Chapter - 1 Objective of Study

Chapter -1
OBJECTIVE OF STUDY
1
1) OBJECTIVES OF THE STUDY:-
A) To ascertain the availability of VLCC PERSONAL CARE Products in the market.
B) To know the end user response towards VLCC PERSONAL CARE products.
C} To know the factors which affect the growth of VLCC products.
D) To know the services provided by VLCC PERSONAL CARE products in the

market.
2
Chapter -2
INTRODUCTION
3
2) INTRODUCTION:-
The whole study about the factors which affect the buying patterns of the end
consumers in personal care products. The factors like presence ,promotion, customer
need satisfaction , channel strategy and support system which affect the VLCC in the
market ,trans Gomti Lucknow. VLCC enter in the market as a personal care product
and presently they capture around 12% market of trans gomti .
About VLCC:-
The guideline of VLCC Group is “Transforming Lives”. By this guideline ,we imply
transforming self, spreading happiness and transforming future. These three pillars
have been the hallmarks of our company since Mrs. VanDana Luthra founded it in
1989. They remain the foundation of VLCC upon which we continue to build our
success today. Without change in wellness, VLCC revolutionized this industry and
acquired the status of India’s largest health and beauty brand. Today VLCC is the
single largest player in the organized sector with a pan- India presence of nearly 225
outlets across 90 cities, 1 in Katmandu , 10 locations in UAE, 2 in Oman, 1 in Bahrain
and 1 in Al Ain. The VLCC Group, a “super brand”, serves as an umbrella for all its
other brands – VLCC Health Care Ltd., VLCC Personal Care Ltd. and VLCC
Institute of Beauty , Health and Management, VLCC Day Spa & VLCC Nutri-Diet
clinic. VLCC services provide holistic wellness, as a service, marrying scientific
research and traditional therapies.
VLCC having served around 10 million customers since its inception, VLCC, today ,
has achieved an iconic status across the world and it is India’s largest and most
preferred Slimming , Beauty & Health care brand. To ensure a good quality of life
for everyone, by adopting and pursuing ethically and socially relevant business
practices aimed at shaping up people’s confidence and making Slimming, Beauty &
Health accessible to every sections of our society.
NOVENA Enterprise is the channel partners of VLCC Personal Care product in trans
gomti. NOVENA Enterprise is the trading house which mainly deals in Personal Care
, Health Care and OTC product of the major players of market like as VLCC ,CIPLA.
They have authorized distributor and marketing promotion rights of all above
mentioned company. They provides the supply of product, demand generation of the
product and also promote the products with there own marketing team.
4
Company Profile:-
VLCC PERSONAL CARE PVT. LTD.
Gurgaon,Haryana,India
PharmaceuticalsProducts-Manufacturer,Export/Import,
Pvt.Ltd.FirmSince1996
Mission:-
The VLCC with uncompromising integrity & ethics, sustaining environmentally
sound standards, backed by strong state of the art R&D & scalable
manufacturing facility in tax free zone offers you reliable range of Ayurvedic
and non Ayurvedic products that you can confidently launch under your brand,
thus have a competitive advantage.
VLCC is the world's first beauty, slimming and fitness corporate to get the ISO
9001:2000 certification. It is also one of only about 165 companies globally, and the
first of its kind in the world, to have been awarded the SA:8000 (Social
Accountability) certification and the first in the industry globally to receive the
ISO:14001 certification for being an environment friendly company.
That VLCC is one of the country's most recognized brands in its own right is an
acknowledged fact and this is reinforced by the its recent induction into the world-
wide hall of fame for brands by being awarded the international Super brand status.
One of VLCC's major diversifications has been the setting up of VLCC Personal Care
to manufacture and market beauty products. The VLCC Personal Care line of over
100 natural skin-care, body-care and hair-care products for the retail and professional
segments have found a ready market all across India. Encouraged by the response, the
company is setting up a chain of exclusive stores under the brand "VLCC Beauty
Shop".
VLCC also manages a prestigious centre of learning related to its area of expertise,
called the VLCC Institute of Beauty, Health and Management. Based in New Delhi,
Chandigarh, Lucknow and Bangalore and affiliated to City , UK, it provides technical
training not only to students wishing to take up beauty and nutrition as a career but
also imparts training to professional in the field wishing to upgrade their skills. In
addition, it is the in-house training academy for VLCC staff, which currently numbers
over 3000. To date, nearly 3000 students have passed through VLCC's institute's
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portals in the three years since its inception .VLCC – region’s top scientific slimming
and preventive healthcare brand, comes to Oman Pioneering wellness group offers
scientific ways to lose weight Sultanate identified as key market for VLCC’s global
expansion Muscat, April 17, 2008: VLCC – one of the region’s premier scientific
slimming, beauty and preventive healthcare brands, will mark its foray into the
Sultanate of Oman with the inauguration of its first slimming centre in Muscat this
week. VLCC has revolutionized the concept of beauty and fitness in India and the
UAE with its ‘Look Good Feel Great’ mantra, has carved a distinct niche for itself in
the ‘wellness’ domain which includes slimming, beauty, fitness, personal care
products and education and training institutes.
Announcing the group’s expansion plans in Oman, Ms Vandana Luthra – Founder

and Mentor of VLCC, said: “VLCC’s foray into the Sultanate of Oman is in line with
our commitment to provide our consumers with state-of-art services in a congenial
and comfortable environment. We have a flourishing and rapidly expanding network
in India and the UAE, which is a testimony of people’s faith in our brand and
services. Driven by growing awareness levels for slimming and fitness across the
region, VLCC is aiming to seek a niche positioning in Oman, motivated by its mass
appeal and world-class bouquet of services.” She added: “Our personalized approach
is based on years of experience that at VLCC every customer is unique, in terms of
aspects such as lifestyle, attitude and body logic. We will continue to offer our
customized services in Muscat as per the individual’s needs, medical status and body
composition analysis.”
VLCC’s USP is its scientific approach to tackling weight loss. An in-depth

knowledge of various factor responsible for an individual's health and body fat such
as medical status, age, gender, level of energy, diet composition, physical activity,
alcohol intake and smoking habits is acquired by VLCC’s trained team of specialists.
In addition, a comprehensive Body Composition Analysis (BCA) makes a significant
qualitative and quantitative contribution towards a customized weight management
programme. VLCC helps its customers achieve a gradual and steady scientific
weight-loss. The regimens do not involve the use of appetite suppressants, drugs and
anorexic diets. At VLCC, one is encouraged to eat the right kind of food. The right
proportion and quality of carbohydrates, proteins, fat, fiber, vitamins, minerals and
6
antioxidants is formulated, keeping in mind cultural eating patterns and individual
diet likes and dislikes.
VLCC helps in altering eating habits and making physical activity part of the lifestyle,
thereby preventing obesity in long term. Its scientific and planned approach treats
every individual personally, as each client is handled in a different manner depending
on his / her specific medical condition and lifestyle.
Another fact that makes VLCC unique is its essential body firming, toning and
detoxifying therapies which help to tighten the skin by providing it the requisite tone.
VLCC's care for customers doesn't end with the completion of a weight loss
programme. All weight loss clients receive counseling on weight maintenance.
VLCC, currently an RO40 million group, is also planning an Initial Public Offering
(IPO) in 2009. While the details of the IPO will be announced later in the year, the
capital raised would be used mainly to fund VLCC’s growth plans in the Middle East
and beyond and further expansion in its three lines of business – slimming & beauty
services, manufacturing and retailing of personal care products and beauty and
nutrition education & training services.
Market Profile:-
Lucknow is one of the fastest growing market in India. It is the face of changing India
and continuous changing the buying patterns of consumers. The awareness of
Personal Care product is increasing. The consumer is ready to invest on the quality
products which satisfy the need of consumers. So the VLCC emerge as a big
contender of the Personal Care product market of Lucknow because of high quality
products , effective promotion and sales strategies which give a edge to VlCC in the
market. VLCC provides some very effective and satisfactory products in the market
after identification of the need of consumers by which VlCC become a household
name.
VlCC put their effort in the very basic yet affective sales strategy like proper
placement of product with the help of strength full distribution channel partners of the
local market. VLCC start providing the benefits to the both retailers and consumers.
For retailers they provide the huge margins ,proper supply, attractive promotional
schemes , affective sales field support. For consumers they provide high quality
products in very competitive price, the change of products to satisfy the max.set of
7
.consumers needs like waste and tummy gel for shape up the body and mom’z for
removing the stretch marks.VLCC provides the range of products in the category
shape correction, skin care, hair care and eye care.
My second vision is to choose Lucknow as a study field of Personal Care product
because Lucknow is a huge market for Personal Care products. which is established
by this calculation which I calculated from my side for only one product which is suns
cream Lotion:-
Suns cream is available in the market in the pack of 100 ml @ of Rs. 135 .
Total population of Lucknow is around 42 lacs . Around 15 lacs population living in
trans gomti Lucknow. Our target population is only 5 lacs which is majorly using the
suns cream to safeguard skin from UV rays. Suppose a consumer spends Rs.15 per
day on his consumption of sunscream, then 5 lac consumer would spend total Rs.75
lac in a single day and around 2250 lac on monthly basis , and 27000lacs on yearly
basis. If VlCC is successful in capturing only 1% market i.e. 270 lac on a single
product which is a huge amount. product.
Types of Products:-
Years of research, testing, and the manufacture of formulations enables us to offer
you products that are of the highest quality. We are proud to offer you the following:
BATH CARE
• Bath & Shower Gels

• Milk Baths
• Bubble Baths
• Bath Oils
• All-Over Body Shampoos
• Splashes
• Bath Crystals/Salts
• Body Salt & Sugar Scrubs
• Hand & Body Lotions
• Whipped Body Creams
SKIN TREATMENTS
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• Creams (antioxidant, therapeutic s, botanicals, etc.)
• Skin Brighteners]
• Lotions
• Moisturizers (creams, lotions, gels & sprays...non aerosol)
• Scrubs
• Masques
• Serums
• Gels
• Toners/Astringents
• Cleansers
• Sprays (non-aerosol)
• After Shaves
• Shaving Gels/Creams
Slimming Products
• Anti-Cellulite Cream/Gel
• Bust Firming Cream
• Chin & neck firmer
Hair Care
• Shampoos
• After Sun- Gel &Lotion
• Styling Gels/Lotions (non-aerosol)
• Volumizers
• Setting Lotions
• Henna
Sun Care
• Sun Block -Cream, Lotion& Gel Conditioners

Eye Care
• Under Eye Cream

• Kajal (Eye-Kohl)
9
Awards & Recognition:-
The greatest reward, which VLCC enjoys, is the trust and faith that million have in its
name. VLCC today is a brand synonymous with Slimming, Beauty & Health care.
It is the only brand in the world which get the world’s first Health and Beauty
corporate to get the ISO 9001:2000 certifications.
VLCC has over the years received a host of award for excellence and women
entrepreneurship. Some of them include as:
• The ‘Super brand’ status - one of the most recognizable brands in the country
today.
• Images Retailer of the Year Award in 2004, 2005 & 2006 (Health & Beauty
care category).
• ICICI Bank Retail Excellence Award 2005 (Health & Beauty care).
• The Institute for Marketing Management (IMM) - Award for the Woman
Entrepreneur of the Year in 2004.
• Whirlpool/Gr8 Magazine - Award for the Woman Entrepreneur of the Year in
2004.
• Best Beauty & Wellness company- Mega Excellence Award.
• The FICCI Ladies Organization, (FLO) honored the endeavors of Mrs. Luthra
for promoting a healthy way of life by felicitating her as a Successful Business
Woman in the Health & Fitness Category, 2005.
• Amity Woman Achiever Award for promoting Health and Fitness Solutions,
2006.
• Outstanding Businesswoman award by PHD Chamber of Commerce &
Industry, 2007.
• VLCC Alive was awarded the Most Admired Retailer Of The Year
-Innovative Concept at Images Retail Awards 2007.
• Witnessing Mrs. Luthra’s steadfast dedication towards liberating women
through education and empowerment, the Department Of Industrial Policy and
Promotion, Ministry of Commerce & Industry Govt. of India, made her a
member of the Task force on women entrepreneurs.
• Rajeev Gandhi Women Achiever 2008.
• Award for Woman Super Achiever in Retail by the Retail Congress- 2009.
• Women Business leader in Health Care- 2009- Women Leaders in India
Forum.
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Chapter -3
LITRATURE REVIEW
11
3) LITRATURE REVIEW
Article 1
“The Dirichlet's Buyer Behaviour Assumptions Really Do Matter”
ANZMAC 2000 Visionary Marketing for the 21st Century: Facing the Challenge
1994
When any reliable models do not fit observed data it tells us that some condition in
the market violates the underlying assumptions of the model – and this can be very
useful information indeed. The Dirichlet model of repeat-purchase has been validated
over a very wide range of conditions, across countries and time.
In this exploratory research we examine this issue by applying the model to a
situation with some known violations of Dirichlet's underlying assumptions –
specifically a market with some in-built variety seeking (a degree of purchase
feedback), some functional differences between brands and a degree of brand level
segmentation. The results show an uncharacteristically poor fit for the Dirichlet, and
the brand level deviations appear to be directly explainable by the violations to the
model's assumptions.
Source 1:- http://members.byronsharp.com/6884.pdf
Article 2
“Modernisation in Indian Retailing: Managerial and Policy Perspectives” , in Udyog
Pragati, vol. 27, no.2, pp. 1-8
Mr.Avinash Mulky & Mr. Rajendra Nargundkar
April-June 2003.
The structure of a country’s retail sector has an enormous influence on marketing
strategy and activities of firms. The Indian retail sector has arrived at a very crucial
stage. Things are change from time to time but the traditional format of retail’s does
not change. The development of modern retailing is of great interest to marketing
scholars and policy makers. This paper analyze the developments in retailing in India.
Factors stimulating modernization and some implications for managerial action by
which policy are derived.
Source2:-http://dspace.iimk.ac.in/bitstream/123456789/82/1/Retailing-
Mulky_Nargundkar.pdf
12
Article -3
The Beauty of Being a Beautician. Chandigarh, The Tribune. Monteiro, Noella.
Pervin Malhotra
Malhotra (2003) describes the main reasons for boom in cosmetic industry as
increasing fashion and beauty consciousness coupled with rising incomes and focus
on health and fitness. To complement this, beauty culture or cosmetology has
emerged as a major occupational avenue with significant commercial potential. New
scientific developments, techniques, products and media hype, has contributed the
Indian fashion industry in generating mega revenues and this has in turn added to the
growth of cosmetic industry. Rising hygiene and beauty consciousness due to
changing demographics and lifestyles, deeper consumer pockets, rising media
exposure, greater product choice, growth in retail segment and wider availability are
the reasons reported by (Euromonitor International, 2006). Over recent years, India
has seen increasing literacy levels, penetration of satellite television, growing
urbanization and greater beauty awareness among women, which has resulted in
rewarding growth opportunities to cosmetics and toiletries manufacturers.
Source3:- http://dspace.iimk.ac.in/bitstream/2259/326/1/581-595.pdf
Article -4
“Factors affecting e-tailing website effectiveness: An Indian Perspective”
Dr. Arti Bakhshi
The Indian Retail Market is witness of a revolution. The growth of internet has
enabled the new retail format of the virtual retailer to emerge and forced the existing
retailers to consider e-tailing model of retailing as well. A large number of consumers
frequently use the Internet for shopping purposes but its’ not clear what drives them
to shop online. This study captures the important factors affecting the success and
effectiveness of e-tailing sites to propose a unifying framework that could eventually
guide research in this area and prove beneficial for e-tailors and e-marketers as well.
Source4:-http://inferringvalue.files.wordpress.com/2010/06/factors-affecting-e-
tailing-website-effectiveness-an-indian-perspective.pdf
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Chapter -4
RESEARCH
METHODOLOGY
14
4) Research Methodology
A) Research Design: - Exploratory and Descriptive research
B) Sample Design: -
1) Sample unit:- Retailers of Lucknow

2) Sample Size:- Sample size were 120 respondents.
3) Sampling Technique:- convenience sampling.
C) Data Collection: -
Primary Data: - Self-designed questionnaire is used for collecting data form the
sample. In this sample have filled the questionnaire and it provides a high quality data
base.
Secondary Data: - Some secondary data have also taken from journals, internet,
some surveys etc but only small part of secondary data is used.
Tools used: - Self-designed questionnaire is used for collection of data from primary
source. Data is collected on 5-poled likert scale.
D) Data Analysis: -
Tools used for data analysis: -

Frequency distribution table
Chi square test
Factor analysis
E) Time of Research: -
Research was conducted within a time period of May1 to June 30,2010.
15
Chapter -5
DATA
INTERPRETATION
16
5) DATA ANALYSIS
FREQUENCY TABLE
a)Do you stock VLCC Product
Table:1- Stock VLCC Product
Stock VLCC Products
Cumulative
Frequency Percent Valid Percent Percent
Valid yes 100 83.3 83.3 83.3
no 20 16.7 16.7 100.0
Total 120 100.0 100.0
INTERPRETATION:-
With this graph it can be analysed that in sample size of 120 , 83.3% respondents are
stock VLCC Product and remaining 16.7% are not.
17
b) If yes, the most preferable FMCG product that you stock
Table 2:- Most preferable product

Preferable product
Cumulative
Valid VLCC 100 83.3 83.3 83.3
LOTUS 10 8.3 8.3 91.7
BIOTIQUE 7 5.8 5.8 97.5
PONDS 2 1.7 1.7 99.2
OTHERS 1 .8 .8 100.0
Total 120 100.0 100.0
INTERPRETATION:-
With this chart it can be analysed that most of our respondents were prefer VLCC as
well as others products .
18
c) If No then:-
Table 3:- VLCC not stock
NOT VLCC
Valid
Frequency Percent Percent Cumulative Percent
Valid Absence of 6 5.0 30.0 30.0

salesman
Low margin 4 3.3 20.0 50.0
No replacement 4 3.3 20.0 70.0

for damages
Low distribution 3 2.5 15.0 85.0
Low sales 3 2.5 15.0 100.0
Total 20 16.7 100.0
Missing System 100 83.3
Total 120 100.0
INTERPRETATION:-
This graph shows that why retailers not stock the VLCC product its majorly because
of Absence of salesman in shop comparison to other product.
19
d) You get VLCC Products from
Table 4:- Get VLCC product from
VLCC Product
Cumulative
Valid from NOVENA 81 67.5 81.0 81.0
OTHER 19 15.8 19.0 100.0

SUPPLIER
Total 100 83.3 100.0
Total 120 100.0
INTERPRETATION:-
This graph shows that 81% of retailers getting this VLCC product from NOVENA
and rest by other suppliers.
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e) Which sale promotional activities does the VLCC undertake for their
Products
Table 5:- Sale Promotional activities
Promotional activities
Cumulative
Valid Price off 14 11.7 14.0 14.0
Value addition 11 9.2 11.0 25.0
Credit facility 40 33.3 40.0 65.0
Free samples 24 20.0 24.0 89.0
Advertisement 11 9.2 11.0 100.0
Total 100 83.3 100.0
Total 120 100.0
INTERPRETATION:-
This graph shows that the retailers wants the credit facility (around 65%) for there
products like providing credit of 21 days.
21
f) What is Consumer’s expectation from VLCC
Table 6: Consumer expectation from VLCC
Consumer expectation
Cumulati
ve
Valid Good quality 40 33.3 40.0 40.0
Attractive packaging 28 23.3 28.0 68.0
Ease of availability 17 14.2 17.0 85.0
Low price 10 8.3 10.0 95.0
Replacement for 5 4.2 5.0 100.0

damages
Total 100 83.3 100.0
Total 120 100.0
INTERPRETATION:-
This graph shows that the consumer expectation from VLCC. Around 40% of people
want good quality,28% want attractive packaging and 17% want Ease of availability.
22
g) Brand Image
Table 7:- Brand Image of VLCC
Brand Image
Cumulative
Valid very good 50 48.5 50.0 50.0
good 17 16.5 17.0 67.0
average 24 23.3 24.0 91.0
bad 5 4.9 5.0 96.0
very bad 4 3.9 4.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
This can be analysed with this graph that band image of product is very important
factor as 48% of the retailors find it a very good factor while only 3.9% found it very
bad factor.
23
h) Availability
Table 8:- Availability of VLCC product
Availability
Cumulative
Valid very good 42 40.8 42.0 42.0
good 20 19.4 20.0 62.0
average 9 8.7 9.0 71.0
bad 19 18.4 19.0 90.0
very bad 10 9.7 10.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
60% of retailers said that availability of product is very good or good, 30% said that they
should increase the availability.
24
i) Margin
Table 9:- Margin on VLCC product
Margin
Cumulative
Valid very good 48 46.6 48.0 48.0
good 30 29.1 30.0 78.0
average 8 7.8 8.0 86.0
bad 11 10.7 11.0 97.0
very bad 3 2.9 3.0 100.0
Total 100 97.1 100.0

Total 103 100.0
INTERPRETATION:-
75% of retailers said that margin offered by the company is very good or good, only
13% said that they should increase the margin .
25
j) Packaging
Table 10:- Packaging of VLCC
Packaging
Cumulative
Valid very good 15 14.6 15.0 15.0
good 47 45.6 47.0 62.0
average 29 28.2 29.0 91.0
bad 6 5.8 6.0 97.0
very bad 3 2.9 3.0 100.0
Total 100 97.1 100.0

Total 103 100
INTERPRETATION:-
60% of the retailers said that packaging of VLCC are very good or good,28% said
that it is average and 9% said that it is bad and it can be further improved.
26
k) Price
Table:-11 –Price of VLCC
Price
Cumulative
Valid very good 5 4.9 5.0 5.0
good 35 34.0 35.0 40.0
average 33 32.0 33.0 73.0
bad 14 13.6 14.0 87.0
very bad 13 12.6 13.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
73% of retailers said that price of the product are good or average, 27% said that it is
bad so company decrease the price .
27
l) Satisfaction level
Table 12:- Satisfaction level by VLCC
Satisfaction level
Cumulative
good 42 40.8 42.0 52.0
average 31 30.1 31.0 83.0
bad 14 13.6 14.0 97.0
very bad 3 2.9 3.0 100.0
Total 100 97.1 100.0

Total 103 100
INTERPRETATION:-
52% of the retailers said that they are satisfied being the retailers of VLCC, 31%
were neutral and 17% said that they are not satisfied.
28
m) Value Addition
Table 13:- Value Addition provides by VLCC
Value addition
Cumulative
good 52 50.5 52.0 58.0
average 26 25.2 26.0 84.0
bad 13 12.6 13.0 97.0
very bad 3 2.9 3.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
58% of the retailers said that value addition services provided by company are good,
26% said that it is average and it can be further provide some more value addition.
29
n) Promotional Scheme
Table 14:- Promotional Scheme of VLCC
Promotional scheme
Cumulative
Valid very good 11 10.7 11.0 11.0
good 32 31.1 32.0 43.0
average 32 31.1 32.0 75.0
bad 19 18.4 19.0 94.0
very bad 6 5.8 6.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
43% of the retailers said that promotional scheme provided by company is good ,32%
said that it is average, 25%said that it is bad and it can be further improved .
o) Customer Response
30
Table 15:- Customer Response towards VLCC Product
Customer response
Cumulative
Valid very good 12 11.7 12.0 12.0
good 25 24.3 25.0 37.0
average 36 35.0 36.0 73.0
bad 14 13.6 14.0 87.0
very bad 13 12.6 13.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
37% said that Customer response towards VLCC is good, 36% said that it is average
and 27% said that it is bad. so they provide more advertisement for attracting more
customers.
p) Replacement for Damages
31
Table 16:- Replacement for Damages for VLCC product
Replacement for damages
Cumulative
Valid very good 12 11.7 12.0 12.0
good 36 35.0 36.0 48.0
average 23 22.3 23.0 71.0
bad 19 18.4 19.0 90.0
very bad 10 9.7 10.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
48% of the retailers said that replacement for damages is good,23% said that it is
average,29% said that it is bad . For retaining all retailers company must provide
replacement for all damaged goods to all the retailers.
32
q) Quality
Table 17:- Quality of VLCC
Quality
Cumulative
good 35 34.0 35.0 45.0
average 31 30.1 31.0 76.0
bad 15 14.6 15.0 91.0
very bad 9 8.7 9.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
45% of the retailers said that quality of the products are very good or good, 31 % said
that it is average,24% said it is bad and it can be further improved.
.
r) Salesman Services
33
Table 18:- Salesman Services of VLCC
Salesman services
Cumulative
good 25 24.3 25.0 35.0
average 25 24.3 25.0 60.0
bad 32 31.1 32.0 92.0
very bad 8 7.8 8.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
Only 35% retailers are satisfied with salesman services,25% said that it is average ,
40% said that it is bad .so company must provide more salesman for increasing the
sales.
34
s) Innovation
Table 19:- Innovation in VLCC
Innovation
Cumulative
Valid very good 15 14.6 15.0 15.0
good 29 28.2 29.0 44.0
average 27 26.2 27.0 71.0
bad 23 22.3 23.0 94.0
very bad 6 5.8 6.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
44% of the retailers said that innovation towards the products are very good or good,
27 % said that it is average,29% said it is bad and it can be further improved
t) Accessibility
Table 20:- Accessibility of VLCC
35
Accessibility
Cumulative
Valid very good 11 10.7 11.0 11.0
good 31 30.1 31.0 42.0
average 23 22.3 23.0 65.0
bad 20 19.4 20.0 85.0
very bad 15 14.6 15.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
42% of the retailers said that accessibility of the products are very good or good, 23 %
said that it is average,35% said it is bad and it can be further improved
u) Providing Beauty Advisors

Table 21:- Providing Beauty Advisors by VLCC
36
Providing beauty advisor
Cumulative
Good 31 30.1 31.0 40.0
Average 21 20.4 21.0 61.0
Bad 26 25.2 26.0 87.0
very bad 13 12.6 13.0 100.0
Total 100 97.1 100.0
Total 103 100.0
INTERPRETATION:-
40% of the retailers said that they are satisfied with beauty advisor, 21 % said that it is
average,39% said it is bad and it can be further improved by providing more beauty
advisors.
CHI SQUARE TEST
37
Hypothesis
Null hypothesis(H0):There is no association between price and satisfaction level.
Alternate hypothesis(H1) : There is association between price and satisfaction level
Significant level : 5%
Table 22:- chi square table of price and satisfaction level
PRICE * satisfaction Cross

tabulation
Count
satisfaction
1.0 2.0
0 0 Total
PRIC very good 54 12 66

E
good 29 5 34
Total 83 17 10
0
Chi-Square Tests
Asymp. Sig. Exact Sig. Exact Sig.

Value df (2-sided) (2-sided) (1-sided)
Pearson Chi-Square .192a 1 .661
Continuity Correction .025 1 .875
Likelihood Ratio .196 1 .658
Fisher's Exact Test .783 .446
Linear-by-Linear Association .190 1 .663
N of Valid Cases 100
38
Result : .661 > .05
At 95% confidence level ,significant level is.661 . which is greater than .05 .
Accept null hypothesis (H0).
Conclusion: It signifies that there is no significant relationship between price and

satisfaction level.
CHI SQUARE TEST
Null hypothesis(H0): There is no significant relation ship between providing beauty

advisor and consumer response.
Alternate hypothesis(H1): There is significant relation ship between providing

beauty advisor and consumer response.
customer * BA Cross tabulation
Count
BA
1.0 2.0
0 0 Total
customer 1.00 51 22 73
2.00 10 17 27
Total 61 39 100
39
Table 23:- chi square table of customer response and providing beauty advisor
Chi-Square Tests

Pearson Chi-Square 8.927a 1 .003
Continuity Correctionb 7.601 1 .006
Likelihood Ratio 8.800 1 .003
Linear-by-Linear Association 8.838 1 .003
Result : .003 < .05
At 95% confidence level ,significant level is .003 which is less than .05.
Reject null hypothesis (H0).
Conclusion: There is significant relation ship between providing beauty advisor and
consumer response.
CHI SQUARE TEST
Null hypothesis(H0): There is no significant relation ship between satisfaction level

and providing beauty advisor.
Alternate hypothesis(H1): There is significant relation ship between satisfaction

level and providing beauty advisor.
40
Table 24:- chi square table of providing beauty advisor and satisfaction level
satisfaction * BA Cross tabulation
Count
BA
1.00 2.00 Total
satisfaction 1.00 54 29 83
2.00 7 10 17
Total 61 39 100
Chi-Square Tests

Pearson Chi-Square 3.383a 1 .066
Continuity Correctionb 2.454 1 .117
Likelihood Ratio 3.301 1 .069
Linear-by-Linear Association 3.349 1 .067
Result : .066 > .05

At 95% confidence level , significant level is .066 which is greater than .05.
Accept null hypothesis (H0).
Conclusion: There is no significant relation ship between satisfaction level and

providing beauty advisor.
41
FACTOR ANALYSIS
RELIABILITY OF DATA
Table 25:- KMO and Bartlett’s Test

KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .668
Bartlett's Test of Sphericity Approx. Chi-Square 247.862
df 105
Sig. .000
Analysis
Kaiser-Meyer-olkin
(index for comparing the magnitudes of observed corealtion coefficient to the

magnitude of the partail correlation coefficents.)
From the value of KMO it can be analysed that there is no error in 66.8% of the
sample and remaining 33.2% may have some sort of error.
KMO and Bartlett’s Test showa that the strength of the relationship among variables
is large enough.so its shows the sampling adequcy more then .50.
42
“Bartlett’s test of sphericity”
(strength of relationship among varibles is strong.It presents good idea to proceed

factor analysis for data.)
H0:There is no significant difference between factors affecting buying behaviour

towards retailers.
H1: There is significant difference between factors affecting buying behaviour

towards retailers.
Observed significance level= 0.000
Expected significance level = .050
Observed significance level < Expected significance level
Reject H0
Analysis
There is significant difference between factors affecting buying behaviour towards
retailers.
Communalities :Initial vs. Extraction
43
Communality of each statement refers to the variance being shared or common by
other statements. With reference to first statement, the extraction is .469 which
indicates that 46.9% of the variance is being shared or common to other statements .
Table26:- Communalities
Communalities
Initial Extraction
Brand Image 1.000 .469
Margin 1.000 .656
Availability 1.000 .739
Packaging 1.000 .697
Price 1.000 .678
Satisfaction level 1.000 .610
Value addition 1.000 .709
Promotional scheme 1.000 .541
Customer response 1.000 .601
Replacement for damages 1.000 .584
Quality 1.000 .572
Salesman services 1.000 .687
Innovation 1.000 .712
Accessibility 1.000 .656
Providing beauty advisor 1.000 .706
Extraction Method: Principal Component Analysis.
Percentage of Variance Accounted For By The Three Components Model
The variance explained by the initial solution, extracted component and rotated
44
components is displayed.
Table 27-Total Variance explained
Total Variance Explained
Component Extraction Sums of Squared

Initial Eigen values Loadings
%of Cumulativ %of Cumulative

Total Variance e% Total Variance %
1 3.138 20.917 20.917 3.138 20.917 20.917
2 1.685 11.235 32.152 1.685 11.235 32.152
3 1.524 10.157 42.309 1.524 10.157 42.309
4 1.147 7.647 49.956 1.147 7.647 49.956
5 1.085 7.232 57.188 1.085 7.232 57.188
6 1.040 6.932 64.121 1.040 6.932 64.121
7 .888 5.921 70.042

dimensio
8 .805 5.368 75.410

n0
9 .696 4.640 80.050
10 .676 4.506 84.556
11 .646 4.307 88.863
12 .464 3.090 91.953
13 .439 2.929 94.882
14 .394 2.625 97.508
15 .374 2.492 100.000
45
Analysis:
The cumulative percentage column gives the percentage if variance accounted for the
first n components.so we can judge that about 64.121% of total variance in 15 factors
is attributable to first six components.
Also we can conclude that variable 1 explains a variance of 3.138 which is 20.917%
of total variance.
Variable 2 explains a variance of 1.685 which is 11.235% of total variance.
Table 28:-Component Matrix Before Rotation
46
Component Matrix
Component
1 2 3 4 5 6
Brand Image .503
Margin -.463 .439
Availability .548 .480
Packaging .452 -.544 .408
Price .736
Satisfaction level .561 -.529
Value addition .545 -.485
Promotional scheme .596
Customer response .426
Replacementfordamages .506
Quality .601
Salesmanservices .501
Innovation -.578
Accessibility .444
Providingbeautyadvisor .487 .535
a. 6 components extracted.
Analysis
This matrix contains loadings of each variable into each factor. by default SPSS
displays all loadings; however , we have requested that all loadings less that .4 should
be suppressed in output and so there are blank spaces for many of loadings. This
matrix is not particularly important for interpretation.
Table 29: Rotated Component Matrix
47
Rotated Component Matrix
Component
1 2 3 4 5 6
Brand Image .519 .407
Margin .733
Availability .764
Packaging .719
Price .820
Satisfaction level .555 .406
Value addition .780
Promotional scheme .660
Customer response .646
Replacementfordamages .529 .470
Quality .511 .402
Salesmanservices -.792
Innovation .706 .405
Accessibility .771
Providingbeautyadvisor .653
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 16 iterations.
The rotated component matrix is a matrix of the factor loadings for each variables
onto factors. this matrix is calculated after rotation ands contains same information as
the component matrix contains before rotation.
48
Factor analysis
Factor Factor name Variables Factor Variance Cumulative

number statement %
and number Loadings
Factor 1 Services by Brand Image .519 20.917% 20.917%

company
Satisfaction .555
level
.771
Accessibility .653
Providing
beauty
advisor
Factor Outlet Promotional .660 11.235% 32.152%
2 offerings scheme .529
Replacement
for damages
.511
Quality
.706
Innovation
Factor Product Availability .764 10.157% 42.309%
3 Packaging .769
Accessibility
Factor Benefits Margin .733 7.647% 49.956%

4 -.792
Salesmanserv
ices
Factor Customer Value .780 7.232% 57.188%

5 Relationship addition
Customer .646
response
Factor Economical Price .820 6.932% 64.121%

6 factors
49
Factor discussion
1.Factor 1(services by the company)
This factor has emerged as the most important factor of our research with 20.917% of
variance. Major elements of this includes Brand Image (.519), Satisfaction level(.555)
Accessibility(.771) ,Providing beauty advisor(.653) .This factor is most important to
attract customers. To keep retailers happy and to make them more stock of VLCC
have to take care of all these points.
2.Factor 2(Outlet offerings)
This factor is also important and contribute to 11.235% of variance. Major elements
of this includes Promotional scheme (.620)Replacement for damages(.529)
Quality(.511) Innovation( .706). so company should also take care of its offers.
3.Factor 3(Product Accessibility)

This factor contributes to 10.157% of variance and includes 2 variable i.e.
Availability (.764),Packaging(.769). To shows that retailers want availability of right
product at right time and also at genuine price.
4.Factor 4(Benefits)
This factor contributes to 7.647% of variance and includes 2 variable i.e.

Margin(.733), Salesman service(-.792).so company don’t need to worry more about
charges .customers are ready to pay but they want good services by company.
5.Factor 5(Customer Response)

This factor contributes to 7.232% of variance and includes 2 variable i.e. Value
addition(.780) ,Customer response(.646).Company provides different –different value
addition on different seasons for getting more & more customers.
6.Factor 6(Economical factors)
This factor contributes to 6.932% of variance and includes 1 variable i.e. Price(.820).
Company should provide low price for getting more customers.
50
Chapter -6
CONCLUSION &
FINDINGS
51
6) CONCLUSION AND FINDINGS
o The most important factor which affect retailer’s buying behaviour for
cosmetics products is services provided by the company
o Customers are ready to pay but they want good services by company
o Retailers are satisfied with margins provided by company.
o Distributor want more sales force for capturing the new market.
o Company should provide small packs of their product.
o Availability of VLCC product in the market is good. Company must be

increase the availability of product.
o Salesman services provided by the company are average. So company should

make arrangements for more salesman in the market.
52
Chapter - 7
LIMITATION
53
7) Limitations
 Biasness- as data collected is also through only observation.
 Geographical barrier- as data has to be collected from Lucknow only.
 Time constraint- as lots of questionnaire is to be filled it involves lots of

traveling.
 Office timing- as VLCC follow a very tight schedule and very punctual
about the time. And moreover, most of the Retailers are busy during
evening time so they have to be visited during day time.
 Reliability- as data is collected through questionnaires and internet, so it

may happen that the information provided by them is not true or
reliable.
54
Chapter -8
RECOMMENDATIONS
55
8) RECOMMENDATIONS
• VLCC should provide more offers to their retailers.

• They should focus more on advertising strategy.
• They provide small sachet because these are in very much demand.
• They should provide various schemes to their customers to motivate them to
purchase.
• They should provide more beauty advisors to retailers.
• They should increase the sales force in the market.
• They should provide more margins to retailers.
56
Chapter-9
BIBLIOGRAPHY
57
9) BIBLIOGRAPHY
BOOKS
1) KOTLER PHILIP, July 2003. Marketing Management, eleventh edition, New

Delhi: Prentice Hall of India Publishing Co., Ltd.
2) KOTLER PHILIP , KELLER KEVIN LANE, KOSHY ABRAHAM, JHA

MITHILESHWAR, 2009. Marketing Management: A South Asian Perspective,13th
edition, New Delhi: Pearson Prentice Hall
3) NARESH K MALHOTRA, SATYABHUSHAN DASH, 2009, Market Research:

An applied orientation, 5th edition , Prentice Hall
Website:-
1) www.VLCC.co.in\about,us
2) www.VLCCpersonalcare.com
3) http://members.byronsharp.com/6884.pdf
4)http://dspace.iimk.ac.in/bitstream/123456789/82/1/Retailing-
Mulky_Nargundkar.pdf
5) http://dspace.iimk.ac.in/bitstream/2259/326/1/581-595.pdf
6) http://inferringvalue.files.wordpress.com/2010/06/factors-affecting-e-tailing-
website-effectiveness-an-indian-perspective.pdf
58
Chapter -10
ANNEXURE
59
10) ANNEXURE
Retailers Survey
Name Of the Shop :-
Retailers Name :-
Address :-
Q 1- Do you stock VLCC Products

a) Yes
b) No
Q 2- If yes, the most preferable FMCG product that you stock

a) VLCC
b) LOTUS
c) BIOTIQUE
d) PONDS
e) Others
Q 3- If No, Why ?
a) Absence of Sales man
b) Low Margin
c) No Replacement for Damage
d) Low Distribution
e) Low Sales
Q 4- You get VLCC Products from -
a) Directly from NOVENA
b) Other Supplier
Q 5- Which sale promotional activities does the VLCC undertake for their Products
a) Price off
b) Value additions
60
c) Credit Facility
d) Free samples
e) Advertisement
Q 6- What is Consumer’s expectation from VLCC?

a) Good Quality
b) Attractive Packaging
c) Ease of Availability
d) Lower Price
e) Replacement for Damages
Please fill the following questions on the basis of your liking.

Very Good 1
Q 7:- VLCC products in terms of
Good 2 Brand Image [ ]
Average 3 Q 8:- VLCC products in terms of
Availability [ ]
Bad 4
Q 9:- VLCC products in terms of
Very Bad 5 Margin [ ]
Q 10:- VLCC products in terms of Packaging [ ]
Q 11:- VLCC products in terms of Price [ ]
Q 12:- VLCC products in terms of Satisfaction level [ ]
Q 13:- VLCC products in terms of Value Addition [ ]
Q 14:- VLCC products in terms of Promotional Scheme [ ]
Q 15 :- Customer Response towards VLCC Product [ ]
Q 16 :- VLCC provides Replacement for Damages [ ]
Q 17:- VLCC products in terms of Quality [ ]
Q 18:- VLCC products in terms of Salesman Services [ ]
Q 19:- VLCC products in terms of Innovation [ ]
61
Q 20:- VLCC products in terms of Accessibility [ ]
Q 21:- VLCC products in terms of providing Beauty Advisors [ ]
62

Chapter - 1 Objective of Study

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Chapter -1

A) To ascertain the availability of VLCC PERSONAL CARE Products in the market.

C} To know the factors which affect the growth of VLCC products.

D) To know the services provided by VLCC PERSONAL CARE products in the

Announcing the group’s expansion plans in Oman, Ms Vandana Luthra – Founder

VLCC’s USP is its scientific approach to tackling weight loss. An in-depth

• Bath & Shower Gels

• Sun Block -Cream, Lotion& Gel Conditioners

• Under Eye Cream

A) Research Design: - Exploratory and Descriptive research

1) Sample unit:- Retailers of Lucknow

Tools used for data analysis: -

Research was conducted within a time period of May1 to June 30,2010.

Table:1- Stock VLCC Product

Stock VLCC Products

Valid yes 100 83.3 83.3 83.3

no 20 16.7 16.7 100.0

Total 120 100.0 100.0

Table 2:- Most preferable product

Valid VLCC 100 83.3 83.3 83.3

LOTUS 10 8.3 8.3 91.7

BIOTIQUE 7 5.8 5.8 97.5

PONDS 2 1.7 1.7 99.2

Total 120 100.0 100.0

Valid Absence of 6 5.0 30.0 30.0

Low margin 4 3.3 20.0 50.0

No replacement 4 3.3 20.0 70.0

Low distribution 3 2.5 15.0 85.0

Low sales 3 2.5 15.0 100.0

Total 20 16.7 100.0

Missing System 100 83.3

Total 120 100.0

Valid from NOVENA 81 67.5 81.0 81.0

OTHER 19 15.8 19.0 100.0

Total 100 83.3 100.0

Missing System 20 16.7

Total 120 100.0

Valid Price off 14 11.7 14.0 14.0

Value addition 11 9.2 11.0 25.0

Credit facility 40 33.3 40.0 65.0

Free samples 24 20.0 24.0 89.0

Advertisement 11 9.2 11.0 100.0

Total 100 83.3 100.0

Missing System 20 16.7

Total 120 100.0

Valid Good quality 40 33.3 40.0 40.0

Attractive packaging 28 23.3 28.0 68.0

Ease of availability 17 14.2 17.0 85.0

Low price 10 8.3 10.0 95.0

Replacement for 5 4.2 5.0 100.0

Total 100 83.3 100.0

Missing System 20 16.7

Total 120 100.0

Valid very good 50 48.5 50.0 50.0

good 17 16.5 17.0 67.0

average 24 23.3 24.0 91.0

bad 5 4.9 5.0 96.0

very bad 4 3.9 4.0 100.0

Total 100 97.1 100.0

Missing System 3 2.9

Total 103 100.0

Valid very good 42 40.8 42.0 42.0