

Convenience

No fixed time

55

During Promotional scheme

18

Total

100

The above chart shows that the most of the respondents 55% are having no fixed time to
purchase the water product and the 21 5 of the respondents are purchase during festival
season and rest of the respondents are purchase during the festival season and rest of the
respondents are purchase either convenience or during the promotion scheme.

AGE WISE CATEGORIZATION


Age is an important factor in determining the adopters category. Hence the present
question is entered into the question list.
49

Age group
20-30yrs
31-40yrs
41-50yes
Above 50 yrs
Total

No of respondents
68
22
8
2
100

From the above table it is observed that 4 different age groups classified for the study,
The age group in between 20 to 30 years accounts the highest 68% of the sample
respondents, have fallen in the age group of 50 above and the rest of the respondents fell
above bellow 30 years.
SOURCE OF INFORMATION
Buyer is exposed to many external and internal stimuli that help in decision making. It is
very important to know whom they come to know about the product. Knowing the source
of information is important for the study of buyer behavior.

50

SOURCE / MEDIA
T.V
Newspaper
Exhibition
Demonstration
friends/relatives
Total

NO OF RESPONDENTS
20
24
13
11
32
100

From the above table reveals that 23% are the respondents came to know about the
product through friend circle etc. and the rest of the respondents are came to know about
the product from the news papers,T.V, exhibition and the dealers representatives.

51

HOW INPORTANT ARE THE FALLOWING FACTORS IN


YOUR DECISION-MAKING

Price, quality, warranty, brand name, scheme, after sales service, etc are the major factors
which influencing the buyer behavior. I analyze these factors on the rating scale of 1 to 7
are important and the point 1 is unimportant.

PRICE

52

QUALITY

53

BRAND NAME

54

AFTRE SALES SERVICE

55

FINDINGS

56

FINDINGS
From the fallowing analysis the fallowing findings are extracted:
The age group between 20 to 30 years accounts the highest 68% of the
sample respondents.
With regard of family size study reveals that majority of the respondents
families joint family.
Respondents who having income above Rs15, 000 are the major buyers of
the products.
Friends and relatives or we can say the word of mouth is the important
source of information and other respondents are aware of products through the print
media.
With regard to the decision maker the study reveals that majority of the
respondents said that purchasing decision taken by the wifes,
Fallowed by both husband and wife with discussion.

57

Factors influencing the purchase of the study show that buyers for quality
rather than attribute fallowed by brand name, Price, and features and after sales
services.

58

LIMITATIONS

59

LIMITATIONS OF THE STUDY


Every research is conducted under some constraints and this research is not an exception.
Limitations of the study are as fallows:
# The study is limited to the areas of Ghazi bad.
#

The sample size of only 100 was taken from a large population for the

purpose of study, so the can be difference results of the sample from total population.
#

Non availability of adequate data also limited the scope of the study to

some extent.
#

As the data was collected through the questionnaire, I faced the

limitation that respondents were unwilling to provide information.


#

Consumer was reluctant to go into details because of their busy

Due to continuous change in environment, what is relevant today may

schedules.

be irrelevant tomorrow.

60

CONCLUSION
The fallowing suggestion are fallowed to water purifier companies
based
On the conclusion drawn from the research study:
Companies have to increase the awareness level in buyers through
print media
(newspaper and magazines) advertisement since it is one of main sources of
awareness and majority of the respondents familys high income and educate
people.
Even till date, majority of the Indian housewives feeling that the
water purifier is not necessary product, so companies have try to explain the
necessity of the water purifier to trigger primary demand.
Quality and brand name are the two imp factors, hence, companies
have tried to build brand name.
Word of mouth can be generated by keeping the existing
customers.
61

SUGGESTIONS

Contact builders before the completion of project so that contracts can be made in
advance regarding the installation of water purifier And video door phone in the
society.

In free service camps , customers should be informed about the new and better
technology being offered by the company in the products of other product lines as
well.

4. Water should have antioxidant properties. Oxidization hastens cell breakdown, while
foods with antioxidant properties prevent it. You dont need anyone to tell you that you
want a body that generates cells, not destroys them!
5. Water should deliver essential nutrients and minerals like calcium,magnesium,
potassium and trace elements needed to live.

62

ANNEXURE
QUESTIONNAIRE
Hello! I am Ravi Kumar Pathak, a bonafied student of Master of Business
Administration,Jaipuria Institute of Management . As a part of my course curriculum, I
am conducting a research on the various services offered by the Eureka Frobes to their
customers. I request you to fill the questionnaire with utmost honesty and completeness.
This questionnaire is meant for educational purposes only. All you answers will be kept
confidential and will be used solely for academic purposes. Thank You

(EUROVIGIL FROM EUREKA FORBES)

63

Name: - .
Address:-..
Q1 Who is the buying decision maker in tour family?
i) Wife
iii)

Husband

i) Wife & Husband

Q2 Your family size?


i)

Less than five

iii) More than eight

ii) Five to eight

ii) Five to eight

Q3. Your family size?


i)

Less than five

iii) More than eight

Q4. To which income group do you belong?


i) Below 5,000

iii) 10,000 to 15,000

ii) 5,001 to 10,000

iv) Above 15,000

Q5. What is the mode of purchase?

Q6.

i) Cash

ii) Employees Finance

iii) Private finance

iv) Other

Time when you like to purchase?


i)

Festival

ii)

Convenience

iii)

No fixed time

64

Q7.

At what time of the day do you normally watch T.V?


i) Before 8pm

ii)

8-10 am

iii) 10-12 am

iv)

12-6pm

v) 6-8 pm

vi) 8-10 pm

vii) 10-11pm

viii) 11-12 pm

Q.8 News paper read regularly?

Q. 9 Magazine read regularly?

Q10. How important these factors are influences your buying decisions?
Imp.

Unimp.

7.6.5.4.3.2.1
Quality

After sales service

Price

Brand name

Q.11 Any Suggestion / Remarks ?


___________________________________________________
65

___________________________________________________
___________________________________________________
---------------- (Thanks for your cooperation) -----------------------

BIBLIOGRAPHY
#

Books

1. Coney, Hawkins best, Consumer behavior, 8th Edition , 1-14, 393-418.


2. Kotler Philip, Marketing Management, Millennium Edition, 176-182, 202-204,
3. Zikmund ,William g, Business Research Methods, 5th edition, 6-7, 54-55, 292-298.
4. Loudon&DellaBitta, Consumer Behavior, 1003 Edition, 432-433.
5. Schiffman,Leon G. &Kanuk, Lesie Laser, Consumer Behavior 6th Edition, 234-238.
# Websites:
1. www.eurekaforbes.com
2. www.consumerresearch.com
Magazines
1. Business Today
2. Business World
3. Economic India

66

Newspapers
1. Economic Times
2. Business Standards
3. Financial Express

67

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