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SALON MAPPING FOR HAIR CARE PRODUCT

Summer Internship Project Report Submitted to

Kejriwal Institute of Management & Dev. Studies

In partial fulfilment for the course of

POST GRADUATE DIPLOMA IN MANAGEMENT (PGDM)

By

Sandeep Ram

Enrolment:-2016PGDM0028

Under the guidance of

Dr. A. H. Ansari

KEJRIWAL INSTITUTE OF MANAGEMENT & DEV. STUDIES


(Approved by AICTE, Ministry of HRD, New Delhi)

Namkum, Ranchi 834010

Website: www.kimds.co.in

Batch: - 2016-18
Certificate of the guide
This is to certify that the Project Work titled SALON MAPPING FO HAIR CARE
PRODUCT is a bonafied work of
Mr./Ms...

Enroll.No: ................................ Carried out

In partial fulfilment for the award of PGDM/MBA of KIMDS under my guidance. This
project work is original and not submitted earlier for the award of any degree/
diploma or associate ship of any other University / Institution.

Signature of the Guide:-

Guides Seal*

Place:-

Date:-

* For Academic Guide Guides seal should contain Name,

Designation & Official address

* For Industrial Guide seal should contain Name, Academic

Qualification, Designation & Office Address or the certificate should be in the official
letter head.
Student Declaration

I, Mr./Ms hereby declare that


the Project Work titled SALON MAPPING FOR HAIRE CARE PRODUCT is the
original work done by me and submitted to the KIMDS in partial fulfilment of
requirements for the award of PGDM/MBA is a record of original work done by me
under the supervision of Mr.

of.

(Organization of the guide)

Enrolment No: 2016PGDM0028

Date:-

Signature of the Student


PREFANCE
Management education required close Co-operator between business operation and business
Institute. Theory and practical are two inseparable parts of any type of education and are essential
for management study.

A student gets theoretical knowledge form class room and practical knowledge from industrial
trainings. When these two aspects theoretical knowledge and practical experience comes together
then a student is fully equipped to secure his best.

Conducting the project study in an industry students get exposed and have knowledge of the real
situation in the work field and gains experience the practical aspect of in the organisation. It
provides a chance to get fell of the organisation and its function.
Executive summary

About the project

Within a short span of the last five-six years, the use of cosmetics by Indian
consumers has increased significantly with more and more women and men taking
greater interest in personal grooming, increasing disposable incomes, changing life
styles, influence of satellite television and greater product choice and availability.

This hair care industry has been growing at an average rate of 20 per cent for the
last few years. The growing Indian cosmetics market offers promising prospects for
international brands. The growth rate in the cosmetics market reflects an increasing
demand for beauty care products in India. Perfumes and fragrances, skin care, and
hair care products are some of the major segments with promising prospects for
German companies.

Penetration of most hair care is very low in Jharkhand. Current consumption of


many products is well below that of many countries in Asia. The low market
penetration of many cosmetics and personal care products offers room for growth.

The urban population with increasing purchasing power is the major force driving
demand for hair care industry.
ACKNOWLEDGEMENT

All of us know that there are some extent persons, those have crucial role behind any success of
an individual.

The successful competition of my project from SCHWARZKOPF bears imprint people. I am very
grateful and would like to take this opportune moment to convey my sincere gratitude heartfelt
thanks them. I would like to acknowledge them for their tremendous support and help towards my
project.

First of all I would like to thank my parents and god obviously. I take this opportunity to extend my
sincere gratitude and deep indebtedness to Mr. Debraj Dutta jonal business manager (east) of
Schwarzkopf, for permitting me to work out my project work in his reputed firm, always forwarded
his helpful hands in the forms of support and guidance to successfully completing my work.

I would like to convey my regard to course coordinator Dr. A K Singh, Dr. A. H. Ansari, Prof.
Sidharth Raja Halder, and Prof. Bikram Dutta, Lecturers of my Institute for their excellence support
and guidance during my project work.

My acknowledgement would be incomplete without mentioning the name Dr. A. H. Ansari, my


project guider for his ever helpful attitude readiness to provide me with all sorts of information,
support and guidance which was driving force behind my project work.

Last but not the least it is my pleasure to convey my whole hearted thanks to those people who
directly and indirectly help me to give a shape of my project report from the beginning to
completion stage.
TABLE OF CONTENTS

Sl. No. Content Page No.


CHAPTER.I INTRODUCTION
CHAPTER.II COMPANY PROFILE
2.1 Company History
2.2 Sustainability
2.3 Social Partnership
2.4 Henkel Art Award
2.5 Henkel Innovation Challenge
2.6 Competitors
2.7 Henkel India
2.8 Schwarzkopf

CHAPTER.III RESEARCH OBJECTIVES


CHAPTER.IV LITERATURE OF REVIEW
CHAPTER.V PROSPECTING IN BUSINESS
CHAPTER.VI DATA ANALYSIS AND INTERPRETATION
CHAPTER.VII CONCLUSION AND SUGGESTION
CHAPTER.VIII BIBLIOGRAPHY
CHAPTER.IX APPENDIX
CHAPTER,X
CHAPTER.I

INTRODUCTION
Hair care Sector in India

The hair is our crowning glory. It is vital to have soft, shiny and well styled hair to make a
good impression in todays world. People are willing to spend a considerable amount of
money to ensure their hair is well taken care of. No wonder the market is flooded with all
kinds of hair care products.
With more and more demand, the companies investing in hair care are not only thriving but
booming at a good pace. Hair forms a major part of beauty and grooming industry.
2017 has seen a rise in styling products, argon oil based masks and products, organic
serums.etc. Have paved their way successfully as in salon retail products.
Growing demographics and economies in the developing countries such as India and China
are expected to offer good opportunities in hair care market.
Various trends that have been observed in the global hair care market include growing
popularity of hair care treatments such as hair spa and deep nourishment, increasing
number of product launches.
In addition, rising number of mergers and acquisitions between companies, increasing
focus on personal grooming and online retail for hair care products are some of the latest
trends for global hair care market.
CHAPTER.II

COMPANY PROFILE
HENKEL An Introduction:-

Henkel AG & Company, headquartered in Dsseldorf, Germany, is a multinational


company active both in the consumer and industrial sector.

Founded in 1876, the Dax-30 company is organized into three globally operating business
units (laundry & home care, beauty care, adhesive technologies) and is known for brands
such as Persil and Fa amongst others.

In the fiscal year ended 2015, Henkel reported sales of 18.1 billion euros and an operating
profit of 3.172 billion euros. (Bosteels, 2016)

In the fiscal year ended 2016, HENKEL reported sales of 18.714 billion euros and the
operating profit of 3.172 billion euros.

More than 80% of its about 51,350 employees work outside of Germany.

Business Area:- The Henkel Company operates in three business areas.

Laundry & Home Care with household cleaning products such as laundry detergent and
dishwashing liquid.
Beauty Care with beauty and oral care products such as shampoo, hair colourant and
shower products.
Adhesive Technologies with adhesives, sealants and surface treatments for consumer
and industrial purposes.

Brands

Laundry & Home Care


Henkel's most famous brand is Persil, introduced in 1907, the first commercial "self-
activated" laundry detergent, which means a bubbles forming bleach (sodium perborate)
with a soap component (silicate). The abbreviation of the names of the two main
components perborate and silicate compose the product name.
Other laundry & home care brands include Purex washing powder, Vernel/Silan fabric
softener, Somat/Glist dishwasher tablets and Pril washing-up liquid.
Persil Abaya Shampoo or Persil Black is a liquid detergent that Henkel introduced to
the Saudi Arabian market in 2007 and later to other Gulf Cooperation Council region
markets. The company sells the liquid as a specialist detergent for abayas, the loose,
traditionally black, robe-like garments worn by women in many Islamic cultures.
On June 24, 2016, Henkel Consumer Goods Inc. A subsidiary of Henkel AG & Co.
(Henkel), has signed a definitive agreement to acquire The Sun Products Corporation
(Sun Products), a Vestar Capital Partners V portfolio company.
The transaction is valued at $3.6 billion. Sun Products, based in Connecticut, has a portfolio
of iconic laundry and household brands, such as all, Sun, Wisk, Snuggle and
Sunlight. The company also develops and manufactures laundry and dish care brands
for leading retailers in North America. In fiscal 2015, the company generated sales of
approximately $1.6 billion in the US and Canada. Sun Products employs approximately
2,000 people.

Beauty Care
Schwarzkopf hair care, Schauma shampoo, Fa shower gel and deodorant, Diadermine
skin and body care, Dial shower and hand soap.
The cosmetics company Hans Schwarzkopf was acquired by Henkel in 1995.

Adhesive Technologies
Loctite and LePage as well as UniBond adhesives and sealants, Pritt glue sticks,
Polyseam seal caulk, and Plastic Padding chemicals.(Henkel's Global website)
Henkel mural in Berlin, 1951

HISTORY

Founded in 1876 in Aachen as Henkel & Cieby Fritz Henkel (a 28-year-old merchant who
was interested in science) and two more partners.
They marketed their first product, "Universal waschmittel", a universal detergent based on
silicate.
In 1878, to take advantage of the better transport links and sales opportunities, Henkel
relocated his company to Dsseldorf on the Rhine (its present site).
Dsseldorf was the gateway to the Ruhr region, which became the most important industrial
area of the German Empire from the 19th century onward.
That year, the first German brand-name detergent appeared: Henkel's Bleich-Soda
[Bleaching Soda], an affordably-priced product supplied in sturdy paper bags. Made
from water-glass and soda, it was the result of Fritz Henkel's own research. The soda was
obtained from Matthes & Weber in Duisburg (Henkel bought this company in 1917 and sold
it in 1994).
In 1879, Fritz Henkel was entered as the sole owner in the register of companies. Sales of
Henkel's Bleaching Soda increased so rapidly that within just one year the rented factory on
the Schtzenstrae in Dsseldorf was unable to meet the demand. Fritz Henkel decided to
build his own factory with a railway link.
In 1883, to improve liquidity and make better use of the company's travelling sales staff,
Fritz Henkel decided to sell merchandise in addition to his detergents.
Sales started in 1884. The range included the colourant ultramarine [laundry bluing agent],
gloss starch, a liquid cleaning agent, a pomade for cleaning, beef extract, and a
hair pomade.
In 1886, Henkel opened its first international sales office in Austria. Carl Pathe had gone to
Vienna as a representative the year before.
In 1893, Henkel established its first business links with England and Italy.
In 1903, Schwarzkopf founded by Hans Schwarzkopf (18741921) launched a powder
shampoo. Persil came in 1907 as the first self-acting laundry detergent.
Henkel has been a family-run business since the beginning. In 1893, Fritz Henkel, Jr.
(18751930) joined the firm as an apprentice.
On July 25, 1904, he became a partner in Henkel, which was transformed into a general
commercial partnership. By this time, 110 people were employed at the Holthausen site.
On April 25, 1905, Dr. Hugo Henkel (18811952), the youngest son of Fritz Henkel, Sr.,
joined the company as a chemist.
In 1908, he became a personally liable partner in the company.
In 1912, total production in Dsseldorf-Holthausen rose to 49,890 tons. At 19,750 tons,
Persil laundry detergent accounted for 40% of this, just five years after its market launch.
The number of employees increased by 89 relative to the previous year, resulting in a total
workforce of 1,024. Around half were female.
A first-aid centre was set up in the plant and a full-time nurse was employed.
In the previous year Henkel had installed ball fields and play areas to encourage exercise
during break times.
Female employees could attend the plant's own housekeeping school during the lunch
break.
On January 11, 1923, troops from France and Belgium occupied the Rhineland. The
occupation made delivery of adhesives from suppliers used for the packaging of Persil
unreliable. The disruption caused Henkel to internally manufacture adhesives for its own
needs.
Henkel found there was a demand for adhesives on the market, and on June 22, 1923, the
first adhesive shipment left the plant.
During World War II, foreign civilian slavery workers and prisoners of war were working for
the company. Henkel was part of a large-scale restitution settlement.
On April 16, 1945, American troops occupied Henkel's Dsseldorf site.
On June 5, the British military command in Dsseldorf took over from the Americans.
From July 20, the British military government gradually granted permission for the
production of adhesives, P3 and water-glass by Henkel, and for soaps and detergents as
well as shoe polish by Thompson.
On September 20, 1945, five members of the Henkel family and another seven members of
the Management Board and the Supervisory Board were interned.
In February 1946, Matthes & Weber in Duisburg was given permission to process available
raw materials into soda
In 1949, the launch of Schauma shampoo by Schwarzkopf marked the start of the most
successful German shampoos.
In 1954, Henkel-subsidiary Dreiring launched Fa soap, a new type of toilet soap.
In 1960, by acquiring Standard Chemical Products, Inc. (known as Henkel Inc from 1971),
Henkel entered the U.S. chemical products market.
In 1962, Henkel acquired Sichel-Werke AG, Hannover, its main German competitor in the
adhesives sector.
From 1970 onward it was joined by a series of Fa deodorants, shower gels and bubble
baths, making Fa one of the best known umbrella brands in the toiletry sector.
Pritt, the world's first glue stick, made its debut in 1969. Exports of Pritt began in the same
year, eventually making this Henkel's most widespread global brand.
Vernel fabric softener and enzyme-based bioactive Persil 70 appeared the same year.
In 1974, Henkel acquired shares in The Clorox Company, USA, to facilitate the production
and sale of certain products developed by Henkel for household and bulk consumers (sold
in 2004).
In 1983, Henkel acquired the AOK facial care range from the company von Heyden
GmbH and thus strengthened its position in the cosmetics retail trade.
In 1984, Teroson of Heidelberg (in existence since 1898) was acquired and integrated into
Henkel's Adhesives and Surface Technologies business sectors.
Cosmetics Company Hans Schwarzkopf GmbH was acquired by Henkel in 1995.
In 1996 Henkel acquired Thiem Automotive, a division of National Starch and Chemical
Company. The acquisition included a manufacturing plant in Oak Creek, Wisconsin.
Later it purchased Loctite in 1997.
The purchase of The Dial Corporation in 2004 was the biggest acquisition in the history of
the company until then. This renowned U.S. personal care and household cleaning
products company gave Henkel a strong foothold on the North American market.
In 2004, Henkel also acquired the American cosmetics company Advanced Research
Laboratories (ARL), that has developed and marketed hair cosmetics.
Also in 2004, Henkel acquired Orbseal. The former Orbseal plant in Richmond, MO was
converted to a Henkel plant.
In April 2008, Henkel has taken over from AkzoNobel the Adhesives and Electronic
Materials businesses previously owned by National Starch.
In 2007, these two business segments of National Starch generated sales of 1.25 billion
(about 1.83 billion). The purchase price was 2.7 billion (about 3.7 billion).
On May 5, 2011, Jyothy Laboratories bought 50.97% stake in Henkel India. It has offered to
buy 20% more in Henkel India through a compulsory open offer mandated by SEBInorms.
In 2008, Henkel KGaA became Henkel AG & Co. KGaA.
That same year, Prof. Dr. Ulrich Lehner retired from his position as Chairman of the
Management Board of Henkel KGaA. He was succeeded by Kasper Rorsted.
In September 2009, Dr. Simone Bagel-Trah was elected as new Chairwoman by the Henkel
Shareholders Committee as well as Henkels Supervisory Board.
The retirement of Albrecht Woeste, who had been member of the Committee since 1976
and its president since 1990, marked the transition from the fourth generation of the Henkel
family to the fifth.
In 2010, Henkel defined a new corporate vision: A global leader in brands and
technologies. In order to implement them into the companys working environment, the
five values customers, people, financial performance, sustainability and family were
discussed by all employees in around 5,000 workshops.

In 2011, Henkel introduced its new corporate design combined with the launch of its new
claim Henkel Excellence is our Passion.
In 2014, laundry products specialist Henkel offered to buy French-based laundry aids-to-
shoe polish manufacturer Spotless for 940 million Euros (about $1.3 billion) in cash.
The deal would slightly increase Henkel's share of the $82 billion global laundry care
market to 8.7%, still well behind Procter & Gamble's 26.6% and the 14.8% market share
held by Unilever, which sells Persil detergenta Henkel brandin some markets.
The takeover, which was subject to approval from antitrust authorities, was completed in
May 2015.
Effective May 1, 2016, Hans Van Bylen took over the position as Chairman of the Henkel
Management Board. (Henkel's Global website)

Henkel U.S. headquarters Scottsdale, Arizona.

SUSTAINABILITY

In its company history, Henkel emphasizes the importance of sustainable development.


In 1958, for instance, Henkels research systematically studied washing active substances
in surface waters, which led to the development of low-foam surfactants.
Henkel was thus prepared for the German Detergents Act of 1961 passed in response to
the mountains of foam on rivers and lakes. It permitted only readily biodegradable
detergents to be used from 1964 onward.
As early as 1992, Henkel published its first Environment Report. Henkel is also a founding
member of the World Business Council for Sustainable Development (WBCSD).
In 2003, Henkel declared its participation in the United Nations Global Compact and has
committed itself to the Compacts ten principles in the areas of human rights, labour,
environment and anti-corruption.
Since 2008, Henkel is an official member of the Roundtable for Sustainable Palm Oil
(RSPO).
In 2008, the company announced its sustainability targets for 2012, which were met by the
end of 2010: energy consumption had decreased by 21 %, water usage by 26 %, and the
amount of waste generated by 24 %. Over the same period, the number of occupational
accidents fell by 29 %.
Presented in 2012, the goal of Henkels new Sustainability Strategy 2030 is to achieve
more with less and to triple the efficiency. The strategys focal areas are divided into two
dimensions: Under the headline more value, the company focuses on the areas social
progress, safety and health and performance. The second dimension reduced
footprint deals with energy and climate, materials and waste and water and
wastewater.
As a short-term goal until 2015, Henkel aimed to achieve a 15 % reduction per production
unit in the focal areas energy, water and waste. At the same time, the company planned to
reach a 10 % increase in net external sales per production unit. Henkel also intends to
reduce its incident rate by 20 %.
Henkel has been listed in the Dow Jones Sustainability Index ever since it was established
in 1999.
In 2011, the company was named sustainability leader in the Non-durable Household
Products sector for the fifth consecutive time.
Henkel has structured its corporate citizenship activities around three core elements:
supporting employee volunteering (MIT Initiative), corporate and brand engagement for the
common good and emergency aid. Since 1998, more than 4,000 Henkel employees and
retirees have been involved in over 9,700 projects in more than 50 different countries. [30]
In 2016, Standard Ethics Aei has given a rating to Henkel in order to include the company
in its Standard Ethics German Index. (Wikipedia)

SOCIAL PARTNERSHIP

Henkel's Corporate and Brand Engagement programme is a social partnership supporting


communities and social and public institutions around the world.
Among those that benefit are sports clubs, hospitals, kindergartens, schools and
universities, charity organizations and cultural events.
Henkel supports long-term projects which meet social needs, promote education, health
and culture and support the environment.

HENKEL ART AWARD

In 2002, Henkel CEE launched the Henkel Art Awarda prize for art in 30 countries in
Central Eastern Europe and Central Asia.
In addition to the monetary prize and presentation of the works of art in Vienna, an
exhibition is also organized for the winner in his or her homeland.

HENKEL INNOVATION CHALLENGE

In 2007, Henkel organized a students' innovative ideas competition.


Teams of two should propose a product with the focus on sustainability, creativity and
future perspectiveto "foresee" the possible needs for year 2030 or 2050.
The contest was focused on beauty products initially, but later was broadened to all three
main branches of activity.

COMPETITORS

Henkel's main competitors in its cleaning division are Unilever, Procter & Gamble and
Reckitt Benckiser.
In its beauty division, its main competitors are L'Oral, Wella, Matrix, Lotus O3+, Jawed
Habib, Lakme etc.

HENKEL INDIA

Henkel Adhesive Technologies India Private Limited is a subsidiary of Henkel AG & Co.
KGaA, Germany. In India Henkel operates in two business units Adhesive Technologies
and Henkel Beauty Care.
Headquartered in Mumbai, Henkel is the market leader in adhesives, sealants and surface
treatments for consumers, craftsmen and industrial applications.
Well-known brands in India include Loctite, Teroson, Bonderite and Aquence.
Under Henkel Beauty Care Division, there is Schwarzkopf Professional and Indola
Professional which is part of the Henkel Group, Dusseldorf and one of the leading suppliers
in the hairdressing business worldwide.
Schwarzkopf Professional is present in 80 Countries across the world and in India it is
fast leading the way in professional hair care. Leading brands include BC Bonacure, Seah
and Oasis.
Henkel Anand India Private Limited, headquartered at Gurgaon is a Joint Venture
Company of Henkel KGaA and Anand Automotive Systems and has Technical License with
Sunrise MSI Corporation Japan.
Henkel Teroson India has manufacturing facilities at Gurgaon, Chennai and Parwanoo.
Henkel Anand India Private Limited is TS 16949, ISO 14001 and OHSAS 18001 Certified
Company by DQS of Germany. The company manufactures and supplies Adhesives,
Sealants and NVH Products to all Automotive OEMs in India.
Henkel Chembond Surface Technologies Ltd., established in 1996, is a joint venture
between Henkel KGaA and Chembond Chemicals Ltd. Headquartered in Navi Mumbai,
India, Henkel Chembond operates in the business areas of Metal Treatment Chemicals,
which includes pre-treatment chemicals, neutral cleaners, lubricants, and coatings.
The renowned brands offered by Henkel Chembond in the country include Bonderite,
Multan, P3, Turco, Autophoretic, Aquence, and Passerite.
Henkel Chembonds manufacturing facilities are located in Tarapur and Sitarganj with
warehouses and offices across the country.(Henkel India)

STRATEGIES FOLLOWED BY HENKEL

Henkel has a very unique and powerful strategy which they follow in their organization.
Their strategy is: We will outperformer competition as a globalized company with simplified
operations and a highly inspired team.
Henkel new strategy is built on the foundation of corporate values and will drive their
successful development in the coming years in order to achieve our long-term vision for
Henkel - to become a global leader in brands and technologies.
In order to steer the focus of the entire organization toward the new strategy and ensure its
successful implementation, Company have defined four strategic priorities:
Outperform
Henkel want to leverage the full potential in our product categories in order to gain market
shares and thus to outperform our competition by:
actively managing our portfolio,
strengthening our top brands,
launching powerful innovations, and
Focusing on our customers and consumers.
To capture the potential for accelerated growth and increased profitability in
categories, company have segmented them into three clusters:

Core, growth and value


In core categories, company will continue to invest in strengthening and expanding leading
positions.
In the growth categories, investments will fuel disproportionately high growth of existing
and new segments.
In value categories, investments will be tailored to maximize the profit potential.

Strengthening our brands: Henkel will continue to focus on our top brands such as Persil,
Schwarzkopf or Loctite while further consolidating brand portfolio. By end of FY 2016, companies
top 10 brands are expected to generate approximately 60 percent of total sales (2012: 44
percent). To achieve this, Henkel will expand their global brands and support the top brands with
strong innovations and focused marketing investments.

Innovation and customer focus: A consistent innovation process, driving trend based
innovations that are developed to meet the individual needs of their customers and consumers,
will help them to reinforce their innovation leadership. By capitalizing on sustainability and on
trends such as accessible luxury or convenience, company will ensure that their products remain
highly attractive and relevant for their customers and consumers.

Globalize: The strategic priority Globalize describes their differentiated regional strategies to
grasp growth opportunities around the world.

Leverage strengths in mature markets and expand in emerging markets: In mature markets,
they will leverage their strengths and generate profitable growth by increasing their brand
investments and maintaining their cost focus. By 2016, company aim to gain more top positions in
these markets with their strong brands, while increasing profitability.

Speed and efficiency: They are strengthening our global presence continuously.

Simplify: Simplify is the strategic priority which summarizes their ongoing improvement of global
processes. They will continuously drive their operational excellence by making their processes
faster and more standardized, focusing on cost-efficiency as well as end-to-end optimization.

Extending shared services: new hubs, more business processes: Henkel will extend our
existing shared services by increasing the number of processes handled in shared service
centres.

Integrated IT platform: In addition to shared services, a stronger focus on information technology


(IT) will be critical to increasing the efficiency of their business processes. They will leverage an
integrated global process platform supported by significant additional IT investments. Out of 2,200
existing processes, around 800 have been identified as global standard processes to be deployed
in all regions and businesses.

Increased efficiency: driving value generation


Company aims to increase their efficiency by sourcing via global hubs, expanding e-
sourcing and reducing the number of suppliers globally by around 40% by 2016.
They will improve their structural costs and optimize our global manufacturing footprint on
an on-going basis.

Inspire: Inspire is the strategic priority which describes their clear commitment to strengthen their
global team. They will focus on three areas: Leadership, Talents & Performance, and Diversity.

Developing strong leaders:


As part of our focus on developing strong leaders, they have defined new leadership
principles which will provide guidance on how to manage the complexity of leadership roles
and inspire their global teams.
With the new Leadership Development series, for example, a mandatory training program
for all people managers, company support them from their first operational leadership tasks
up to advanced, strategically relevant leadership responsibilities.

Talents & Performance: To attract and retain talents globally, company will strengthen their
employer brand and continue to concentrate on making Henkel a highly attractive employer. This
includes competitive compensation and reward programs that are strongly linked to performance,
as well as attractive career development opportunities in different businesses, offering
international experience and participation in challenging projects.

Managing diversity as a competitive asset:


As a diverse employee base with different cultural and professional backgrounds provides
a competitive advantage, they promote diversity by actively managing the dimensions of
nationality, age, and gender.
Henkel strive to increase the international composition of their teams, leverage the
experience of their senior colleagues and systematically support female career
development, while at the same time providing the right infrastructure in terms of flexible
working models.
In 2012, they reinforced the importance of flexible work arrangements for both employees
and the company. All Board Members and their top management have demonstrated their
strong commitment to flexible working and a culture of performance orientation at Henkel
by signing Charter of Work-Life Flexibility.(Henkel's Global website)

ABOUT SCHWARZKOPF
Schwarzkopf & Henkel is one of the largest cosmetic companies in the market. Henkel have
customers in 125 countries worldwide that purchased EUR 3.269 billion in 2010.
Their extensive portfolio includes many best known brands and best loved products in
colourant, styling, hair care, toiletries, skin care, oral hygiene and fragrances.
Henkel 'Schwarzkopf Professional' division holds a top 4 position among salon exclusive
brands. They are part of the Henkel Group which also has strengths in adhesives,
detergents and technologies.
Milestones Schwarzkopf

1898: A small Berlin drugstore


Hans Schwarzkopf, a qualified chemist in Berlin, opens a tiny drugstore with a popular
perfume section. Who could have predicted that his business would go on to become one
of the most significant hair care companies in the world.
1903: Hans Schwarzkopfs inventive talent
Hans dislikes the expensive oils and harsh soaps used to wash hair and is inspired to
create a better solution. His first product to market is a "powder shampoo" that dissolves in
water. This easy-to-use affordable solution is an instant hit.
1904: Demand is huge
Soon, Hans is supplying his shampoo with the black head to every drugstore in Berlin, with
international distribution to Holland and Russia hard on its heels.
1927: The first liquid shampoo
Hans Schwarzkopf introduces the first ever liquid shampoo to the market. The demand
fuels fast-paced growth and prompts the opening of the very first hairdressing training
centre: the "Schwarzkopf Institute for Hair Hygiene".
1933: The prototype for all modern shampoos
Hans Schwarzkopf invents "Onakali", the worlds first non-alkaline shampoo.
1947: The first cold perm
Schwarzkopf revolutionizes the German market and allows women to achieve a permanent
wave without needing to heat hair to 100 degrees. The first ever home colour - Poly Colour
launched.
1960: Igora Royal
Igora Royal - Schwarzkopf Professionals top colouring range is introduced. The brand has
grown to become a global force in the salon world. Poly Colour delivers a great new
innovation by launching the first permanent wave for home use.
1969: Igora Toning
Schwarzkopf launches Igora Toning, the first in-salon colour mousse in Europe. The
innovation makes colour more accessible to both hairdressers and clients alike.
1972: The "Schwarzkopf method"
Schwarzkopf creates and launches a "method" approach to perm services that includes
consultation, products, technology and training. Poly Kur delivers the first universal hair
care system comprising shampoo, conditioner and treatment.
1980: Schwarzkopf becomes CFC-free
Years ahead of its time Schwarzkopf pioneers CFC-free aerosols for its sprays - at the first
international cosmetics manufacturer to do so.
1991: Plant-Based Colour
Schwarzkopf Professional launches the pant-based colourant Igora Botanic. Again
pioneering the growing trend towards natural products. The semi-permanent colour uses a
biodegradable vegetable-based formula, free from pesticides, herbicides and fungicides.
1995: Henkel buys Schwarzkopf
Henkel acquires Schwarzkopf and instantly becomes a leading European supplier in the
field of hair cosmetics.
1998: 100th anniversary
The Centenary! 100 years after Hans Schwarzkopf opened that first drugstore in Berlin his
vision for customer- focused and innovative products has created a global force in
cosmetics. The launch of Re-Nature, a self-repigmenting hair colour for grey hair designed
to restore hair to its natural shade. The revolutionary formula works by oxidizing with air,
causing grey to vanish.
2000: Launch of OSIS
Schwarzkopf Professional launches OSIS - a new styling brand for professional
hairdressers, inspired by session stylists. Global hair icon Umberto Giannini champions this
edgy, dynamic and fashion inspired brand.
2003: ASK Academy
Schwarzkopf Professional opens their flagship ASK Academy in Tokyo, Japan. The
luxurious range SEAH Hair spa is launched. US brand DIAL is added to the Schwarzkopf
bportfolio.
2004: Street Styles with got2b
The London ASK Academy from Schwarzkopf Professional opens its doors, extending the
global education and seminar offering. got2b a street styling range inspired by LA and NYC
is successfully launched as a retail brand Europe.
2005: A whole year of innovation
Root Retoucher empowers women to maintain a beautiful colour between salon visits.
Natural & Easy introduces the Multi-Accent Technology for colour that never looks artificial
or monotone. Street styling range got2B exhibits European growth and Taft launches its
Silk-Touch line.
2006: The innovations continue
The most effective repair ingredients, proteins and vitamins were merged into the
innovative Total Repair 19 formula from GLISS KUR, the hair care specialist. In March, Taft
introduces the Senso Touch Effect, hair thats so soft to touch - 24 hr hold with no
stickiness. September sees the launch of Brilliance Luminance, the fashion-focused wash-
out colour, especially formulated for dark hair.
2008: Schwarzkopfs first 10 minutes colourant
A colourant that changed everything: Colourist, the new colourant of Schwarzkopf, gives
intense, natural glossy colour - in just 10 minutes.
The experts of Schwarzkopf managed to minimize the damage in the hair, thanks to the
patent-pending arginine formula, during the colourant and to improve the action of the
pigments at the same time.
The results: intense, long-lasting colour with a perfect grey-coverage in a significantly
shorter duration. The innovative comb-applicator allows easy application - all without
dripping and as simple as combing.(http://www.henkelna.com/)
CHAPTER.III

RESEARCH OBJECTIVE
The primary objective of the project is:
To the mapping potentiality of hair segment in professional salon in Jharkhand

Sources of Data Collection:- Data for the research project is collected through both primary and
secondary sources.
Primary sources:-
Data was collected from different Salons with the help of a self made questionnaire and
interviews were also conducted by me with the salon owners for getting the first hand data.

Secondary sources:-It includes different sources like internet, books, and company
reports. The data was gathered through company websites and various books of Marketing
Management and Research Methodology were consulted to equip myself with the topic.

Scope of the study


The study covers for a period of 45 days from 9th May 2017 to 24th June 2017.
It helps the marketing team of Schwarzkopf to formulate their marketing strategy in more
effective way so as to make more sales and hence more profits.

Research Type
Descriptive Research:-Descriptive research methods describe situations. They do not
make accurate predictions and they do not determine cause and effect. There are two main
types of descriptive methods:
Observational methods
Survey methods:- Survey method was used by me with the help of a questionnaire and
personal interview so as to know the current scenario of the market of Ranchi, Ramgarh,
Bokaro, Hazaribagh, and Jamshedpur w.r.t Schwarzkopf.

Sample Size

Universe: The entire bunch of salon owners who serve the city of Ranchi, Ramgarh, Bokaro,
Hazaribagh, and Jamshedpur with professional salon services (all A, B class Salons).

Population: The no. of salon owners who serve their customers with all sort of brands like
Schwarzkopf, Wella, LOreal, Lotus, VLCC, O3+, LAKME, Jawed Habib etc. (A & B class Salons
only). As per the companies database there are only 59 such Salons in the city of Ranchi, which
can be said as an A class or a B class salon. There are almost 59Salons in the city of Ranchi,
7salon in Ramgarh, 5salon in Hazaribag, 9salon in Bokaro and 20 salon in Jamshedpur.

Sample: I choose all of them as a sample to get the responses which can show a clear picture for
the estimation of the success of Schwarzkopf. Out of those 100 responses only 20 responses
were duly filled and in a condition to be analysed and evaluated. The analysis of the received
responses is shown in the later chapter.
The data was collected from approx 10 different Salons present at different prime locations of
Ranchi, Ramgarh, Hazaribagh, Bokaro and Jamshedpur.

Sampling Technique: For the commencement of this project, the method used for sampling was

Convenience Sampling. I was asked to go and get insights from all the Salon owners.

Limitations of Study
Sample size was restricted to 100 only as there are very less no. of professional salons
present on five cities (Ranchi, Ramgarh, Bokaro, Hazaribagh and Jamshedpur).
Inadequate information in some cases as some of the questions were not answered/ filled
properly or accurately by the salon owners because of their negligence so finally only 100
responses were considered to move on for analysis.
The responses are completely based on the perception of Salon owners.
CHAPTER.IV

LITERATURE OF REVIEW
ANSOFFS PRODUCT MARKET MATRIX
The Ansoffs Growth matrix is a marketing planning tool that helps a business determine its
product and market growth strategy (as shown in the below figure).

Market Development Strategy: Market development is the name given to a growth strategy
where the business seeks to sell its existing salon (here SCHWARZKOPF) into new markets
(here JHARKHAND). There are many possible ways of approaching this strategy, including:
New geographical markets like launching a product in a new untapped city or exporting the
44product to a new country.
New product dimensions or packaging.
New distribution channels (e.g. moving from selling via retail to selling using e-commerce
and mail order)
Different pricing policies to attract different customers or create new market segments.
PROSPECTING IN BUSINESS

Prospecting is a two stage process that involves finding new customers for your business. It is a
key component of the selling process that can be used to improve your capacity to make sales
and increase profitability in your small business.

Qualifying Sales Prospects:

As we strive to grow our business, its easy to get caught up chasing every lead that comes
our way. But all prospects are not created equal, and some are more likely than others to
turn into sales.
To avoid wasting precious resources, we need to weed out the long shots and concentrate
our efforts on those prospects that are likely to yield a return on our investment of
time, money, and energy.

Key characteristics of good prospects

A need: A highly qualified prospect needs our product now or relatively soon.
A sufficient budget: A qualified prospect has the money to buy our product or service. We
should not waste time pursuing someone who truly cant afford to buy what we sell.
The authority to buy: A strong prospect is empowered and prepared to take action.
Moreover, the simpler and more streamlined their decision-making processes, the better
our chances of closing a sale.
CHAPTER.V

DATA ANALYSIS AND


INTERPRETATION
DATA ANALYSIS: The base for below analysis is Questionnaire filled by the Salon owners of

Ranchi, Ramgarh, Hazaribagh, Bokaro and Jamshedpur area and also the interviews conducted

by me. The questionnaires were filled by 100 salon owners of Ranchi, Ramgarh, Hazaribagh,

Bokaro and Jamshedpur and its nearby localities.

PRIMARY DATA

Questionnaires

Personal interview

SECONDARY DATA

Various internet sites

ANALYSIS TOOLS

Graphs

Pie charts

Topic Salon mapping for hair care product

In this project, I have also tried to cover the following aspects:

To estimate the potential of clients based on their permanent FTS (full time stylist).

To check the presence of Schwarzkopf in the professional salon of five city (Jharkhand).

To observe the Buying Behaviour of professional Salons.


CHAPTER.VI

RESPONSES &
INTERPRETATION
Q1. What is the average number of footfall of customers per day?

60

49
50

40 38
frequency

Less than 15
30
15-30
30-45
20
More than 45

10 8
5

0
Less than 15 15-30 30-45 More than 45
sample

According to the responses of the Salon owners I found that 38 out of 100 salons have a
customer footfall of less than 15 customers a day where as only 5 out of 100 only a class
salon is able to attract more than 45 clients a day.

49 out of 100 salons have a customers footfall between 15-30 clients a day and 8 out of
100 salons have a footfall of clients between 30-45 a day.

So as per above market responses we can conclude that Ranchi, Ramgarh, Hazaribagh,
Bokaro, Jamshedpur is not yet tapped up to its full potential in terms of Professional Salon
Services.

Also the people of this city are not so much aware about these services and even many
are not so conscious about their Hair as well as Beauty.
Q2. What are the hair care service you are providing in your salon?

120

100 100 98
100 96

80

hair color
frequency

60 hair styling
hair straightening
hair care
40
other

20

0
0
hair color hair styling hair straightening hair care other
Service

According to responses of salon owner/manager I found that 100 out of 100 salons have
hair color service are providing to the customers.

100 out of 100 professional salons have hair styling service are provided to the customers.

96 out of 100 professional salons have hair straightening service are provided to the
customers. Few salon (B class) in a city of Ramgarh have hair straightening are not
provided to the customers.

98 out of 100 professional salon have hair care service are provided to the customers. 2
salon (B class) have not hair care service are provided to the customers.

And no other services are provided to the customers from professional salon.
3. What are the brands which you use more often for the hair care service in your salon?

Hair Color(Q.3a)
25

20
20

15
frequency

10 9

6 6 6
5 5
5 4 4
3
2 2 2 2 2
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

0
2,12,15
1
2
4
7

2,4,9
2,6,9,12,18

4,6,9
1,2,3
1,2,4

1,2,7

1,2,9
13

1,2

1,4
1,7

2,4

2,7

2,8
2,9

4,9
5,7,
1,10
1,17

2,10
1,2,10
1,2,15

1,2,6,9

1,2,7,9

1,7,14
1,9,16

2,7,10
2,7,12
1,2,4,6,8,9

1,2,9,15

2,3,4,6,16

2,4,6,9,12

Using Brand

According to responses of salon owner/manager I found that what are the brands which
they are use more often for the hair care service in their salon:-

Hair color: - Most of a professional salon using a brand of Matrix, LOreal, Schwarzkopf,
Wella, Lotus, Streax, and Garnier for Hair color services are provided in theirs salon.

And rest of the salon use other brand like Age lock, O3+, Raga, Bio care, Vlcc, Lakme,
Mazzero, Shahnaz, Oriflame, Indola and Aroma for Hair color services provided in their
salon.
25
Hair Styling(Q.3b)

20
20

15
frequency

10 9

6 6 6
5 5
5 4 4
3
2 2 2 2 2
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

0 2,12,15
1
2
4
7

1,17

2,6,9,12,18

4,9
1,2,3
1,2,4

1,2,7

1,2,9
13

1,2

1,4
1,7

2,4

2,4,9

2,7

2,8
2,9
4,6,9

5,7
1,10

2,10
1,2,10
1,2,15

1,2,6,9

1,2,7,9

1,7,14
1,9,16

2,7,10
2,7,12
1,2,4,6,8,9

1,2,9,15

2,3,4,6,16

2,4,6,9,12
Using Brand

According to responses of salon owner/manager I found that what are the brands which
they are use more often for the hair care service in their salon:-

Hair styling: - Most of a professional salon using a brand of Matrix, LOreal, Schwarzkopf,
Wella, Lotus, Streax, and Garnier for Hair styling services are provided in theirs salon.

And rest of the salon use other brand like Age lock, O3+, Raga, Bio care, VLCC, Lakme,
Mazzero, Shahnaz, Oriflame, Indola and Aroma for Hair styling services provided in their
salon.
Hair Straightening(Q.3c)
25

20
20

15
frequency

10 9

6 6 6
5 5
5 4 4
3
2 2 2 2 2
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

0 2,12,15
1
2
4
7

2,6,9,12,18
1,17

1,2,3
1,2,4

1,2,7

1,2,9
13

1,2

1,4
1,7

2,4

2,4,9

2,7

2,8
2,9
4,6,9
4,9
5,7
1,10

1,2,10
1,2,15

1,2,6,9

1,2,7,9

1,7,14
1,9,16
2,10

2,7,10
2,7,12
1,2,9,15
1,2,4,6,8,9

2,3,4,6,16

2,4,6,9,12
Using Brand

According to responses of salon owner/manager I found that what are the brands which
they are use more often for the hair care service in their salon:-

Hair Straightening: - Most of a professional salon using a brand of Matrix, LOreal,


Schwarzkopf, Wella, Lotus, Streax, and Garnier for Hair straightening services are provided
in theirs salon.

And rest of the salon use other brand like Age lock, O3+, Raga, Bio care, VLCC, Lakme,
Mazzero, Shahnaz, Oriflame, Indola and Aroma for Hair Straightening services provided in
their salon.
Hair Care (Q.3d)
25

20
20

15
frequency

10
10

6 6 6
5 5
5 4 4
3
2 2 2 2 2
1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1

0
1,7
1
2
4
7

2,4,9
2,6,9,12,18
13

1,2

1,2,3
1,2,4

1,2,7

1,2,9

1,4

2,4

2,7

2,8
2,9
4,6,9
4,9
5,7
1,10
1,17

2,10
1,2,10
1,2,15

1,2,6,9

1,2,7,9

1,7,14
1,9,16

2,7,10
2,7,12
1,2,4,6,8,9

1,2,9,15

2,3,4,6,16

2,4,6,9,12

Using Brand

According to responses of salon owner/manager I found that what are the brands which
they are use more often for the hair care service in their salon:-

Hair care: - Most of a professional salon using a brand of Matrix, LOreal, Schwarzkopf,
Wella, Lotus, Streax, and Garnier for Hair care services are provided in theirs salon.

And rest of the salon use other brand like Age lock, O3+, Raga, Bio care, VLCC, Lakme,
Mazzero, Shahnaz, Oriflame, Indola and Aroma for Hair care services provided in their
salon.
4. What are the brands for hair care you keep in your salon?

90 85

80

70

60
Matrix
frequency

50 47
45 L'oreal
Wella
40
Schwarzkopf
30 Age lock
20 Other
20

10
4
2
0
Matrix L'oreal Wella Schwarzkopf Age lock Other

Sample

According to the responses of the professional salon owner/manager I found 45 out of 100
salons keep Matrix for hair care in their salon.

85 out of 100 professional salons are keeping LOreal for hair care in their salon.

4 out of 100 professional salons are keeping Wella for hair care in their salon.

20 out of 100 professional salons are keeping Schwarzkopf for hair care in their salons.

2 out of 100 professional salons are keeping Age Lock for hair care in their salon.

And 47 out of 100 professional salons are keep other brand like (O3+, Raga, Lotus,
Garnier, Streax, Vlcc, Lakme, Shahnaz, Oriflame, Indola, Aroma etc.) for hair care in their
salon.
Q5. Rank the following brand in terms of product quality?

Matrix(Q.5a)
60
54

50

39
40
frequency

30 Not using
Good
20 Excellent

10 7

0
Not using Good Excellent
Rank

According to responses of professional salon owner/manager I found the rank of brand


purchase for hair care product for your salon so 54 out of 100 salons says that we are not
used the Matrix for hair care.

7 out of 100 professional salons owner/manager say that Matrix is good for hair care.

And 39 out of 100 professional salons say that Matrix is excellent for hair care.
L'Oreal(Q.5b)
90
83
80

70

60
frequency

50
Not using
40 Good

30 Excellent

20 15

10
2
0
Not using Good Excellent
Rank

According to responses of professional salons owner/manager I found the rank of brand


purchase for hair care product for your salon so we found 15 out of 100 salons are not
using the product of LOreal for hair care product.

2 out of 100 very less number of professional salon owner/manager say LOreal is good for
hair care product.

And 83 out of 100 very large numbers of professional salon owner/manager say LOreal is
excellent for hair care product.
Wella(Q.5c)
100 95
90
80
70
60
Frequency

50 Not using

40 Good

30 Excellent

20
10 4
1
0
Not using Good Excellent
Rank

According to responses of professional salon owner/manager I found the rank of brand


purchase for hair care product for your salon I found 95 out of 100 the large number of
salon are not using the product of Wella for hair care product.

1 out of 100 professional salon owner/manager are says Wella is good for hair care
product.

And 4 out of 100 professional salon owner/manager are says Wella is excellent for hair care
product.
Schwarzkopf(Q.5d)
90
80
80

70

60
frequency

50
Not using
40 Good

30 Excellent

19
20

10
1
0
Not using Good Excellent
Rank

According to responses of professional salon owner/manager the rank of brand purchase of


Schwarzkopf for hair care product for your salon I found 80 out of 100 the large number of
salon are not using the brand of Schwarzkopf for hair care product.

1 out of 100 professional salon owner/manager are says that Schwarzkopf is good for hair
care product.

And 19 out of 100 professional salon owner/manager are says Wella is excellent for hair
care product.
Q6. Rank the following parameters for keeping a particular brand in your premises?

Brand image of using co.(Q.6a)


120

100 96

80
frequency

60
Significant

40 Very significant

20
4
0
Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the brand image of using company 4 out of 100 say we are
significant using this brand.

And 96 out of 100 the large numbers of professional salon owner/manager say we are very
significant the brand image of using company.
Margin/Price of using brand (Q.6b)
100 95

90

80

70

60
frequncy

50 Neutral

40 Significant
Very significant
30

20

10 4
1
0
Neutral Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the margin/price of using brand 1 out of 100 say neutral
using the brand.

95 out of 100 a large number of professional salons owner/manager says that margin/price
are significant for keeping a particular brand.

And 4 out of 100 a less number of professional salon owner/manager say margin/price are
very significant for keeping a particular brand.
Availability of using brand (Q.6c)
100
89
90

80

70

60 Not significant
frequency

50 Neutral
40 Significant
30 Very significant

20

10 7
1 3
0
Not significant Neutral Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the availability of using brand 1 out of 100 a large number
of professional salons owner/manager says not significant using the brand.

7 out of 100 a large number of professional salons owner/manager say that availability are
neutral for keeping a particular brand.

89 out of 100 a large number of professional salon owner/manager say availability are
significant for keeping a particular brand.

And only 3 out of 100 professional salons owner/manager say availability is very significant
for keeping a particular brand.
Company support of using brand (Q.6d)
45
40
40 37
35

30
frequency

25 Not significant
20 Neutral
20
Significant
15
Very significant
10

5 3

0
Not significant Neutral Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the company support of using brand 20 out of 100 numbers
of professional salons say not significant using the brand.

37 out of 100 of professional salons owner/manager say that company support is neutral for
using a particular brand.

40 out of 100 professional salon owner/manager say company support is significant for
using a particular brand.

And only 3 out of 100 professional salons owner/manager say company support is very
significant for using a particular brand.
Product quality of using brand (Q.6e)
100

90 87

80

70

60
frequency

50
Significant
40
Very significant
30

20
13
10

0
Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the product quality of using company 13 out of 100 say we
are significant using this brand.

And 87 out of 100 the large numbers of professional salon owner/manager say we are very
significant the product quality of using company.
Scheme & offer of using brand (Q.6f)
40 38
35
35

30
26
25
frequency

Not significant
20 Neutral
Significant
15
Very significant
10

5
1
0
Not significant Neutral Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the scheme and offers of using brand 26 out of 100
numbers of professional salons say not significant using the brand.

35 out of 100 of professional salons owner/manager say that scheme and offers is neutral
for using a particular brand.

38 out of 100 professional salon owner/manager say scheme and offers is significant for
using a particular brand.

And only 1 out of 100 professional salons owner/manager say scheme and offers is very
significant for using a particular brand.
Customer demand of using brand (Q.6g)
90
81
80

70

60
frequency

50
Neutral
40
Significant
30 Very significant
18
20

10
1
0
Neutral Significant Very significant
Rank

According to responses of professional salon owner/manager the parameters for keeping


brand in your premises, I found the customers demand of using brand 1 out of 100 a less
number say neutral using the brand.

18 out of 100 professional salons say that customers demand are significant for keeping a
particular brand.

And 81 out of 100 a large number of professional salon say customer demand are very
significant for keeping a particular brand.
Q7. What kind of support you get from the company for keeping their brands in your
premises? (You can choose more than one).

Q.7
60 56 57

Scheme & offers


50 48 48

42 Free sample
40
Regular visit
frequency

30 Training to stylist

Kits/Service
20
materials
11 Advertising
10 materials

0
Scheme & offers Free sample Regular visit Training to Kits/Service Advertising
stylist materials materials
Support

According to responses of professional salon owner/manager I found what kind of support


you get from the company for keeping their brands in your premises:-
Scheme & offers: 48 out of 100 professional salon owner/manager say yes get from the
company for keeping their brands in our salon.
Free sample: 11 out of 100 professional salon owner/manager say yes get from the
company for keeping their brands in our salon.
Regular visit: 42 out of 100 professional salon owner/manager say yes get from the
company for keeping their brands in our salon.
Training to stylist: 56 out of 100 professional salon owner/manager say yes get from the
company for keeping their brands in our salon.
Kits/service materials: 48 out of 100 professional salon owner/manager say yes get from
the company for keeping their brands in our salon.
Advertising materials: 57 out of 100 professional salon owner/manager say yes get from the
company for keeping their brands in our salon.
Q8. How often the company of brand which you keep in your salon provides training to
your stylist?

Provide Training
45
41
40

35

30
Every 15 Day
Frequency

25
Once in a Month
20 18 Once In 2 Months
15 Once in 3 Months
15
12 Once In 6 Months
11
10 Never

5 3

0
Every 15 Day Once in a Once In 2 Once in 3 Once In 6 Never
Month Months Months Months
Sample

According to responses of professional salon owner/manager I found how often the


company of brand which you keep in your salon provides training to your stylist:-
Every 15 Days: 3 out of 100 professional salons owner/manager say yes brand which keep
in our salon provides training to stylist from company.
Once in a Month: 15 out of 100 professional salon owner/manager say yes brand which
keep in our salon provides training to stylist from company.
Once in 2 months: 11 out of 100 professional salon owner/manager say yes brand which
keep in our salon provides training to stylist from company.
Once in 3 Months: 18 out of 100 professional salon owner/manager say yes brand which
keep in our salon provides training to stylist from company.
Once in a 6 Months: 12 out of 100 professional salon owner/manager say yes brand which
keep in our salon provides training to stylist from company.
Never: 41 out of 100 professional salon owner/manager say yes brand which keep in our
salon never provides training to stylist from company.
Q9. How do you procure the materials/brands of hair care product?

90
80
80

70
59
60
frequency

50
41 Delivered by
company
40
personnel
Delivered by
30 Distributers
20 Go to Purchase
From Market
10
0 Other
0
Delivered by company Delivered by Distributers Go to Purchase From Other
personnel Market
Sample

According to responses of professional salon owner/manager I found how you procure the
materials/brands of hair care product:-

59 out of 100 professional salons are procuring the material/brand delivered by company
personnel.

80 out of 100 professional salons are procuring the material/brand delivered by distributers.

41 out of 100 professional salon are procure the material/brand go to purchase from
market.
Q10. If a competitive brand offers you attractive scheme/discount, would you switch your
regularly used brand?

Total
80
73
70

60

50
frequency

40
Yes

30 27 No

20

10

0
Yes No
sample

According to responses of professional salon owner/manager I ask if a competitive brand


offers you attractive scheme/discount, would you switch your regularly used brand:-

27 out of 100 professional salons are saying yes if a competitive brand offers attractive
scheme/discount, I switch our regularly used brand.

73 out of 100 professional salons are saying no if a competitive brand offers attractive
scheme/discount, I do not switch our regularly used brand.
Q11. Who decided upon which brand of hair care product to be purchased?

100

90 88

80

70
64
62
Owner/ Manager
60
frequency

50 Stylist

40 Costomer Request

30 Corporate/Central
Purchase
20

10 6

0
Owner/ Manager Stylist Costomer Request Corporate/Central
Purchase
Sample

According to responses of professional salon owner/manager I ask who decides upon


which brand of hair care product to be purchased:-

62 out of 100 professional salon owner/manager is decided brand of hair care product to be
purchased.

64 out of 100 professional salons hair stylist is decided brand of hair care product to be
purchased.

88 out of 100 professional salons are purchased a product for customer request.

6 out of 100 professional salons corporate/central is decided of hair care product to be


purchased.
Q12. What is your suggestion for any hair care brand to do goods in market?

Q.12
45
40
40

35 Will not change


the brand
30 Will switch the
brand
frequency

25
21 21 Not sure
20

14 Exclusive outlate
15
hence can't
switch
10 Depends upon
customer/stylist
5 4

0
Will not change Will switch the Not sure Exclusive outlate Depends upon
the brand brand hence can't switch customer/stylist
Sample

According to responses of professional salon owner/manager I ask what is your suggestion


for any care brand to do goods in market:-

40 out of 100 professional salon owner/manager say will not change the brand.

21 out of 100 professional salon owner/manager say will switch the brand.

14 out of 100 professional salon owner/manager say not sure.

4 out of 100 professional salon owner/manager say exclusive outlet hence cant switch.

21 out of 100 professional salon owner manager say depends upon customer/stylist.
CHAPTER.VII

CONCLUSION &
SUGGESTION
CONCLUSION
The following are the conclusions that can be drawn from the survey that was carried out by me:
The market of Ranchi, Ramgarh, Hazaribagh, Bokaro and Jamshedpur is at nascent stage
and it will require some time to get accelerated in case of premium hair colour market. In
hair colour market, the brands of lower or middle segment like LOreal, Matrix, Age lock,
O3+, Lotus, Vlcc, Lakme and Wella are more popular than professional segment brands.
One of the reasons being lower disposable income as compared to metro cities.

Talking about the statistics, according to the responses of the Salon owners it was found
that 38 out of 100 of the total salons have a customer footfall of less than 15 customers a
day whereas only 2 branded high class salon was able to attract more than 45 clients a
day.

Talking about the Full time hair stylist (FTS) employed by the salons, as per the research
findings, only 19 out of 100 respondents told that they employee more than 6 FTS and have
a spending of more than Rs. 2 lacks per month. Hence as per the companys expectations
only these 19 salons out of 100 can be said as an A class customer. Whereas 57 out of 100
of the salons employ only 3 to 6 FTS which the spending can be expected to be 90000 to
1.8 lacks which means they can be said as a B class Customer. Also 24 out of 100 of the
salons employ only one or two FTS, with an expected spending of a maximum of Rs.60000
per month, which means they are a C class Customer.

If we talk about the presence of Schwarzkopf in the salons, it was found that around 20 out
of 100 of the total sample keeps the brand Schwarzkopf in their salon and a small
population of around 80 out of 100 does not keep the brand Schwarzkopf in their salon. The
reasons when asked for not keeping the same, they replied that customer never ask (do not
know about the brand) and the customers who know also hesitate to use as it is slightly
costlier than all other brands available in the market.

The following were my finding in terms of Purchase pattern w.r.t Schwarzkopf:


45 out of 100 salon owner of the total population spends less than Rs.15000 a
month.
12 out of 100 salon owners spend an amount of Rs.15000 to 20000 for the same
purpose.
And only 43 out of 100 salons spend Rs.20000 above purchase a month.
80 out of 100 salon owners who dont keep Schwarzkopf, was not at all interested to keep
this brand in his salon. The reasons for not keeping the brand was that he was not at all
satisfied with his previous relationship with the company professionals and was also not
happy with their service.

According to the response of salon owners, it was found that LOreal is present in maximum
no. of professional salons (85 out of 100) of Ranchi, Ramgarh, Hazaribagh, Bokaro and
Jamshedpur. followed by Matrix i.e., 45 out of 100. Then it is Wella which is present in 4 out
of 100 salons and then other which is present in 47 out of 100 professional salons. Rest all
other brands like O3+, Raga, Lotus, Garnier, Streax, Vlcc, Lakme, Shahnaz, Indola,
Oriflame, Aroma etc.

Talking about Market Presence, it can be concluded that LOreal has highest presence in
the market of Ranchi., Ramgarh, Hazaribagh, Bokaro and Jamshedpur as compared to all
other brands in case of all three segments i.e. Hair Colour (85 out of 100), Hair Care (85 out
of 100) and Hair Styling (85 out of 100) and Hair Straightening (85 out of 100) which is a
very good symbol for LOreal but it is a worrying figure for Schwarzkopf. After LOreal the
most preferred in all the above cases is Schwarzkopf with presence in Hair Colour (20 out
of 100), Hair Care (20 out of 100) and Hair Styling (20 out of 100) segments. The only
segment where Schwarzkopf is preferred over others is the segment of Hair Straightening,
where 20 out of 100 of the total population prefer Schwarzkopf over other brands
.Schwarzkopf has to go a long way in the Ranchi, Ramgarh, Hazaribagh, Bokaro and
Jamshedpur market to become a market leader. To increase its presence the company
should promote aggressively and offer some lucrative offers to the salon owners.

For factors/ parameters which are most significant as a strong reason to keep a particular
Brand in Salons, it can be concluded that Service/ Availability of the products on time and
as per the demand is the most significant factor which purchase a customer to keep a
particular brand in their premises, followed by the Quality of the products. Company
Support and Brand Value scored hand in hand in terms of importance after the above
factors followed by importance of Margin given to the salon owners and lastly the Schemes
& Offers with 48 out of 100, Free sample 11 out of 100, Regular visit 42 out of 100, Training
to stylist 56 out of 100, Kits & service materials 48 out of 100 and Advertising materials 57
out of 100 people voting it as a very significant factor in choosing a Brand.
SUGGESTIONS
Here are the suggestions for Henkel-Schwarzkopf based on my personal experience during
survey period to help the brand in getting good response from the Ranchi, Ramgarh, Hazaribagh,
Bokaro and Jamshedpur market:
Under ASK Initiative, the Company should train the hair-dressers of Ranchi, Ramgarh,
Hazaribagh, Bokaro and Jamshedpur using the latest learning tools to make them equip.
with all the technical and business skills they need for professional success, as many of the
respondents said that they are still waiting for the first demo from companys side. This will
not only help the hair-dresser but also help the companys products to attain market
leadership in Ranchi, Ramgarh, Hazaribagh, Bokaro and Jamshedpur.

Henkel should get tie-up with all the A and B class salons/beauty parlours in order to
increase the sales of the product by offering an added advantage to partnered
salons/beauty parlours.

One of the key to success in this market is having effective distribution system which is
lacked by company. Many of the respondents complained that they are very unhappy with
the service/availability of the product. To overcome this problem company should take help
of technology by creating a mobile app for salon owners for updating their orders and
company should ensure that delivery of product is done in next 8 hours. It will create a
revolution in hair care market and help the company to get an advantage over others.

For increasing the brand awareness company should sponsor different fashion shows,
cultural events, collages/universities annual functions organized in and around Ranchi,
Ramgarh, Hazaribagh, Bokaro and Jamshedpur. This will help Schwarzkopf to be seen
more in the grounds.

On the foundation day of the company i.e., on 26th September onwards Henkel should start
Schwarzkopf week. In this week company can offer discounts to customers and salon
owners as well as company should call national or international hair-dressers to give the
customer free advice/service to 100 lucky customers and get a chance to meet with them.
This can help Schwarzkopf to promote their Products much more than they are able to do
now.

Henkel should start their production in India under Make in India initiative. It will help the
company to reduce its total cost of product and also help the nation in getting employment
opportunity. This will create a cycle where more employment will lead to more disposable
income and hence more of spending in these professional Hair and Beauty care services.

Under CSR initiatives, the company should help the poor children of Ranchi to get free
education and food. Also the company can give free training to some of the ladies of Ranchi
and outskirts to become a professional Hair Dresser, which will cost very less to the
company but can change the livelihood of those families. This will help the company to gain
trust among the people of Ranchi in the same way as TATA is having in minds of Indians.

Henkel feels that it serves a very niche segment and so is not so much aggressive in terms
of advertising. To penetrate more and more nationwide it should take help of television
advertisements because majority of people are everyday connected with televisions. In
order to target young girls and women, company should give their advertisement in Family
Hindi Channels like Star Plus, Zee TV, Sony, and different ladies approached channels.

Customer Feedback:- It is rightly said that company will only grow if it thinks and work on the
basis of regular customer feedback. Following are some of the feedbacks from customers side
which should be foreseen if the company wants to be a market leader in future.
Salon Demo after launch.
Promotion via internet media, in salon training via experts.
Mid-range, good quality and result oriented product.
Regular Market visit.
Should be a product with reasonable/economic pricing.
Penetration pricing in case of new launches and then go for a hike in future.
Regular service and company support.
Product should be cheap and best.
Please support small salons also to penetrate in the market via offering low range products.
Proper advertising and launch.
CHAPTER.VIII

BIBLIOGRAPHY
BIBLIOGRAPHY
(n.d.) Retrieved 07 24, 2016, from Wikipedia: https://en.wikipedia.org/wiki/Henkel

(n.d.). Retrieved from Henkel India: http://www.henkel.in/company?printview=true&

(n.d.). Retrieved from http://www.henkelna.com/:

http://www.schwarzkopf.com/skus/en/home/schwarzkopf/about_us/history.html#id14550795
61

Bosteels, K. (2016, 02 25). Double-digit growth for Henkel in 2015. Retrieved 07 24, 2016,
from Retail Detail: http://www.retaildetail.eu/en/news/double-digit-growth-henkel-2015

Henkel's Global website. (n.d.). Retrieved 07 24, 2016, from http://www.henkel.com/brands-


and-businesses/adhesive-technologies

Qualifying Sales Prospects. (n.d.). Retrieved from All business:


https://www.allbusiness.com/qualifying-sales-prospects-1360-1.html

ranjan, R. (2015, october 19). The Hair Care market in India. Retrieved July 24, 2016, from
BEAUTY NEWS INDIA: http://beautynewsindia.com/the-hair-care-market-in-india/

Tutor2u. (n.d.). Retrieved from Tutor2u: http://www.tutor2u.net/business/reference/ansoffs-


matrix
CHAPTER.IX
APPENDIX
APPENDIX
Salon Mapping for Hair Care Product

Dear Sir/Maam,

I am a student of Kejriwal Institute of Management &Development Studies and I am doing a


Summer Internship on the topic Salon mapping for hair care product as a part of my MBA
academic curriculum. For this I request you to spare few minutes of your time and fill up
the following questionnaire. I would also like to assure you that the inputs given by you
shall be kept confidential and would only be used for academic purpose. I would be ever
grateful to you for your cooperation.

Regards,

Sandeep Ram
9631381527

Basic information:-

1. Name of the salon: -

2. Concerned person: -

3. Address:-...................

4. Contact No.

5. No. of chairs/service chairs:-

6. No. of full time hair stylists:-

7. Hair care Brands purchased per month (Average):

a. Less than Rs. 5000 b. Rs. 5001-10,000

c. Rs. 10001-15,000 d. Rs. 15001-20,000

e. Rs. 20,000 above


Questionnaire:-

Q1. What is the average number of footfall of customers per day?

a. Less than 15 b. 15-30

c. 30-45 d. More than 45

Q2. What are the hair care services you are providing in your Salon?

(You can choose more than one option).

a. Hair colour b. Hair styling

c. Hair straightening d. Hair care

e. Others.(please specify)

Q3. What are the brands which you use more often for the hair care services in your
saloon? Name of brands.(you can write more than one)

Hair color

Hair styling

Hair
Straightening

Hair care

Others

Q4. What are the brands for hair care you keep in your salon?

(You can choose more than one)

a. Matrix b. LOreal

c. Wella d. Schwarzkopf

e. Age lock f. Other (please specify)


Q5. Rank the following brands in terms of product quality?

Brands Very poor Poor Neutral Good Excellent


Matrix
LOreal
Wella
Schwarzkopf
Age lock

Other

Q6. Rank the following parameters for keeping a particular brand in your premises?

(Rank in scale of 1-5; Rank 5 for very significant)

Parameters 1.Very 2.Not 3.Neutral 4.Significant 5.Very


insignificant significant significant
Brand
image
Margin/Price

Availability

Company
support
Product
quality
Scheme &
offers
Customer
demand

Q7. What kind of support you get from the company for keeping their brands in your
premises?

(You can choose more than one).

a. Schemes & offers b. free sample

c. Regular visit d. Training to stylist

e. Kits/service materials f. Advertising materials


Q8. How often the Company of brand which you keep in your saloon provides training to
your stylist?

a. Every 15 day b. Once In a month

c. Once In 2 months d. Once In 3 months

e. Once In 6 months f. Never

Q9. How do you procure the materials/brands of hair care product?

a. Delivered by company personnel

b. Delivered by distributors

c. Go to purchase from market

d. Others.. (please specify)

Q10. If a competitive brand offers you attractive scheme/discount, would you switch your
regularly used brand?

a. Yes b. No

Q11. Who decides upon which brand of hair care product to be purchased?

a. Owner/Manager b. Stylist

c. Customer request d. Corporate/Central purchase

(For the chain of salon)

Q12. What is your suggestion for any hair care brand to do goods in market?

QUESTIONNAIRE

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