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CHAPTER-I

INTRODUCTION AND DESIGN OF THE STUDY

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CHAPTER-I

INTRODUCTION AND DESIGN OF THE STUDY

1.1 INTRODUCTION

Great companies start with great ideas and Amway is no exception. Amway, an
abbreviation for "American Way", was coined in 1959 by founders, Jay Van Andel and Richard
Devos. The business was built on the simple integrity of helping people lead better lives.

The vision of the Amway India Enterprises franchise is Inspiring people to live better lives.
With the mission to provide the best business opportunity, the direct sales business delivers
exceptional quality products in the following areas:

Nutrition and wellness


Personal care
Home care
Home tech and insurance.

The Amway India Enterprises franchises values have enabled it to guide its actions and help
Achieve everything without compromise or harm.Recording a huge sales turnover year after
year, Amway India Enterprises franchise is also the founder member of the Indian Direct
Selling Association (IDSA). The multilevel marketing business was awarded the `Rising
Business Star of the Millennium' award by the Karnataka Welfare Association in October
2000.

All the 75 products in four categories sold in India match Amway's global quality standards.
With a tamper-proof seal and a 100% Money Back Guarantee, all products are
environmentally friendly and not tested on animals. Through its presence in India, the
multilevel marketing franchise enhances human resource development through
entrepreneurial opportunity and self-employment. Amway also encourages the return of its
used product bottles for re-cycling, thus preventing their misuse.

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1.2 CUSTOMER SATISFACTION

The definition of customer satisfaction has been widely debated as organizations


increasingly attempt to measure it. Customer satisfaction can be experienced in a variety of
situations and connected to both goods and services. It is a highly personal assessment that is
greatly affected by customer expectations. Satisfaction also is based on the customers
experience of both contacts with the organization and personal outcomes. Some researchers
define a satisfied customer within the private sector as one who receives significant added
value to his/her bottom line.

Customer satisfaction differs depending on the situation and the product or service.
A customer may be satisfied with a product or service, an experience, a purchase decision, a
salesperson, store, service provider, or an attribute or any of these.Customer satisfaction is a
highly personal assessment that is greatly influenced by individual expectations. Some
definitions are based on the observation that customer satisfaction or dissatisfaction results from
either the confirmation or disconfirmation of individual expectations regarding a service or
product. To avoid difficulties stemming from the kaleidoscope of customer expectations and
differences, some experts urge companies to concentrate on a goal thats more closely linked to
customer equity.

1.3 STATEMENT OF THE PROBLEM

Consumer satisfaction with regard to Amway products depends upon user expectation
and various factors like price, quality and brand image. Customer satisfaction differs from one
consumer to other based on various factors. Attitudes and opinions of the consumers include
product interest, brand image. The necessity that has arisen for the study has been to identify the
level of consumer satisfaction towards Amway products and to know about the causes for
shifting their preference from Amway to other brands because of high price and other reasons.
Hence, the current study on customer satisfaction towards Amway has been conducted.

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1.4 OBJECTIVES OF THE STUDY

The study encompassed the following objectives

To study the consumer awareness and preference towards Amway products


To analyse the level of satisfaction of consumer towards Amway products
To know the customers perception about various features of amway products
To measure the customer satisfaction regarding the performance and overall
features of amway products
To offer suggestion,based on the finding of the study

1.5 SCOPE OF THE STUDY

The study has focused on the consumer satisfaction in relation to Amway products. The
study has analyzed the source of awareness with regard to Amway products. It identified the
factors of preference towards Amway products. The study has also revealed the level of
preference towards Amway products.

1.6 RESEARCH METHODOLOGY

PRIMARY DATA

The primary data is the source of collection of information. To analyze the consumer
satisfaction towards Amway products,120 respondents were selected from within the Coimbatore
city. The respondents included students, business people, employees, and home makers.

In order to collect the relevant data from the respondents a questionnaire consisting of 29
questions was distributed to know the personal opinion of the respondents towards Amway
products.

SECONDARY DATA

Journals
Websites

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AREA OF THE STUDY

The study was undertaken in Coimbatore city.

STATISTICAL TOOLS USED

Percentage analysis

1.7 LIMITATIONS OF THE STUDY

Due to time constraint the study was conducted only in Coimbatore city.
The scope of study is limited to50 Respondents in Coimbatore City.
The respondents views and opinions may hold good for the time being and may vary in
future.
It is difficult to compare the measurements of customers satisfaction of various branches.

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CHAPTER-II

REVIEW OF LITERATURE

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CHAPTER-II

REVIEW OF LITERATURE

R.Furger (1991) conducted a study on consumer satisfaction towards light weight laptops and it
was inferred that the various features like touch screen, slim and sleek, advanced power
management provided in the laptop highly influences the satisfaction of the consumer.

P.Rajendran (1996) conducted a study on consumer preference for shampoo. The objective
of the study was to analysis the impact of advertisement of different brands of shampoo and
consumer behaviour towards buying. The data was collected in Erode district to the sample size
of 100 respondents by using convenient sampling method. It was found from the study that
majority preferred quantity, which ranged from 9ml to 170ml packets, and peace was not an
important factor for their purchase

Prof. Bhavin Pandya (2000) conducted a study on The report on shampoo and relevant
facts respondents were asked about the brand of the shampoo which they use. It really
astonishing that half of the respondents did not respond to the question or were reluctant to say
anything about the usage of their shampoo brands.

N.Kothai Nayaki (2001) conducted a study on Brand preference of toilet soap users with
special reference to Gobichettipalayam taluk has found that a large number of brands of
toilet soaps available in the market which defer I price , quality, quantity etc due to the
favourable features of brands, the consumers have preferred to purchase their loyal brands only.

Ramya Devi (2002) conducted a study on Developing marketing strategy for attraction and
retention of consumers with special reference to Johnson and Johnson baby powder. The
study form of the sample size of 200 respondents in Chennai city found that the awareness of
Johnson and Johnson baby powder was 170% and retention of the consumers was 150%.

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Dr.Vyajayanthi, Dr.G.Chand kulkani, Dr. Anil Abraham, and Dr.S.A Kolhapure(2006)
made a study on Anti dandruff activity and safety of polyherbal hair oil an open pillof in
Bangalore city. Twenty five patients of both gender, from the age group of 20_45 years, who
were suffering from mild to moderate dandruff they were enrolled in this study and advise to
apply of 10ml of anti dandruff hair oil twice daily for a period of two weeks this study concludes
that the anti dandruff hair oil was clinically effective and safe

Dr.A Vinayagamoorthy (2007) made An Empirical study on shampoo consumption aimed at


the studying the consumer behaviour with regard to purchase, consumption, and post purchase
evaluation of shampoo with sample size of 100 respondents in Chinnakammiyampet Village in
Vellore district. The objective of the study was to find out awareness among the consumers about
the various brands that majority respondents prefer a shampoo for fragrance, quality, Colour, and
advertisement. Most of the respondents have used the shampoo for both head bath and full body
bath.

Dr.R.Vijaya Kumar, N.Raman and Prof P.V Prabha (2007) undertook a study on
satisfaction derived by users of clinic plus shampoo in Coimbatore city .200 users of clinic
plus shampoo were selected as sample respondents on the basis of convenient sampling method.
The researches with the primary objective of measuring the extent of variation in the level of
satisfaction derived by the users of clinic plus shampoo. It was found that out of 200 respondents
26% fall under Less Satisfied category, 42% belong to Just Satisfied category and remaining
32% have been Highly Satisfied with the product

Ranjith P.V.Ela Goyal (2011) conducted a case study on consumer perception for laptops it is
recommended that the manufacturers have to concentrate on adding features to the existing
products. The companies have to concentrate on the important parameters like education and
browsing.

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CHAPTER-III

COMPANY PROFILE

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CHAPTER-3

COMPANY PROFILE

HISTORY OF AMWAY

Amway is the largest direct selling company and manufacturer in the world that uses
network marketing to sell a variety of products, primarily in the health, beauty, and homecare
markets. Amway was founded in 1959 by Jay Van Andel and Richard DeVos. Based in Ada,
Michigan, the company and family of companies under Alticor reported sales growth of 2.3%,
reachingUS$8.4 billion for the year ending December 31, 2009.Its product lines include home
care products, personal care products, jewellery, electronics, Nutrilite dietary
supplements, water purifiers, air purifiers, insurance and cosmetics .

Amway conducts business through a number of affiliated companies in more than ninety
countries and territories around the world. It is ranked by Forbes as one of the largest private
companies in the United States and one of the largest retailers in the world.

In 1959, the American Way Association was formed. This would be the chance to grow
and set the direction of a new entity. Rich and Jay immediately set out to find an initial product
to add to the line. They purchased the rights to Frisk, a household cleaner (which was later
renamed Liquid Organic Concentrate or L.O.C.).

In 1960, the American Way Association, now Amway, bought a controlling share in the
manufacturing facility in Michigan where LOC was made. The Amway Sales handled product
and distribution, Amway Services did business related tasks (like insurance for distributors) and
Amway manufacturing, which produced LOC. By 1964, the three arms of Amway were all
merged into a single entity - Amway Corporation. The idea was by handling the manufacturing
and distribution of a product line, and then allowing a network of IBOs. This seemed like the

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only way to offer what Jay and Rich originally envisioned - a solid opportunity where anyone
with motivation could excel, regardless of their background and status. This is a main part of
Amway's business philosophy.

Not just products and not just sales, but a way to a better life.

Amway promotes individual entrepreneurship through its innovative direct selling


approach of world class consumer products. Amway India is the countrys leading direct selling
FMCG-company which manufactures and sells world-class c o n s u m e r p r o d u c t s .

VISION

Inspiring people to live better lives.

MISSION

To provide the best business opportunity. To deliver exceptional quality products to


urban and semi urban homes in the areas of nutrition and wellness, cosmetics, personal care,
home care, home tech and insurance.

GOAL OF AMWAY

The development of new business opportunities


To increase the companys role in relation to social responsibility
To provide excellent customer service

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CHAPTER-IV

ANALYSIS AND INTERPRETATION

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CHAPTER-IV

ANALYSIS AND INTERPRETATION

PERCENTAGE ANALYSIS

The descriptive analysis is mainly employed to find the distribution of different


categories of respondents. As the values are expressed in percentage it facilitates comparison and
standardization. This technique is employed for all the questions given in the questionnaire.
Suitable diagrams where also constructed for easy understanding.

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TABLE 4.1

GENDER WISE CLASSIFICATION OF THE RESPONDENTS

GENDER NO OF RESPONDENTS PERCENTAGE

Male 15 29.17

Female 35 70.83

TOTAL 50 100.00

14
EXHIBIT NO:4.1

GENDER
40
35
30
25
20
15
10
5
0
MALE FEMALE

INTERPRETATION

Table No.1 has inferred t hat 70.83% of the respondents are females and 29.17% of the
respondents are males.

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AGE

Age is a factor that plays an important role in analyzing the satisfaction level. Table No.2
explains the classification of the respondents in terms of their ages.

TABLE 4.2

AGE WISE CLASSIFICATION OF THE RESPONDENTS

AGE NO OF RESPONDENTS PERCENTAGE

15-20 yrs 22 44.17

20-25 yrs 12 23.33

25-30 yrs 07 14.17

More than 30 yrs 09 18.33

Total 50 100.00

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EXHIBIT NO:4.2

AGE OF THE RESPONDENTS


25

20

15

10

0
15-20 YEARS 20-25 YEARS 25-30 YEARS MORE THAN 30

INTERPRETATION

Table No.2 explains that 44.17% of the respondents are between the age group of15-20
years and 23.33% of the respondents belongs to the age group of 20-25 years. 18.33% and
14.17% of the respondents belongs to the age group of more than 30 years and 25-30 years
respectively.

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MARITAL STATUS

Marital status of the respondents helps us to know about the usage of products. Table
No.3 reveals the marital status of the respondents.

TABLE 4.3

MARITAL STATUS-CLASSIFICATION OF THE RESPONDENTS

MARITAL STATUS NO OF RESPONDENTS PERCENTAGE

Married 17 34.17

Unmarried 33 65.83

Total 50 100.00

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EXHIBIT NO:4.3

MARITAL STATUS

35

30

25

20

15

10

0
MARRIED UNMARRIED

INTERPRETATION

Table No.3 reveals that 65.83% of the marital status is unmarried and 34.17% of the
respondents are married.

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EDUCATIONAL QUALIFICATION

Education can create more awareness about the products and their benefits. Table No.4
shows the education level of the respondents.

TABLE 4.4

EDUCATION WISE CLASSIFICATION OF THE RESPONDENTS

EDUCATION QUALIFICATION NO OF RESPONDENTS PERCENTAGE

Higher secondary 7 14.17

UG 28 55.83

PG 11 21.67

Professional 4 8.33

Total 50 100.00

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EXHIBIT NO:4.4

EDUCATIONAL QUALIFICATION
30

25

20

15

10

0
HIGHER UG PG PROFESSIONAL
SECONDARY

INTERPRETATION

Table No.4 inferred that 5.83% of the respondents are pursuing their UG and 21.67% of
the respondents were undergoing their PG. 14.17% of the Amway users completed their higher
secondary.8.33% of the Amway users are professionals.

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OCCUPATION

Occupation can be a influencing factor in choosing Amway products. Table No.4.5


explains the occupation of the respondents.

TABLE 4.5

OCCUPATION WISE CLASSIFICATION OF THE RESPONDENTS

OCCUPATION NO OF RESPONDENTS PERCENTAGE

Student 28 55.83

Business 3 6.67

Employed 12 23.33

Homemaker 7 14.17

Total 50 100.00

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EXHIBIT NO:4.5

OCCUPATION

STUDENT
BUSINESS
EMPLOYED
HOMEMAKER

INTERPRETATION

Table No.5 has revealed that student respondents are the maximum which consists of
55.83% and employee respondents are 23.33%. The response from the homemakers is 14.17%.
The least respondents belongs to the group of business people consists of 6.67%

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MONTHLY INCOME

The purchasing power of the respondents depends upon the earnings of the respondents.
Table No.6 reveals the monthly income of the respondents.

TABLE 4.6

MONTHLY INCOME-WISE CLASSIFICATION OF THE RESPONDENTS

MONTHLY INCOME NO OF RESPONDENTS PERCENTAGE

Less than 5000 14 28.33

5000-10000 11 21.67

10001-20000 13 26.67

More than 20000 12 23.33

Total 50 100.00

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EXHIBIT NO:4.6

MONTHLY INCOME
16

14

12

10

0
LESS THAN 5000 5000-10000 10001-20000 MORE THAN 20000

INTERPRETATION

Table No.6 revealed that 28.33% of the respondents were earning less than 5000 per
month and 26.67% of the respondents earns between10001-20000 p.m. the respondents who
earns more than 20000 is 23.33%. 21.67% of the respondents are earning 5000-10000 p.m.

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SIZE OF FAMILY

Family size will vary from one family to another. Table No.4.7 shows the family size of
the respondents.

TABLE 4.7

FAMILY SIZE-CLASSIFICATION OF THE RESPONDENTS

FAMILY SIZE NO OF RESPONDENTS PERCENTAGE

1-3 members 14 27.50

4-5 members 30 60.83

5-6 members 3 6.67

More than 6 members 3 5.00

Total 50 100.00

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EXHIBIT NO:4.7

SIZE OF FAMILY

30

25

20

15

10

0
1-3 MEMBERS 4-5 MEMBERS 5-6 MEMBERS MORE THAN 6
MEMBERS

INTERPRETATION

Table No.7 has explained that 60.83% of the respondents have 4-5 members in their
family whereas 27.50% of the respondents have 1-3 members only and 6.67% of the respondents
have 5-6 members and 5% of the respondents have more than 6 members in the family.

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RESIDENTIAL AREA

Residential area of the respondents has greater influence in preferring the products. Table
No.8 explains the area wise classification of the respondents.

TABLE 4.8

RESIDENTIAL AREA WISE-CLASSIFICATION OF THE RESPONDENTS

RESIDENTIAL AREA NO OF RESPONDENTS PERCENTAGE

Rural 10 20.00

Urban 40 80.00

Total 50 100.00

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EXHIBIT NO:4.8

RESIDENTIAL AREA

100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
RURAL URBAN

INTERPRETATION

Table No.8 has explained that 80% of the respondents are residing in urban area. 20% of
the respondents residing in rural area.

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CONSUMER RESPONSE IN RELATION TO THE AWARENESS OF THE AMWAY
PRODUCTS

The following table helps us to analyze the awareness level of the consumer with respect
to Amway products. Table No.4.9 explains the consumers opinion in relation to the awareness of
Amway products.

TABLE 4.9

AWARENESS OF AMWAY PRODUCTS

FULLY STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


AWARE AGREE DISAGREE
ABOUT 13 56 27 5 2 50
AMWAY
PRODUCT 25.0% 46.7% 22.5% 4.2% 1.7% 100%

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EXHIBIT NO:4.9

AWARENESS OF AMWAY PRODUCTS


60

50

40
Series 1
30 Series 2
Series 3
20

10

0
Category 1 Category 2 Category 3 Category 4 category 5

INTERPRETATION

Table No.4.9 reveals that 46.7% of the respondents agrees that they are fully aware about
Amway products 25.0% of the Amway users strongly agree that they are fully aware about
Amway products 22.5% of the respondents have expressed their awareness of Amway products
as neutral 4.2% of the respondents disagrees that they are fully aware about the Amway
products. 1.7% of the respondents strongly disagree that they are fully aware about Amway
products.

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PRODUCT DIFFERENTIATION

Amway has a brand image for its products. Table No.10 explains whether the Amway
product is unique when compared to other products in multi level marketing.

TABLE 4.10

AMWAY PRODUCT IS UNIQUE

AMWAY STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


PRODUCT AGREE DISAGREE
IS 8 29 10 3 0 50
UNIQUE
15.0% 57.5% 20.8% 6.7% 0.0% 100%

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EXHIBIT NO:4.10

Sales

1st Qtr
2nd Qtr
3rd Qtr
4th Qtr

INTERPRETATION

Table No.10 explains that 57.5% of the respondents agree that Amway products is unique
when compared to other products.20.8% of the respondents expressed the uniqueness of the
Amway products when compared to other products as neutral. 15% of the respondents strongly
agree that Amway product is unique when compared to other products.6.7% of the respondents
disagree that Amway product is unique. None of the respondents strongly disagree that Amway
product is unique when compared to other products.

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HIGH PREFERENCE FOR AMWAY PRODUCTS

Amway product is highly preferred when compared to other products. Table No.11 reveals the
preference for the Amway products.

TABLE 4.11

HIGH PREFERENCE FOR AMWAY PRODUCTS

AMWAY STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


PRODUCT AGREE DISAGREE
IS HIGHLIY 10 20 15 4 1 50
PREFERRED
20.0% 40.0% 30.0% 7.5% 2.5% 100%

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EXHIBIT NO:4.11

HIGH PREFERENCE FOR AMWAY PRODUCTS


25

20

15
Series 1
Series 2

10 Series 3

INTERPRETATION

Table No.11 reveals that 40% of the respondents agree that Amway product is highly
preferred when compared to other products. 30% of the respondents is neutral about the
preference of the Amway products when compared to other products.20% of the respondents
strongly agree that Amway product is highly preferred when compared to other products. 7.5%
of the respondents disagree that Amway product is highly preferred.2.5% of the respondents
strongly disagree that Amway product is highly preferred.

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DISTRIBUTION OF PRODUCTS WOULD BE TAKEN UP IF OFFERED

The following Table No.12 reveals the opinion of the respondents if the distribution of
products is offered to them.

TABLE 4.12

DISTRIBUTION OF PRODUCTS WOULD BE TAKEN UP

DISTRIBUTION STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


OF PRODUCTS AGREE DISAGREE
WILL BE 7 20 12 7 4 50
TAKEN UP
OFFERED 14.2% 39.2% 24.2% 15.0% 7.5% 100%

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EXHIBIT NO:4.12

DISTRIBUTION OF PRODUCTS WOULD BE TAKEN UP

25

20

Series 1
15
Series 2
Series 3
10

0
Category 1 Category 2 Category 3 Category 4

INTERPRETATION

Table No.12 reveals that 39.2% of the respondents agree that distribution of products will
be taken up if offered. 24.2% of the respondents are neutral to take up the distribution if
offered.15% of the respondents disagrees to take up distribution 14.2% of the respondents
strongly agree to take up the distribution of products. 7.5% of the respondents strongly disagree
to take up the distribution of Amway products.

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AMWAY PRODUCTS WILL BE USED FOR LIFE

The following Table No.13 shows the different views of the respondents opinion in
relation to usage of Amway products for lifetime.

TABLE 4.13

AMWAY PRODUCTS WILL BE USED FOR LIFE

AMWAY STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


PRODUCTS AGREE DISAGREE
WILL BE 7 19 13 8 3 50
USED FOR
LIFE 14.2% 38.3% 26.7% 15.8% 5.0% 100%

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EXHIBIT NO:4.13

AMWAY PRODUCTS WILL BE USED FOR LIFE


20
18
16
14
12 Series 1
10 Series 2
8
Series 3
6
4
2
0
Category 1 Category 2 Category 3 Category 4

INTERPRETATION

Table No.13 explains that 38.3% of the respondents agrees that Amway products will
used for lifetime.26.7% of the respondents are neutral to use Amway products for lifetime.14.2%
of the respondents strongly agrees that Amway products will be used for life 15.8% of the
respondents disagrees to use Amway products for lifetime.5% of the respondents strongly
disagrees to use Amway products for lifetime.

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MOSTLY PREFERRED BY HIGH INCOME GROUP

Amway products are mostly preferred by high income people. The following Table
No.14 reveals the preference of Amway products by income of high income group people.

TABLE 4.14

MOSTLY PREFERRED BY HIGH INCOME GROUP

MOSTLY STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


PREFERRED AGREE DISAGREE
BY HIGH 20 15 7 5 3 50
INCOME
GROUP 40.0% 30.8% 14.2% 10.8% 4.2% 100%

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EXHIBIT NO:4.14

MOSTLY PREFERRED BY HIGH INCOME GROUP

25

20

15 Series 1
Series 2

10 Series 3

0
Category 1 Category 2 Category 3 Category 4

INTERPRETATION

Table No.14 reveals that 40% of the respondents strongly agree that Amway product is
mostly preferred by high income group.30.8% of the respondents agrees that Amway products is
mostly preferred by high income group.14.2% of the respondents are neutral about the
preference by high income group.10.8%of the respondents disagrees this opinion.4.2% of the
respondents strongly disagrees.

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FEMALE MEMBERS MOSTLY USE AMWAY PRODUCTS

The following Table No.15 reveals the respondents view in relation to the statement that
Female members mostly prefer to use Amway products when compared to males.

TABLE 4.15

FEMALE MEMBERS MOSTLY USE AMWAY PRODUCTS

FEMALE STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


MEMBERS AGREE DISAGREE
MOSTLY 15 19 9 6 1 50
USE
AMWAY 30.0% 37.5% 18.3% 11.7% 2.5% 100%
PRODUCTS

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EXHIBIT NO:4.15

FEMALE MEMBERS MOSTLY USE AMWAY PRODUCTS


20
18
16
14
12 Series 1
10 Series 2
8 Series 3
6
4
2
0
Category 1 Category 2 Category 3 Category 4

INTERPRETATION

Table No.15 inferred that 37.5% of the respondents agree that female members mostly
prefer to use Amway products 30% of the respondents strongly agrees that female members
mostly prefers Amway products.18.3% of the respondents are neutral about this option.11.7% of
respondents disagrees that female members mostly prefer to use Amway products.2.5% of the
respondents strongly disagrees this statement.

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CHILDREN LEVEL OF PREFERENCE IS VERY LOW

The following Table No.16 shows the respondents opinion with regard to children level
of preference towards Amway product is very low.

TABLE 4.16

CHILDREN LEVEL OF PREFERENCE IS VERY LOW

CHILDREN STRONGLY AGREE NEUTRAL DISAGREE STRONGLY TOTAL


LEVEL OF AGREE DISAGREE
PREFERENCE 18 14 13 3 2 50
IS VERY LOW
36.7% 27.5% 26.7% 6.7% 2.5% 100%

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EXHIBIT NO:4.16

CHILDREN LEVEL OF PREFERENCE IS VERY LOW


6

Series 1
3
Series 2
Series 3
2

0
Category 1 Category 2 Category 3 Category 4

INTERPRETATION

Table No.16 reveals that 36.7% of the respondents strongly agree that children preference
for Amway products is low. 27.5% of the respondents agree to it. 26.7% of the respondents are
neutral about children preference.2.5% of the respondents strongly disagrees this statement.

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AWARENESS IN RELATION TO ALL ASPECTS OF AMWAY PRODUCTS

The following Table No.17 reveals the opinion of respondents in relation to all respects
towards Amway products.

TABLE 4.17

AWARENESS IN RELATION TO ALL ASPECTS OF AMWAY PRODUCTS

AWARENESS IN RELATION NO OF RESPONDENTS PERCENTAGE

Yes 17 34.17

No 13 25.00

Not sure 20 40.83

46
EXHIBIT NO:4.17

AWARENESS
25

20

15

10

0
YES NO NOT SURE

INTERPRETATION

Table No.17inferred that 40.83% of the respondents are not sure that they are aware
about all aspects relating to Amway products.34.17% of the respondents says that they are fully
aware about all aspects relating to Amway products.25% of the respondents says that they are
not fully aware.

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SOURCE OF AWARENESS

Source of awareness through which the respondents is introduced to the Amway


products.

TABLE 4.18

SOURCE OF AWARENESS

SOURCE OF NO OF
PERCENTAGE
AWARENESS RESPONDENTS

Distributors 13 26.67

friends 24 47.50

relatives 9 17.50

advertisement 4 8.33

Total 50 100.00

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EXHIBIT NO:4.18

SOURCE OF AWARENESS

DISTRIBUTORS
FRIENDS
RELATIVES
ADVERTISEMENT

INTERPRETATION

The above Table No.18 explains that 47.5% of the respondents says that their source of
awareness is friends. 26.67% of the respondents say that their source of awareness is
distributors.17.5% of the respondents says that their source of awareness is relatives.8.33% of
the respondents says that their source of awareness is advertisement.

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PERIOD OF USAGE

The following Table No.19 explains how long the respondents have been using the
Amway products.

TABLE 4.19

TIME PERIOD OF USING AMWAY PRODUCTS

TIME NO OF
PERCENTAGE
PERIOD RESPONDENTS

> 1 yrs 18 37.50

2-4 yrs 25 49.17

5-6 yrs 5 10.00

more than 6
2 3.33
yrs

Total 50 100.00

50
EXHIBIT NO:4.19

PERIOD OF USAGE
30

25

20

15

10

0
>1 YEARS 2-4 YEARS 5-6 YEARS MORE THAN 6 YEARS

INTERPRETATION

The above Table No.19 reveals that 49.17% of the respondents says that they have been
using Amway products ranging between 2-4 years.37.5% of the respondents says that they have
been using Amway products for less than 1 year 10% of the respondents says that they have been
using Amway products for 5-6 years.3.3% of the respondents says that they have been using
Amway products for more than 6 years.

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LEVEL OF SATISFACTION

The following Table No.20 explains the respondents level of satisfaction with various
factors of Amway products.

TABLE 4.20

LEVEL OF SATISFACTION

HIGHLY NEUTRAL HIGHLY


CATEGORY SATISFIED DISSATISFIED TOTAL
SATISFIED DISSATISFIED
25 22 2 1 0 50
Brand
50.0% 44.2% 3.3% 2.5% 0.0% 100.0%

6 13 10 12 9 50
Price
11.7% 26.7% 20.8% 23.3% 17.5% 100.0%

20 20 8 1 1 50
Quality
39.2% 40.8% 15.0% 2.5% 2.5% 100.0%

easy- 8 18 13 8 3 50
availability 15.8% 35.8% 26.7% 16.7% 5.0% 100.0%

1 14 11 9 9 50
Offers
14.2% 27.5% 21.7% 18.3% 18.3% 100.0%

52
EXHIBIT NO:4.20

LEVEL OF SATISFACTION
30

25

20

HIGHLY SATISFIED
15 SATISFIED
NEUTRAL

10 DISSATISFIED
HIGHLY DISSATISFIED

INTERPRETATION

Table No.20 inferred that 50% of the respondents are highly satisfied with brand, 26.7%
of the respondents are satisfied with the price. 40.8% of the respondents are satisfied with
quality. 35.8% of the respondents are satisfied with the easy-availability and 27.5% of the
respondents are satisfied with the offers.

53
CHAPTER-V

FINDINGS, SUGGESTIONS AND CONCLUSION

54
CHAPTER-V

SUMMARY OF FINDINGS, SUGGESTIONS AND CONCLUSION

The following are important findings of the study

A Study on customer satisfaction towardsAmway products with a particular preference to


Coimbatore city

SUMMARY OF FINDINGS

Percentage analysis

PERCENTAGE ANALYSIS

Most (44.17%) of the respondents fall in the age group of 15-20 years.

Majority (70.83%) of the respondents are female.

Majority (55.83%) of the respondents are under graduates.

Majority (55.83%) of the respondents are students.

Majority (65.83%) of the respondents are unmarried.

Majority (60.83%) of the respondents are families consisting of 4-5 members

Most (28.33%) of the respondents are earning less than 5000.

Most (46.7%) of the respondents agree that they are fully aware about Amway products

Most (47.5%) of the respondents have come to know about Amway products through
friends.

55
Most (49.17%) of the respondents have been using Amway products ranging from 2-4
years.

Majority (57.5%) of the respondents agree that Amway product is unique when compared
to other products.

Majority (50%) of the respondents agree that Amway products are recommended to
others.

Majority 80% of the respondents belongs to urban area.

Most (39.2%) of the respondents agree that distribution of products will be taken if
offered.

Most (38.3%) of the respondents agrees that Amway product will be used for life.

Most (40%) of the respondents strongly agree that Amway product is mostly preferred by
high income group.

Most (37.5%) of the respondents agree that female members prefer to use Amway
products when compared to male.

Most (36.7%) of the respondents strongly agree that children level of preference for
Amway products is very low.

Majority (50%) of the respondents is satisfied with the brand and 17.5% of the
respondents are highly dissatisfied with high price of Amway products.

56
SUGGESTIONS

The following suggestions are offered to remove the customer dissatisfaction in some
aspects of the Amway products using customer expectations certain changes has to be made in
the following aspects which are presented as suggestions.

The products should be cheap.


The home delivery system takes at least two days to deliver the products so the delivery
should be instant
Majority of the respondents suggested that the price of Amway products is considered to
be higher. Hence steps could be taken by the companies to reduce the prices so that many
would get benefited.
There must be multiple options for purchasing the products for consumers like online,
retail shops and instant purchasing.
In every city, the Amway office should be situated in such a location so that it is in reach
of all consumers.
Sample packs should be used because customer must have to introduce the product to
themselves. Once customer gets an idea about the product he comes to know the
advantages of products.
Majority of the respondents are female, it should concentrate more on male products.
Steps should be taken to grab the attention of children preference towards Amway
products.
To promote the Amway products many respondents suggested to give advertisements for
all the products of Amway.

CONCLUSION

Amway is one of the largest direct selling company in the world. T h e p r o d u c t s


o f Amway are world class product quality. They are made up of natural a thing thats why they
are good for health and environment. Amway covers a wide range of products from beauty care.

57
Health care, to clothing, and daily use products etc. the products are costly as compared to
other branded products available in market but if we compare the quantity while using the
products require less amount and thus can be used for longer time.

The development in the field of science and technology accompanied by updated media
in very quick in creating awareness about the changes in all fields including personal and health
care products amongst the consumers. As a result the consumers do not mind giving up their old
products and taking up a new product. Today there is no consumer who is a slave for any
product. The number of brands available is also increasing, in its place of old products consumer
prefers to use new branded products like Amway.

Company should have a careful watch over the dynamic customer behaviour and come
out with a new products are update its existing to be more successful.

The study on customer satisfaction towards Amway products has revealed that
most of the respondents switch over their preference to other brands due to higher price and lack
of awareness about Amway products. Hence to maintain the brand image of Amway Company
the prices of the products should be reasonable and moreover it must be affordable to buy its
products by all consumers.

If Amway products are sold at the rock bottom prices then choosing ofAmway products really
make sense

58
Appendixes

59
BIBLIOGRAPHY

JOURNAL

Indian Journal of Marketing


Indian Journal of Product and Management
SIBACA Management review
AMAGRAM

WEBSITES

www.google.com

www.amwayindia.com

www.reviews42.com

www.scribd.com

www.asianjournal.com

60
A STUDY ON CUSTOMER SATISFACTION TOWARDS AMWAY PRODUCTS IN
COIMBATORE CITY

1. NAME:
2. ADDRESS:

3. GENDER:
A) MALE
B) FEMALE

4. AGE:
A) 15-20
B) 20-25
C) 25-30
D) More than 30

5. MARITIAL STATUS
A) MARRIED
B) UNMARRIED

6. EDUCATIONAL QUALIFICATION
A) HIGHER SECONDARY
B) UG
C) PG
D) PROFESSIONAL

7. OCCUPATION
A) STUDENT
B) BUSINESS
C) EMPLOYED
D) HOMEMAKER

8. INCOME LEVEL PER MONTH


A) LESS THAN 5000
B) 5000-10000
C) 10001-20000
D) More than 20000

9. MEMBERS IN THE FAMILY


A) 1-3
B) 4-5
C) 5-6
D) MORE THAN 6

61
10. RESIDENTIAL AREA
A) RURAL
B) URBAN
TO STUDY THE CONSUMERS AWARENESS AND PREFERENCE TOWARDS AMWAY PRODUCTS

SNO PARTICULARS STRONGLY AGREE NEUTRAL DISAGREE STRONGLY


AGREE DISAGREE
11 FULLY AWARE ABOUT AMWAY
PRODUCTS
12 AMWAY PRODUCT IS UNIQUE WHEN
COMPARED TO OTHER PRODUCTS
13 AMWAY PRODUCTS IS HIGHLY
PREFERRED WHEN COMPARED TO
OTHER PRODUCTS
14 AMWAY PRODUCTS ARE
RECOMMENED TO OTHERS
15 DISTRIBUTION OF PRODUCTS WILL
BE TAKEN UP IF OFFERED
16 AMWAY PRODUCTS WILL BE USED
FOR LIFE
17 AMWAY PRODUCTS IS MOSTLY
PREFERRED BY HIGH INCOME
GROUP
18 FEMALE MEMBERS PREFER TO USE
AMWAY PRODUCTS WHEN COMED
TO MALE
19 CHILDREN LEVEL OF PREFERENCE
FOR AMWAY PRODUCT IS VERY LOW

20. ARE YOU AWARE ABOUT ALL ASPECTS RELATING TO AMWAY PRODUCTS
A) YES
B) NO
C) NOT SURE

21. SOURCES OF AWARENESS


A) DISTRIBUTORS
B) FRIENDS
C) RELATIVES
D) ADVERTISEMENT
62
22. HOW LONG HAVE YOU BEEN USING AMWAY PRODUCTS
A) > 1 YEAR
B) 2-4 YEARS
C) 5-6 YEARS
D) MORE THAN 6 YEARS
TO ANALYSE THE LEVEL OF SATISFACTION OF CONSUMERS
TOWARDS AMWAY PRODUCTS

23. RANK THE FOLLOWING CRITERIA FOR CHOOSING AMWAY PRODUCTS

CRITERIA RANK

PRICE

PACKING

INGREDIENTS

ECO-FRIENDLY

DISTRIBUTOR SERVICES

BRAND IMAGE

24. RANK THE AMWAY PRODUCTS ACCORDING TO YOUR CHOICE AND PREFERENCE

PRODUCTS RANK

PERSONAL CARE

ORAL CARE

BEAUTY CARE

HEALTH CARE

HOME CARE

63
25. RATE THE LEVEL OF SATISFACTION ON AMWAY PRODUCTS

CATEGORY HIGHLY SATISFIED NEUTRAL DISSATISFIED HIGHLY


SATISFIED DISSATISFIED
BRAND

PRICE

QUALITY

EASY-
AVAILABLITY
OFFERS

26. WILL YOU RECOMMEND AMWAY PRODUCTS TO OTHERS


A) YES
B) NO
27. IF YES, WILL YOU BECOME AN AMWAY DISTRIBUTOR
A) YES
B) NO

28. WILL YOU SWITCH OVER TO ANY OTHER PRODUCT


A) YES
B) NO

29. IF YES, WHAT IS THE REASON


A) PRODUCTS ARE COSTLY
B) NOT AVAILABLE IN NEAR BY SHOPS
C) NO OFFERS

30. SUGGESTIONS, IF ANY________ ____________

THANK YOU

64
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